COVID-19 IMPACT ANALYSIS ON THE GLOBAL SULFURIC ACID MARKET
The exclusive COVID-19 impact analysis report by Axiom MRC provides a 360-degree analysis of micro and macro-economic factors in the global Sulfuric Acid Market. COVID-19 impacted various industries as it led to the closure of workplaces, disruption of supply chains, and transit limitations. In Europe demand for sulphuric acid has significantly decreased as a result of the halt of manufacturing production in various industries globally. Additionally, with the continuously dropping requirements of automotive petroleum refining and other industries, the manufacturer’s margins are declining which was earned by supplying sulphuric acid. However, government of Europe are taking steps to relax tax, fiscal deficit, and others to minimize the impact.
MARKET OVERVIEW- EUROPE SULFURIC ACID MARKET
Sulfuric acid or H2SO4 is a strong mineral acid that is totally miscible with water and dissociates readily in water to sulphate ions and hydrated protons. Sulfuric acid is synthesized from hydrolysis of sulphur oxides produced by combustion processes, wet deposition, mostly as mixture with nitrogen oxides and nitric acid. The emissions of sulphuric acid in the aquatic environment usually occur from manufacturing industrial locations, after neutralisation and are primarily in the form of sulphate ions. Alternatively, following manufacturing and use, it can enter the terrestrial environment as stable gypsum (calcium sulphate). Moreover, sulfuric acid having a concentration of 93% to 98% is extensively used in the manufacture of fertilizers, dyes, explosives and petroleum products. The global sulfuric acid market is witnessing remarkable growth owing to increasing demand for sulphur-based fertilizers. Furthermore, the overall market is also being propelled by rising demand for sulphuric acid in the oil & gas industry and waste water treatment. The market is further boosted by technological advancements in the production of sulfuric Acid by various vendors across the globe. One of the prominent trend witnessed by the market include increasing use of oleum, also called as or fuming sulfuric acid, across various applications. However, the global sulfuric acid market is hampered by strict environmental regulations due to toxicological effects of sulfuric acid coupled with volatility in raw material prices. The global market is estimated and forecasted in terms of revenue (USD million) generated by the sulfuric acid market
MARKET DRIVERS
The Europe Sulfuric Acid Market is driven by the increasing demand for fertilizers in agriculture industry. For instance, Farmers utilise sulphuric acid to strengthen soil, which aids in boosting agricultural yield as it contains vital elements for plant growth, including potassium, nitrogen, and phosphorus. In the agriculture sector, there is a growing need for high-quality fertilisers. Automobiles, fertiliser & agriculture, oil & gas refining, among other industries, require sulfuric acid. Pickling, a method of cleaning the surface of steel sheets used in the metal processing sector, is more frequently employed to get rid of rust from iron goods. Superphosphate is a compound made of lime and ammonium sulphate that is used in fertilisers. The demand for nutrient-rich food crops is increasing, which raises the requirement for the use of sulphuric acid in fertilisers. Availability of sulphur as a raw material in abundance is also a driving factor for the targeted market. Moreover, growing demand for batteries in the automotive industry is expected to provide lucrative opportunities for the North America sulphuric acid market growth.
MARKET OPPORTUNITIES
The market is expected to have a new opportunity with the significant growth in the chemical industry. The chemical industries produces petrochemicals, polymers, and industrial chemicals. A crucial industrial chemical, sulphuric acid is primarily used to produce phosphoric acid. It is used in the production of number of chemicals that are in great demand in the chemical industry. Higher demands for nitric acid, hydrochloric acid, sulphate salts, synthetic detergents, dyes and pigments, explosive, and other pharmaceuticals are contributing to the market’s growth.
MARKET RESTRAINTS
The market has major restraining factors like a health hazards associated with sulphuric acid and decline in sales resulting from oversupply of sulphuric acid. The undersupply of sulphuric acid is the biggest problem in Europe being faced by key manufacturers operating in the market, which is directly impacting their sales and profit margins as oversupplied with other producers has led to a decrease in the prices. This is the major restraint in the Europe sulphuric acid market growth.
