Concentrated Nitric Acid Market Analysis

Concentrated Nitric Acid - Market Insights:

Concentrated nitric acid was valued at USD 20 billion in 2016, it is used in the production of explosives pesticides, nitrogen fertilizers, synthetic rubbers, polyurethane foams, and elastomers. Concentrated nitric acid works as an oxidizer in rocket propellants and dye intermediates.

The unstable nature of several compounds having nitric acid-base allows their usage in explosives, while pigments, paints & dyes utilize stable compounds of nitric acid.

The growing demand for polyurethane foams in the automotive, building & construction, and furniture industries is expected to boost the demand for concentrated nitric acid in the forecast period.

Concentrated Nitric Acid - Product Insights:

The concentrated nitric acid market is segmented into strong and fuming acid (concentration of above 86%). Strong nitric acid has 50-85% concentration and estimated to be the fastest growing type of during the forecast period.

It is used in producing ammonium nitrate, adipic, nitro chlorobenzene, nitrobenzene and toluene diisocyanate (TDI). It increases the rate of burning of the materials they come in contact with; this property is used in secondary explosives.

Concentrated Nitric Acid - Application Insights:

The nitric acid market is primarily being driven by the fertilizer market. It is used to produce calcium ammonium nitrate and ammonium nitrate which is used in fertilizers. The expansion of the agrochemical industry is expected to foster the growth of the ammonium nitrate market in the forecast period.

Nitrate can further be used in manufacturing urea ammonium nitrate (UNA) which is used in making explosives and fertilizer solution. The increasing demand in explosives market for mining and construction has boosted the growth of this industry. It can further be used in the production of adipic acid which is used in the production of nylon 6 & 66 that is used in producing tires, automotives, and textiles.

Concentrated Nitric Acid - End Use Insights:

Agrochemicals industry is estimated to remain the largest end user as it uses ammonium nitrate to produce fertilizers. The demand for ammonium nitrate from the developing countries such as Japan, India, China, and Brazil will help them in the growth of this market.

Automotive, textile and tyres industry uses nylon 6,66 for their manufacturing, which is produced from adipic acid. The explosive and construction market which use UNA is expecting to grow owing to the expansion of the mining industry.

Concentrated Nitric Acid - Regional Insights:

Asia Pacific nitric acid market is estimated to be the fastest-growing in the forecast period, followed by Europe and North America. The expansion of the industry can be credited to the presence of concentrated nitric acid companies such as Shandong Fengyuan Chemical Stock Co. Ltd. (China), Hanwha Corporation (South Korea), and Ube Industries (Japan) among others, the market in China is estimated to grow the fastest over the forecast period.

Europe is the leading consumer of nitric acid owing to its demand for explosives and fertilizer. Largest demand was observed in Eastern and Western European, in the next few years. In the forecast period, Asia Pacific is expected to become the second largest consumer of nitric acid.

Concentrated Nitric Acid - End Use Landscape:

The end-user landscape entails a list of current and prospective consumers prevailing across the regions. This section provides company addresses, contact details, products, and regional presence of companies who are purchasing or are likely to purchase the concentrated nitric acid over the coming years.

Some leading consumers include Sinofert Holdings Limited (China), Eurochem (Switzerland), Bunge (U.S.), and Agrium Inc. (Canada), Agrium, Yara International, SinofeRT Holding Ltd., Terra Nitrogen Company, Potash Corp, IEP Technologies, SERGI Transformer Protector, and Sumitomo Chemical among others.

Concentrated Nitric Acid - Competitive Insights:

The companies involved in this industry are increasing their investment in expansion capacity and improving distribution networks, resulting in enhancing their position in the market. Mergers and acquisitions are being used to increase the demand for this industry in different regions in the forecast period.

The key companies operating in the market are Agrium Inc. (Canada), CF Industries (US), Deepak Fertilisers and Petrochemicals Corp. Ltd. (India), Hanwha Corporation (South Korea), Koch Fertilizers LLC (US), LSB Industries Inc. (US), National Chemical Group (Russia), OCI N.V. (Netherlands), Shandong Fengyuan Chemical Stock Co. Ltd. (China), Ube Industries (Japan), and Yara International (Norway).

Please note: This is not an exhaustive list of companies profiled in the report.