February 25, 2024
Sulfuric Acid Market

Sulfuric Acid Market Estimated To Grow Rapidly Due To Rising Industrial Applications

Sulfuric acid is a strong mineral acid utilized in various applications across industries. Its multi-functionality makes it indispensable for production processes as it acts as both an oxidizing agent and acid catalyst. Sulfuric acid finds extensive usage in chemical industries for manufacturing fertilizers, detergents, and pharmaceuticals. It is also employed as an electrolyte in lead-acid batteries to produce electricity for automobiles and as a dehydrating agent for processing petroleum.

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 2024 to 2030.

Key Takeaways

Key players operating in the sulfuric acid market are 3M Littmann, Eko Devices, Thinklabs Medical, HD Medical Inc., and Welch Allyn (a subsidiary of Hillrom). Sulfuric acid plays a vital role in industrial fertilizer manufacturing and is expected to witness growth owing to increasing food production needs of the burgeoning population. Technological advancements in lead-acid battery production using sulfuric acid as electrolyte are supporting the market expansion.

Key opportunities in the market include growing demand for fertilizers from the agriculture sector and rising consumption of sulfuric acid as a dehydrating agent in various industrial desiccant applications. Technological innovations in manufacturing processes are making sulfuric acid production more eco-friendly and efficient. Advancements in lead-acid battery technologies are continually improving battery performance and quality.

Market drivers

The key driver propelling the Sulfuric Acid Market Share is its widespread usage as an electrolyte in lead-acid batteries. Lead-acid batteries account for over 75% of the global sulfuric acid consumption mainly driven by automotive applications. Growing vehicle production and sales globally are augmenting the battery demand, hence fueling the market for sulfuric acid. Investments in expanding fertilizer manufacturing capacities, particularly in developing nations will further aid the market expansion over the coming years.

Current challenges in Sulfuric Acid Market: The sulfuric acid market is facing major challenges due to rising environmental concerns and stringent regulations regarding sulfur dioxide emissions. Government bodies across various countries have established strict norms and standards to curb greenhouse gas emissions from sulfuric acid production plants. Moreover, volatility in raw material prices impacts the overall production cost of sulfuric acid. The significant fluctuations in the prices of key raw materials like sulfur greatly affect the profit margins of manufacturers.

SWOT Analysis

Strength: Sulfuric acid has widespread end-use applications in industries like chemicals, petroleum refining, automotive batteries, fertilizers etc. due to its chemical properties. Weakness: Transportation and handling of sulfuric acid requires protective equipment due to associated hazards. Opportunity: Growing demand for fertilizers and battery from developing regions boosts the sales prospects for sulfuric acid producers. Threats: Stringent environmental norms regarding sulfur dioxide emissions during production pose challenges.

In terms of value, North America dominates the global sulfuric acid market with a share of over 30% backed by robust demand from fertilizer and chemical industries in US and Canada. Asia Pacific exhibits the fastest growth in sulfuric acid market supported by burgeoning middle class, growing consumption of phosphate fertilizers in India and China. Nations like India, China, and Southeast Asian countries present lucrative business opportunities for sulfuric acid producers and distributors due to their large population base and rapid industrialization.

The sulfuric acid market in Middle East and Africa is concentrated in Gulf nations due to presence of significant petrochemical and fertilizer manufacturing facilities. Countries like Saudi Arabia, UAE and Kuwait generate high demand for sulfuric acid to produce phosphate fertilizers, catalysts and commercial chemicals. Latin America witnesses steady growth led by Argentina, Brazil and Mexico on account of flourishing agricultural, automotive and industrial sectors within the region. The sulfuric acid production is centered around these emerging economies to attain economies of scale.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it