The global nitric acid market size was valued at USD 22.92 billion in 2022. The market is projected to grow from USD 23.73 billion in 2023 to USD 30.39 billion by 2030, exhibiting a CAGR of 3.6% during the forecast period. Vehicle manufacturers are concentrating on cutting-edge technologies owing to the rising demand for lightweight automobiles. This, in turn, is anticipated to propel the demand for HNO3 as companies are transitioning toward nylon to reduce weight and enhance fuel capacity. Fortune Business Insights presents this information in their report titled “Global Nitric Acid Market Size Report, 2024–2030.”
Segments
Dominance of Fertilizers Segment Driven by Growing Agricultural Activities
Based on application, the market is segmented into fertilizers, nitrobenzene, adipic acid, toluene di-isocyanate, and others. The increasing demand for agricultural activities to meet the needs of a growing population has led to the fertilizers segment holding the largest share nitric acid market share. It is utilized in the production of fertilizers such as ammonium nitrate and calcium ammonium nitrate, which play a vital role in achieving high-quality and abundant crop yields.
From the regional ground, the market is segmented into North America, Europe, Asia Pacific, Latin America, and the Middle East and Africa.
The growth for the product is expected to be driven by increasing demand for the product from fertilizers formulators and by rising consumption of fertilizers in agrarian economies of the world. Growing demand for food has propelled the expansion of various fertilizers and agricultural units globally to optimize crop yield, lower cultivation time, attain healthy crop growth, and more. Nitric acid is one of the key components of producing nitrogen fertilizers which are highly demanded by the agricultural world.
Report Coverage
The comprehensive report presents an intricate examination of the market, with a specific emphasis on prominent enterprises, cutting-edge technologies, and prominent application domains. Moreover, the research report provides valuable observations on prevailing market trends and showcases noteworthy advancements within the industry. Alongside the aforementioned elements, the report encompasses numerous factors that have played a significant role in fostering the market’s expansion in recent times.
Drivers and Restraints
Growing Construction Activities and Infrastructure Projects Propel Market Growth
The market growth is driven by increased construction activities, as Toluene di-isocyanate (TDI) and HNO3 intermediate are essential in the production of polyurethane foams, wood and floor coatings, and insulation materials. Additionally, the growth of the HNO3 market is fueled by improving consumer lifestyles, rising renovation activities, and new infrastructure projects initiated by governments. However, governmental policies aimed at environmental protection and waste reduction pose challenges to the nitric acid market growth.
Source- https://www.fortunebusinessinsights.com/nitric-acid-market-104566
Regional Insights
Asia Pacific Emerges as a Prominent Region with Growing Demand across Industries
Asia Pacific achieved a market size of USD 11.78 billion in 2022, driven by the growing demand for the product across diverse industries such as automotive, agriculture, and construction.
North America is projected to hold a substantial share of the global market, which can be attributed to the region’s rapid technological advancements and high disposable income of its consumers.
The global product market is highly competitive, especially in the presence of multinationals that are constantly innovating to capture a broader share of the market. Companies like BASF SE, Dow Chemicals, Nutrient, CF Industries are the major players and dominate the market with a wide range of products for each application and a strong global presence.
Development of the cutting-edge technologies such as the mono-medium pressure process, mono-high pressure process, and dual pressure process for producing the product moreefficiently are poised to increase awareness and enhance market growth over the coming years. Increasing demand of the product from nylon production sector is poised to pave new avenues in the global marketspace
The product is consumed in the production of TDI and adipic acid, which are widely used in the development of Nylon 6, 6. Nylon 6, 6 is further used across multiple applications such as the manufacturing of plastics and industrial carpeting. Nitric acid is a vital raw material in the making of Nitrobenzene which is excessively utilized in the construction industry. The growth in the construction industry is anticipated to trigger the demand for Nitrobenzene in the forecast period.
Moreover, ammonia and nitric acid are the two crucial components of producing nitrogen fertilizers which are widely demanded by the agricultural sector. Rapid innovations in the farming ecosystem have further boosted demand for various innovative solutions in the global market space which is projected to pave way for increased consumption of nitrogen fertilizers worldwide. Further, a growing number of industry participants in the global competitive market is poised to provide further opportunities for nitric acid development in terms of product development, market positioning, and process innovations among others.
Competitive Landscape
Key Players Focus on Collaborations and Strategies to Maintain Competitive Edge
Major industry players are actively engaged in enhancing their capacities, driving product innovation, pursuing acquisitions and mergers, and fostering collaborations to gain a competitive advantage in the global market.
Applications Insights
Fertilizer manufacturing dominated the nitric acid application with a share of 80.53% in 2022. Its high share is attributable to the increasing demand for food which has led to the development of fertilizers units globally. Farmers are adopting techniques that maximize the crop yield in minimum time with the help of fertilizers.
Adipic acid is produced by the use of the product as an important raw material. It is considered one of the key components for the production of Nylon 6, 6 which is used widely in the development of plastics and industrial carpets. Nylon 6, 6 is expected to stagnate over the forecast period resulting in a reduced margin in Adipic acid manufacturing owing to which the consumption of nitric acid for the production of Adipic is anticipated to be on the lower side.
Nitrobenzene is one of the key applications of nitric acid and is used in the construction industry. The future scenario of nitrobenzene totally depends on how the construction industry grows after the industry was slowed down in emerging economies due to an unexpected strike of coronavirus which has affected the demand for nitrobenzene. However, the demand is expected to pick up over the forecast period.
Key Industry Development
- January 2023: Dorogobuzh introduced a new 135-ktpa UKL nitric acid unit in Smolensk region. The company’s engineering research and design center is designing this project, which costs around USD 17 million. The company’s nitric acid production capacity will reach 1.5 million tons per annum with the help of this launch.
Major Players Profiled in the Report:
- BASF SE (Germany)
- Nutrien (Canada)
- EuroChem (Switzerland)
- CF Industries Holdings, Inc. (U.S.)
- Omnia Holdings Limited (South Africa)
- Dyno Nobel (Australia)
- Enaex S.A. (Chile)
- Sasol (South Africa)
- LSB Industries (U.S.)
- IXOM (Australia)