Global Hydrodesulfurization Catalysts Market by Type (Non-load Type, Load Type), by Application (Naphtha, Diesel) and Region (North America, Latin America, Europe, Asia Pacific and Middle East & Africa), Forecast To 2028

Summary of the Report

Global hydrodesulfurization catalysts market was worth USD 2.46 billion in 2019. It is expected to grow at a compound annual rate (CAGR of 4.4%) between 2020 and 2027. This market is driven by increasing regulatory norms that govern the use of cleaner, low-sulfur fuels in all geographies. The market has seen a shift in demand for desulphurization catalysts in recent years due to the progressive move toward ultra-low sulfur (ULS), marine fuels, and heating oils, as well as jet fuels.

According to the Organization of the Petroleum Exporting Countries' (OPEC) report, desulfurization adds will be the most prominent increase in capacity among all units within the next few years. A projected increase of 12.4million barrels/day over the current 4.9 million barrels/day desulfurization capability (excluding naphtha) is needed by 2030.

Global refiners will increase their flexibility in the production of low sulfur fuel oil (LSFO) or diesel. This is to ensure that they can meet the growing demand for LSFO following the implementation of stricter fuel sulfur content rules such as IMO 2020.

The purpose of catalytic hydrodesulfurization is to remove most contaminants from oil fractions. This includes metals, sulfur and oxygen. In the near future, hydrodesulfurization catalysts will be in high demand due to technological advancements in automobile internal combustion engines and increasing environmental pollution regulations.

Due to the unprecedented spread of COVID-19 which led to the closures of factories and manufacturing facilities, there has been a substantial decline in oil demand, the first such case in a decade. Due to national lockdowns and a halt to air travel, global fuel demand will drop by 15%-10% in 2020 Q2. Many plants have been closed and others are operating at reduced rates. This could impact hydrodesulfurization catalyst consumption, particularly in India, China, France, Germany and Italy, which are the most affected economies. Manufacturers have faced a major challenge with the decline in oil demand, falling oil prices, and a reduction in rig counts. These factors will have a significant impact on market growth in 2020.

Type Insights

The dominant type segment was the load type hydrodesulfurization catalysts. This group accounted for an 89.9% revenue share in 2019. Many factors influence the hydrodesulfurization of supported catalysts, such as type of support, active component, type, pH of impregnation solutions, organic-inorganic additives and their content, metal-support interaction and slab length-stack numbers, type and content of promoters, and sulfidation circumstances, including temperature and time.

Supported hydrodesulfurization catalysts require high levels of hydrodesulfurization activity. This is due to the importance of promoter content, metal additions, moderate temperatures, hydrogen as an activation gas, and weak metal-sulfur bonds energies. These factors are important for the formation of catalysts that can be used to produce fuels and meet the requirements for ultra-low sulfur fuels. Market growth is expected to be triggered by this.

Non-load hydrodesulfurization catalysts have gained wide acceptance in the past decade due to the strict environmental regulations that require refineries to produce low sulfur fuels. Their high activity, which is 2.5 to 3 times greater than supported hydrodesulfurization catalysts, has been widely accepted. Unsupported hydrodesulfurized catalysts can be synthesized by precipitation or hydrothermal methods, which is environmentally friendly. Unsupported hydrodesulfurized catalysts are more active than supported ones, but they have some major disadvantages such as low surface area and sintering.

Application Insights

With a 48.4% revenue share in 2019, diesel was the most prominent segment of the market. Hydrodesulfurization is a process that makes diesel fuel. This removes the sulfur in the organic sulfur components of the oil and creates hydrogen sulfide. In the past decade, sulfur-free diesel has been a popular choice. The segment is expected to grow due to the rising demand for high-performance catalysts for hydrodesulfurization from many international refineries that produce sulfur-free diesel.

