The market for urea is expected to witness a CAGR of more than 2.5% over the forecast period. One of the major factors driving the market studied is the increasing demand for fertilizers in the agriculture industry. However, health hazards regarding urea are likely to restrain the market.
- Stringent environment regulations for automotive emissions are also likely to boost the demand for urea, during the forecast period.
- The discovery of applications for urea in the preparation of bio-bricks is likely to create opportunities for the market in the coming years.
- Asia-Pacific accounted for the highest market share, and it is likely to dominate the market during the forecast period.
Key Market Trends
Technical Grade is Likely to Witness the Highest Growth Rate
- Technical grade urea is used in many applications, such as glue, medical drugs, dyes, disinfectants, cosmetics, and in the production of yeast.
- With the technological advancements in the automotive industry to meet the emission regulations, the use of urea in adblue to reduce the nitrogen oxide emission from the exhaust is increasing.
- Further, with the growing automotive fleet across the world, the consumption of adblue is projected to increase, which in turn will increase the consumption of technical grade urea.
- Additionally, urea is also used as a base component in many creams and with the growing demand for cosmetics, the demand for technical grade urea is likely to increase.
- Overall, the market for technical grade urea is expected to register the highest growth rate during the forecast period.
Asia-Pacific to Dominate the Market
- The Asia-Pacific region accounted for the highest market share followed by North America.
- With the increase in population, developments in the agriculture industries are taking place in countries, like India and China. This results in an increase in the consumption of nitrogen fertilizers, thereby, driving the market.
- Apart from the agriculture industry, consumption is also increasing with the advancements in chemical, automobile, and medical industries.
- Additionally, China is one of the largest producers of urea-formaldehyde resin in the world.
- Therefore, the consumption of urea is also expected to increase, due to the increasing demand for urea-formaldehyde resin in China.
- Hence, owing to the above-mentioned factors, Asia-Pacific is likely to dominate the market during the forecast period.
The market for urea is partially consolidated, as the market share is divided among a few major companies. Some of the key players of the market include SABIC, BASF SE, Nutrien Ltd., EuroChem Group, and KBR Inc. among others.
Reasons to Purchase this report:
- The market estimate (ME) sheet in Excel format
- Report customization as per the client's requirements
- 3 months of analyst support