The sulfuric acid market has seen significant growth in recent years as the chemical is a fundamental component in many industrial manufacturing processes. Sulfuric acid, also known as oil of vitriol, is a strong acid that is highly corrosive, colorless, and odorless in its pure form. It is commonly produced as a byproduct of metal smelting and petroleum refining. Some key uses of sulfuric acid include serving as an electrolyte in lead-acid vehicle batteries, producing phosphate fertilizers to boost agricultural yields, and refining crude oil into gasoline and other refined products.
The Global sulfuric acid market is estimated to be valued at US$ 29.6 Mn in 2024 and is expected to exhibit a CAGR of 6.3% over the forecast period from 2024 to 2031.
Key Takeaways
Key players operating in the sulfuric acid market are 3M Littmann, Eko Devices, Thinklabs Medical, HD Medical Inc., Welch Allyn (a subsidiary of Hillrom). Key players in the sulfuric acid market are focused on capacity expansion strategies to meet the growing demand for the chemical. For instance, in 2021, 3M Littmann expanded its sulfuric acid production facility in Louisiana, US by 25% to support the needs of industrial manufacturing customers.
The demand for sulfuric acid is experiencing strong growth owing to rising agricultural production and global vehicle fleet. Phosphate fertilizers that use sulfuric acid as a raw material are critical for boosting crop yields to feed a growing global population. Meanwhile, the production of automotive lead-acid batteries that power most gasoline and diesel vehicles continues increasing year-over-year.
The global sulfuric acid market is also expanding into new geographic regions as industrialization activities spread across developing economies. Countries like India, Indonesia, and Vietnam are constructing new refineries and phosphate fertilizer plants that will spur local demand for sulfuric acid. International sulfuric acid suppliers are well-positioned to capitalize on these global market trends.
Market Key Trends
One of the key trends witnessed in the Sulfuric Acid Market Demand is the move towards more sustainable and circular economy-focused production methods. Traditionally, sulfuric acid has been produced through the contact process which involves burning sulfur to produce sulfur dioxide gas and then converting it to sulfur trioxide which is then dissolved in water to form sulfuric acid. However, this method releases sulfur dioxide into the environment. Now many players are adopting methods that utilize sulfuric acid recycling or utilize it as a by-product from other industrial processes like metal smelting. This is helping boost supply while reducing the carbon footprint, aligned with global sustainability priorities.
Porter’s Analysis
Threat of new entrants: High capital requirements to enter in sulfuric acid manufacturing industry poses barrier for new players. Bargaining power of buyers: Buyers have low bargaining power due to availability of substitutes in the market. Bargaining power of suppliers: Suppliers have moderate bargaining power due to availability of raw materials. Threat of new substitutes: Substitutes like phosphoric acid and nitric acid pose moderate threat to sulfuric acid. Competitive rivalry: Companies focus on expansion and partnerships to increase market share in sulfuric acid industry.
Geographical Regions:
North America region accounted for the largest share of around 32% of global sulfuric acid market in terms of value in 2024 due to highly developed mining and metal processing industries. The Asia Pacific region is the fastest growing region for sulfuric acid market during the forecast period from 2024 to 2031 propelled by expansion of fertilizer industry in countries like China and India.
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Ravina Pandya, Content Writer, has a strong foothold in the market research industry. She specializes in writing well-researched articles from different industries, including food and beverages, information and technology, healthcare, chemical and materials, etc. (https://www.linkedin.com/in/ravina-pandya-1a3984191)
