Sulphuric Acid Market - Forecast(2021 - 2026)

Sulphuric acid market size is forecast to reach $24.0 billion by 2026, after growing at a CAGR of 4.4% during the forecast period 2021-2026. Sulphuric acid is a mineral acid with a strong acidic nature that is composed of hydrogen, sulphur, and oxygen and has dehydrating and hygroscopic properties. Sulphuric acid is specifically utilized in the manufacturing of phosphate fertilizers. And the global sulphuric acid market is driven primarily by the rising demand for phosphate fertilizers. For the projected era, the sulphuric acid market is expected to be led by increased demand for sulphuric acid in metal processing and chemical applications. The stringent government regulations in terms of usage, and the high fluctuation of raw material prices, are the major factors constraining the growth of sulphuric acid in the current period, and also will be a negative impact on few regions in upcoming years.

COVID-19 Impact

Global economies are currently recovering from the consequences of the globe-sweeping COVID-19 pandemic. Since the beginning, the fertilizer market has been affected, mostly in China, the most important producer and user of phosphates, sulphur, and sulphuric acid, while Brazil and India may hit the headlines in the future. However, owing to the production restrictions in China, the market reaction was combined with a tighter supply of phosphates, causing a turnaround in the downward trend when the sulphuric acid price, already weak, has all but collapsed. Apart from production, logistics have also become the major factor in terms of challenges. Due to the shutdown of imports and export from various regions, the demand for fertilizer is not getting fulfilled according to its requirement. Due to lack of production, the consumption of sulphuric acid is also getting declined, which tends to constrain the growth of the sulphuric acid market.

• Request Sample

Report Coverage

The report: “Sulphuric Acid Market – Forecast (2021-2026)”, by IndustryARC, covers an in-depth analysis of the following segments of the sulphuric acid industry. 

By Manufacturing Process: Lead Chamber Process, Contact Process, Wet Sulfuric Acid Process, and Others.

By Application: Agricultural Chemistry (Fertilizers, and Pesticides), Metal Processing (Uranium, Nickel, Copper, and Others), Pulp & Paper, Plastics & Fibers, Chemical Manufacturing (Hydrochloric Acid, Nitric Acid, Synthetic Detergents, Dyes & Pigments, and Others), Electrolyte in Lead-Acid Storage Battery, and Others.

By Geography: North America (U.S., Canada, and Mexico), Europe (Germany, UK, France, Italy, Spain, Belgium, Denmark, Netherlands, and Rest of Europe), Asia-Pacific (China, Japan, India, South Korea, Australia, Taiwan, Malaysia, and Rest of APAC), South America (Brazil, Argentina, Colombia, Chile, and Rest of South America), Rest of the World (Middle East, and Africa).

Key Takeaways

• Asia-Pacific dominates the sulphuric acid market, owing to the increasing demand for automobiles in the region, which is increasing the demand for lead-acid storage batteries. According to the Organisation Internationale des Constructeurs d'Automobiles (OICA), in Malaysia, passenger car production increased by 2.6% in the year 2019.
• According to the United States Department of Agriculture (USDA) estimate of 2019, the net farm income of the USA in 2019 was about $93.6 billion. This was the highest farm income after 2013. With the rise in farming, more pesticides will be needed in the upcoming time, which will flourish the sulphuric acid market growth.
• In the chemical industry, sulphuric acid is widely used in the production of a variety of organic chemicals such as nitric acid, and hydrochloric acid. And hydrochloric acid is extensively used in the pickling process during the production of steel in the metal industry. Also, according to World Steel Association, the US produced 7.7 Mt of crude steel in January 2020, an increase of 2.5% compared to January 2019. The increasing steel production is likely to boost the sulphuric acid market growth.

• Inquiry Before Buying

Sulphuric Acid Market Segment Analysis – By Manufacturing Process 

The contact process segment held the largest share of 44% in terms of value in the sulphuric acid market in 2020 and is growing at a CAGR of 5.0% during 2021-2026. The contact process is the new concentrated sulphuric acid processing system that is needed for industrial use. The contact process is divided into three stages; sulphuric acid preparation and purification; conversion of sulphur dioxide to sulphur trioxide via catalyst oxidation; and then the last process, from sulphur trioxide to sulphuric acid. In January 2021, Nuberg EPC was awarded the prestigious EPC & LSTK-based 500 MTPD Sulphuric Acid Plant project in Egypt. The 500 TPD Sulphuric Acid Plant project will be based on the new process technologies for Double Contact Double Absorption (DCDA). The growing technology for the production of high concentration acids has created the growth opportunity for the contact process, as it results in higher benefits in terms of production, the error is not so high. Owing to this, the usage of the contact process for the production of sulphuric acid tends to grow, which will increase the growth of the market. 

Sulphuric Acid Market Segment Analysis – By Application 

The agricultural chemistry segment held the largest share of 59% in 2020 and is growing at a CAGR of 4.6% during 2021-2026. Sulphuric acid is majorly used in agriculture as fertilizers and pesticides. It is specifically used in the manufacture of phosphate fertilizers. Various investments and acquisitions towards fertilizers and pesticides, by major agriculture companies, have driven the market growth for sulphuric acid. For an instance, in January 2018, Mosaic Company has completed the acquisition of Brazilian company Vale fertilizantes at $2.5 billion. The new Brazil unit for Mosaic is the company’s largest by trading volume. Mosaic has acquired Vale’s phosphate assets in Brazil, its stake in the company’s Peru mine, and its Canadian potash project. Similarly, in July 2018, Bayer Crop Science LP announced to spend $42.7 million expansion of its Kansas City manufacturing facility that would increase the production capacity. The increase in the production of pesticides with other agrochemicals will lead to the increased market growth for sulphuric acid. Hence, the growing facility expansions of fertilizers and pesticide manufacturing companies around the world will further enhance the overall market growth for sulphuric acid.

Sulphuric Acid Market Segment Analysis – By Geography 

Asia-Pacific held the largest share of 49% in terms of value in the sulphuric acid market in 2020. In China, sulphuric acid is widely used as a chemical reagent in the production of chemicals and is often used to manufacture fertilizer. With the rising crop production in the Asia-Pacific region such as China, Australia, and Pakistan the demand for fertilizers is rising. According to the United States Department of Agriculture, rough rice production in 2020/21 is projected at 212.9 million tons, up by 3.3 million tons, and wheat production in 2020/21 is projected at 135.0 million tons, marginally higher than 2019/20 due to policy-driven larger area. According to the Department of Agriculture, Water, and the Environment, in the year 2020–2021, wheat production is estimated to increase by 120% to 33.3 million tons and barley production is estimated to be increased by 45% to 13.1 million tons in Australia

 According to the United States Department of Agriculture, the production of sugar in Pakistan in the marketing year (MY) 2020/21 is forecast at 5.9 million metric tons (MMT), a six percent increase from the revised estimate for the current year due to the expected growth in the sugarcane area. Thus, with the rising production of cereals, the consumption of fertilizers will also increase, which would further drive the market growth for sulphuric acid in Asia-Pacific over the forecast period.

"We also publish more than 100 reports every month in "Chemicals and Materials", Go through the Domain if there are any other areas for which you would like to get a market research study."