MARKET GROWTH CHALLENGES
The main challenge in Europe is that sulphuric acid are very maintenance-intensive. Moreover, as the price of raw materials is fluctuating all the time. Hence, the fixed price of sulphuric acid is difficult to estimate the worth in the coming years. Sulfuric Acid has high side effects and pollution of the environment, chemical industries are regulated with stringent rules because they are harmful substance so it is regulated strictly.
CUMULATIVE GROWTH ANALYSIS
The report provides in-depth analysis of Europe Sulfuric Acid Market, market size, and compound annual growth rate (CAGR) for the forecast period of 2022-2028, considering 2021 as the base year. Increasing demand for fertilizers and rising use of oleum are attributed to the market growth.
Europe Sulfuric Acid Market Segmental Overview
The Europe Sulfuric Acid Market comprises of different market segment like Raw Material, Application, Manufacturing Process and geography.
Sulfuric Acid Market by Raw Material
Based on Raw Material, this market is segmented into elemental sulphur, base metal smelters, pyrite ore and others (from oil & petroleum refineries). Among all raw material, the elemental sulphur accounted for the largest market share of the sulfuric acid market due to abundant availability of elemental sulphur in the market. Also, production of sulfuric acid through elemental sulphur is less environment polluting as compared to pyrite ore roasting and base metal smelter. The base metal smelter and pyrite ore roasting facilities are required to execute strict processes for treating the produced sulfuric acid gases before their discharge into atmosphere, but sulfuric acid production is less contaminated given the heavy use of heavy use of sulphur in that process.
Sulfuric Acid Market by Application
Based on application, the global sulfuric acid market is divided into fertilizers, metal processing, pulp & paper, petroleum refining, textile, automotive, chemical manufacturing and others. Fertilizer segment accounted for the largest application of sulfuric acid market. Growing use of sulfuric acid to produce quality fertilizers for agricultural use is projected to propel market growth. Moreover, growing urbanization and industrialization have caused tracts of agricultural land to deteriorate. Fertilizers are frequently employed by farmers throughout the world in this condition to increase crop output, which is projected to stimulate the expansion of the sulfuric acid market over the forecast period.
Sulfuric Acid Market by Manufacturing Process
In addition to this, based on various manufacturing process, this market is categorized into lead chamber process, contact process, wet sulfuric acid process and others. The contact process accounts for the largest market, and is expected to witness high growth due to its lowers the emission of harmful gases during the production of sulfuric acid.
SULFURIC ACID MARKET BY COUNTRY
The Europe Sulfuric Acid Market is studied for the following region
- Italy
- UK
- Germany
- Spain
- Germany
- Rest of the Europe
In Europe, Germany is the leading country in sulphuric acid due to growing industrialization, which will help in the growth of the chemical industry in the region. In addition, the country has high reserves of sulphur, which is used in the production of sulphuric acid.
COMPETITIVE LANDSCAPE ANALYSIS
Most companies are primarily involved in mergers, acquisitions, and joint ventures in order to expand their product offerings and establish a significant presence in the market. New product launches and endorsements are the key growth strategies adopted by the major players to reinforce their positions in the international market. Furthermore, these companies are mostly involved in the manufacturing of sulphur and their by-products for use in various applications such as fertilizers, chemical manufacturing, petroleum refinery, and other related sectors.
The key players studied in the market are
- Aglobis GmbH
- OCP Group
- Unigel Group.
- BASF SE
- PotashCorp
- PVS Chemicals
RECENT DEVELOPMENT:
November 2020: Airedale Chemical Company Limited acquired Alutech to provide a range of metal treatment solutions, including aluminium brighteners and pre-treatment cleaners. This acquisition helps the company increase the demand for sulphuric acid, which has increased its profits.
