Global Specialty Fuel Additives Market - 2021-2028
The global specialty fuel additives market size was worth US$ XX million in 2020 and is estimated to reach US$ XX million by 2028, growing at a CAGR of XX% during the forecast period (2021-2028).
Chemicals developed to improve the fuel's quality and efficiency are referred to as specialty fuel additives. They raise fuel's octane rating or act as corrosion inhibitors or lubricants, allowing higher compression ratios for better efficiency and power. Specialty fuel additives, like antifreeze treatment chemicals, cold flow additives and fuel antioxidants, are widely employed in many end-use sectors.
Specialty fuel additives can help with rough idling, weak acceleration, stumbling and stalling. They come in various forms, including liquid, powder and pill. They work in various methods and promise to accomplish various things to the fuel, such as removing sludge, regulating soot, improving combustion and serving as a biocide.
Market expansion is expected to be fueled by stringent environmental rules and a growing need for vehicles with high fuel efficiency. The automotive and manufacturing sector's increased focus on pollution control and energy-efficient fuel will likely enhance the market growth. The auto industry's continuous growth, combined with rising consumer awareness of gasoline additives, is projected to stimulate market growth in the foreseeable future.
The increasing consumption of fuel additives in the automotive industry
Despite the ups and downs of the automobile business, many aspects of manufacturing practices and customer demands have changed dramatically in the last several years. As the public becomes more educated on the dangers of toxic fuel deposits in engines, manufacturers are compelled to improve the quality of fuels, particularly those used in the automotive industry.
Specialty fuel additives that help unclog clogged injectors, reduce deposits in engine injector nozzles, eliminate knocking and provide other fuel safety and quality characteristics are projected to remain in high demand across the automobile sector.
Growing concerns about environmental safety, comfort and design
Manufacturers of the specialty fuel additives market are focusing their attention on expanding their product lines in light of the shifting outlook for the automobile sector. Customers are increasingly concerned about the environmental impact of their commercial and industrial activities, prompting manufacturers to produce environmentally beneficial specialized gasoline additives.
Changing automobile designs also reflect shifting preferences of purchasers regarding many features of vehicles, such as powertrains, electronics and interior & exterior of vehicles. Specialty fuel additive producers and suppliers are being compelled to adapt their products to meet the changing needs of the automobile industry and end-users.
The demand for hybrid vehicles is likely to rise, as is the price of their batteries, putting pressure on expanding the specialty fuel additive industry.
A tiny internal combustion engine (ICE) and an electric motor are combined in hybrid automobiles to maximize power efficiency and reduce vehicle emissions. As the number of hybrid vehicles increases, so will the demand for fuel. The growing battery parity will affect the global market for specialty gasoline additives.
Electric vehicle batteries are relatively expensive; but, with increased technology, their cost is decreasing and the driving range per charge is growing. Several elements influence fuel usage, especially as battery prices fall. The demand for electric vehicles is expected to rise, reducing overall fuel usage. Because of this, there will be less demand for expensive specialty fuel additives.
It's safe to say that the global epidemic has impacted nearly every industry. The global specialty fuel additives market has grown negatively due to disruptions in the global supply chain and the decline in oil prices. The problem has arisen due to decreased demand in the automotive industry. A lot of the market's growth is tied to the strength of the industrial and automotive sectors.
Vehicle traffic from South Asia, including India, Bangladesh, Sri Lanka and Central Asia, reduced during COVID. As a result, there was less demand for fuels and gasoline additives in the area. China dominates the Asia-Pacific's market for gasoline additives and the pandemic originally hard hit the country. Due to quarantine of millions of individuals, all supply lines that rely on China have been put on hold.
As a result of the travel restrictions and general state of emergency implemented across the country, China's oil production fell. Worker community is also affected as major ports like Shenzhen and Shanghai cannot operate without them. After a three-month lockdown, the country has started to show signs of recovery. Due to the reopening of most enterprises, there will be an increase in the need for fuel additives. Implementing the broad vaccination campaign in 2021 has also expedited vehicle production in other developing countries.
By product, the specialty fuel additives market is segmented into gasoline, diesel, cetane improvers turbine fuel and others.
The gasoline segment is estimated to be the dominant type.
The specialty fuel additives market will be dominated by the gasoline sector for the foreseeable future. The expansion of the specialty fuel additives market is anticipated to be driven by U.S. Top Tier Detergent Gasoline (TTDG) development. Major automakers have developed the TTDG performance standard to meet customer demands. The detergency of these additives is higher and they do not contain any deposit-forming metallic additions.
Petrol engines and fuel technologies and fuels continue to evolve at a rapid pace, posing new problems. To keep the gasoline engine's air-fuel mixture from spontaneously igniting, additives are mixed into the fuel to improve knock resistance. Gasoline additive use is rising in response to engine design and refinery operation changes.
The large automotive base creates a favorable market for specialty fuel additives in Asia-Pacific
The specialty fuel additives market is expected to dominate the Asia-Pacific market in the upcoming years. Asia-Pacific is expected to expand at the greatest CAGR due to fast industrialization, increased efficiency demand and strict emission control regulations in China, India and Japan.
The rapidly expanding Asian car sector will have a favorable impact on the need for fuel additives in the future. From 2010 to 2016, automotive sales in Asia-Pacific grew by over 7%, with South East Asian countries holding the most development potential.
To stay ahead of the competition, the industry's top firms are investing in R&D. The leading firms in the specialty fuel additives market are concentrating on growing their global footprint through acquisitions and mergers and diversifying their product range to match the dynamic trends of the global industries. Companies like NewMarket, BASF, Innospec and Infineum are prominent players.
Albemarle, Baker Hughes, PolyOne Corporation, Dow Chemical Company, Chevron Oronite, Lubrizol, Total Additives and Special Fuels and Evonik Industries are key players in specialty fuel additives.
Overview: PolyOne was born after the merger of The Geon Company (Geon) and the M.A. Hanna Company on August 31, 2000 (Hanna). Waldo Semon, a chemist at B.F.Goodrich, who invented the first commercially viable vinyl polymer, is credited with founding Geon in 1927. For almost 40 years, the company has been a leading supplier of high-tech polymer products, services and solutions with operations spanning everything from advanced composites to polymer distribution.
Liquid colorants, as well as fluoropolymer and silicone dyes, are all made by the company. They also specialize in additions that improve performance. The company has offices in North America, South America, Europe and Asia, with corporate headquarters in Avon Lake, Ohio.
Product Portfolio: The company provides color and additive systems, polymer distribution, custom-designed materials and sophisticated composites.
Key Developments: PolyOne Corporation, a global provider of specialized polymer materials and services, announced in December 2019 that it had agreed with Clariant AG, a Swiss specialty chemicals company, as well as Clariant Chemicals India Ltd., to acquire its global business of color and additive masterbatch. PolyOne plans to use the money from the deal to expand its product and service offerings.
The global specialty fuel additives report would provide access to an approx. 52 market data table, 45 figures and 180 pages.
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