The global sulfuric acid market is projected to grow at a CAGR of 1.97% to reach US$16.045 billion by 2026, from US$13.997 billion in 2019.
Sulfuric acid is one of the most widely used chemicals in industries such as including chemical, automotive, oil and gas, and textile among many others. It is a strong mineral acid with high corrosive capabilities. It is used to manufacture commercial chemicals such as hydrochloric acid, nitric acid, sulfate salts, synthetic detergents, dyes, pigments, explosives, drugs, etc. It is also actively used in the production of fertilizers, which will spur the market demand during the forecast period.
The demand for this chemical is primarily driven due to its varied applications across industry verticals. In addition, the increasing application of sulfuric acid in fertilizers, chemical & pharmaceutical industries, globally will drive the market growth during the forecast period. According to the Food and Agriculture Organization of the United States, in 2019, the world fertilizers consumption is anticipated to reach 199 million tons by the end of 2019.
In addition, according to the United States Department of Agriculture, 2019, the net farm income of the United States in 2019 was about $93.6 billion due to the rise in farming, more pesticides will be needed in the next few years, which will proliferate the sulfuric acid market growth. Also, the flourishing pharmaceutical industry nationwide will bolster the market growth as the industry actively uses sulfuric acid. Moreover, the surging steel production, worldwide will subsequently contribute to the market growth of the sulfuric acid market. According to World Steel Association, 2020, the United States produced 7.7 Mt of crude steel in January 2020, an increase of 2.5% compared to January 2019. The rise in steel production will accelerate the demand for sulfuric acid in the market.
Global Sulfuric Acid Market, US$ million, 2019 to 2026
Source: Knowledge Sourcing Intelligence Analysis
Market Share Segmentation.
By raw material, the elemental sulfur segment is expected to hold a dominant market share due to the abundance of elemental sulfur in the global market. By end-use industries, the chemicals industry is anticipated to grow at a high CAGR owing to the increasing use of sulfuric acid in the industry. Geographically, Asia Pacific holds the dominant market share owing to the flourishing chemical and fertilizer industry, and easy availability of raw materials, especially in countries like India and China.
global sulfuric acid Market share, by geography
Source: Knowledge Sourcing Intelligence Analysis
The major key driver of the global sulfuric acid market is the increasing demand in the fertilizers industry. Due to the increasing population and rapid urbanization, the demand for fertilizers has been witnessing staggering growth in the last few years, which in turn is supplementing the market growth of sulfuric acid globally. The growth of the fertilizers industry, especially the phosphate segment, is expected to boost the demand for sulfuric acid as it is the key raw material used in the manufacturing of commercial phosphate fertilizers in the market.
The surplus in the market on account of overproduction coupled with the volatility of raw material prices may hinder the growing demand for sulfuric acid over the forecast period. The raw material required to prepare sulfuric acid is hard to find due to which the pricing of it is extremely volatile, which may restrain the market growth. Also, sulfuric acid is being produced in abundance to meet the increasing demand from end-user industries which has resulted in an oversupply of the acid in the market. The oversupply has thus resulted in the decline in the value of the acid which may hamper the market growth in the long run.
The Covid-19 pandemic negatively impacted the Global sulfuric acid market, as due to the lockdown and travel and trade restrictions imposed by the governments, worldwide the business operations of many industries such as chemicals, fertilizers, automotive, oil and gas, textiles, etc. were put to a halt which in turn declined the demand for sulfuric acid in 2020 as the industries suffered huge losses. Also, due to the supply chain disruptions, the acid could not reach the industries which further declined the demand in the short run. However, with the ease of restrictions and the normalcy is restored, the market is expected to rebound during the forecast period.
The market leaders for the Global sulfuric acid market consists of Spectrum Chemical Manufacturing Corporation, NuGeneration Technologies, LLC, The Mosaic Company, Hibrett Puratex, Southern States Chemical (Subsidiary of Dulany Industries, Inc.), BASF SE, ACP Labchem, Inc., LANXESS, and Nyrstar N.V. The key players in the market implement growth strategies such as product launches, mergers, and acquisitions, etc. to gain a competitive advantage over their competitors. For instance, in March 2020, The Mosaic Company entered into a partnership with Fertiliser Technology Research Centre (FTRC) to focus on enhanced fertilizer efficiency and reducing environmental impact.
|Market size value in 2019||US$13.997 billion|
|Market size value in 2026||US$16.045 billion|
|Growth Rate||CAGR of 1.97% from 2019 to 2026|
|Forecast Unit (Value)||USD Billion|
|Segments covered||Raw Material, End-Use Industry And Geography|
|Regions covered||North America, South America, Europe, Middle East and Africa, Asia Pacific|
|Companies covered||Spectrum Chemical Manufacturing Corporation, NuGeneration Technologies, LLC, The Mosaic Company, Hibrett Puratex, Southern States Chemical (Subsidiary of Dulany Industries, Inc.), BASF SE, ACP Labchem, Inc., LANXESS, Nyrstar N.V.|
|Customization scope||Free report customization with purchase|
Frequently Asked Questions (FAQs)
Q1. What is the size of the global sulfuric acid market?
A2. Sulfuric Acid Market was valued at US$13.997 billion in 2019.
Q2. What are the growth prospects for the sulfuric acid market?
A2. The sulfuric acid market is projected to grow at a CAGR of 1.97% over the forecast period.
Q3. What factors are anticipated to drive the sulfuric acid market growth?
A3. The major key driver of the global sulfuric acid market is the increasing demand in the fertilizers industry.
Q4. What will be the sulfuric acid market size by 2026?
A4. The global sulfuric acid market is projected to reach a market size of US$16.045 billion in 2026.
Q5. Which region holds the largest market share in the sulfuric acid market?
A5. Geographically, Asia Pacific holds the dominant share in the sulfuric acid market owing to the flourishing chemical and fertilizer industry, and easy availability of raw materials, especially in countries like India and China.