The market for precious metal catalysts is expected to witness a CAGR of around 5% during the forecast period. Major factors driving the market are the accelerating demand for high-performance transportation fuel and increasing investment in refineries.
- High production costs and impact of COVID-19 pandemic are likley to hinder the growth of the market studied.
- By application, petrochemicals segment is likely to dominate the market studied through the forecast period.
- Asia-Pacific dominated the market with the largest consumption coming from China, ASEAN Countries, and India.
Key Market Trends
Platinum Segment to Dominate the Market
- Platinum is the most widely used metal for emission control applications, since it improves combustion.
- Improved combustion helps to reduce emissions and enhance the catalyst’s performance.
- Since, platinum is effective under oxygen-rich conditions, it is used widely for diesel applications.
- Furthermore, platinum offers several other advantages, such as:
- It has a high melting point, thereby providing thermal durability.
- It possesses excellent oxidation activity at low temperatures.
- It is effective against sulfur compounds and helps in reducing the sulfur content in crude oil, in the refineries.
- It can be efficiently recycled.
- Sources, such as, automobiles, refinery & petrochemical complexes, chemical industries, oil and natural gas processing plants, and pharmaceutical industries, among others, are discovering an increasing number of applications of platinum-based emission control catalysts
China to Diminate the Asia-Pacific Market
- China is one of the fastest growing economies, globally. Furthermore, almost all the end-user industries have been witnessing growth, owing to the growing population, living standards, and per capita income.
- China is a hub for chemical processing, accounting for a major chunk of the chemicals produced globally. The country contributes more than 35% of the global chemical sales. The chemical industry is another prominent end-user industry in China. Many major companies in the market have their chemical plants in China. With the growing demand for various chemicals, globally, the demand for precious metal catalysts from this sector is projected to grow during the forecast period.
- The Chinese healthcare sector is also growing at a rapid pace. As a part of Beijing's "Made in China 2025" industry plan, President Xi Jinping announced his plans to focus on the innovation and homegrown R&D concerning the pharmaceutical sector.
- Moreover, the Chinese automotive manufacturing industry is the largest in the world. Though the industry witnessed a slowdown in 2018, wherein the production and sales declined. Similar trend continued, with the production witnessing a 7.5% decline in 2019. According to the China Association of Automobile Manufacturers (CAAM), automotive production is expected to decline by about 2% in the end of 2020.
- The “Made in China 2025” initiative aims to support in upgrading the existing low-cost mass production to higher value-added advanced manufacturing. The “Automobile Mid and Long-Term Development Plan” was released in the April 2017, with an objective to make China a strong auto power in the next ten years. This growth in the automotive industry is likely to increase the consumption of precious metal catalysts in the industry.
- However, due the onset of COVID-19, the economic growth of China now seems to contract by a considerable extent in 2020. Many manufacturing and associated activities have already taken a hit in early 2020, and the economic situation is expected to remain dire, if the manufacturing activities are not set back on track by mid-2020.
The global precious metal catalysts market is partially consolidated in nature, with the top five players accounting for a major share of the global market. Some of the prominent players in the market include Clariant, BASF SE, Evonik Industries AG, Johnson Matthey, and Umicore, among others.
Reasons to Purchase this report:
- The market estimate (ME) sheet in Excel format
- 3 months of analyst support