Naphtha is mainly used for sulfur removal. Naphtha is made up of liquid hydrocarbons. It has a vapor pressure around 0.69bar and a boiling range of 40degC to 140degC. Naphtha is made from a variety of processes, including crude distillation, delayed coking, catalytic cracking and crude distillation. It has a low octane value and can contain multiple types of impurities. For Pt catalyst activities, oxygen, nitrogen, sulfur and other impurities found in naphtha can be toxic. Manufacturers are concerned about removing these impurities, which leads to a high demand for hydrodesulfurization catalytics.

Hydrodesulfurization catalysts can also be used in other end-use applications such as FCC gasoline post-treatment and kerosene/resid pretreatment. These catalysts can also be used for hydrogenation in food and other applications, such as saturation of olefins.

Regional Insights

North America was the largest regional market in hydrodesulfurization catalysts in 2019, accounting for a 30.2% revenue share. North America's market is driven by growing concerns about the negative effects of sulfur dioxide on the environment and human health. The U.S. EPA has established that ultra-low sulfur diesel must contain a maximum of 15 ppm in order to be used on all U.S. locomotives and vessels. The U.S.'s existing petroleum refineries are expected to increase the North American market for hydrodesulfurization catalysts. The U.S. Department of Energy reported that there were 132 operating refineries in the U.S. in 2019. The total catalytic hydrotreating/desulfurization capacity of fuels, such as naphtha, gasoline, heavy gas oil, and distillate fuel oils (including kerosene and diesel), in the U.S., was 17,794,574 barrels per stream day in 2019.

North America is closely followed by Asia Pacific. The market is driven by increasing investments in new refineries and expansions of existing refineries. Significant growth opportunities are expected for Asia Pacific's market due to the recent implementation of the International Maritime Organization 2020 mandate, which aims to reduce sulfur emissions by ocean vessels by 80%. The Oxford Institute for Energy Studies predicts that China will produce more than 18 million tonnes of very-low sulfur fuel oil (VLSFO), by 2020, and 30 million tons by 2023.

Refiners have made huge investments to upgrade and expand their facilities with new equipment and technologies in order to produce cleaner fuels and meet the new sulfur emission regulations. Kuwait, UAE and Saudi Arabia are the largest exporters of low sulfur crude oil in the Middle East and Africa. Fujairah is the second-largest port in the world for bunker fuel. It was upgraded to meet IMO 2020.

Market Share Insights & Key Companies

Albemarle Corporation, Royal Dutch Shell PLC and Royal Dutch Shell PLC are key players in the production of this product. They collectively have a large market share in terms revenue. They have global operations and a diverse product portfolio. Forward integrated players such as China Petrochemical Corporation and Axens, which manufacture hydrodesulfurization catalysts and then use them to purify petroleum products, are examples. These companies are able to offer a competitive cost advantage over non-integrated catalyst producers and they also have high economies of scale.

The market leaders' most prominent operational strategies include securing high-growth areas, acquisitions, investments and the construction and operation of fully optimized supply chains. A key product strategy is intensive R&D to develop sustainable high-performance catalysts using new technologies such as nanotechnology. JGC C&C makes catalysts primarily based on nanotechnologies like macrostructure control technology or nanopore control technology.

The manufacturers are also focused on establishing long-term supply contracts with distributors/suppliers to ensure the continuous supply of their products and technology licensing for revenue increases. LyondellBasell granted a licence to CNPC for the purpose of strengthening its catalyst manufacturing capabilities in 2019. These are some of the most prominent players in the global market for hydrodesulfurization catalysts:

• Albemarle Corporation

• Advanced Refining Technologies

• Sinopec Corp.

• Haldor Topsoe A/S

• Royal Dutch Shell PLC

• PetroChina Company Limited (CNPC).

• Axens SA

• JGC C&C

• Honeywell International Inc

• Johnson Matthey Plc

Up Market Research published a new report titled “Hydrodesulfurization Catalysts Market research report which is segmented by Type (Non-load Type, Load Type), by Application (Naphtha, Diesel), By Players/Companies Honeywell International Inc, Haldor Topsoe A/S, Johnson Matthey Plc, PetroChina Company Limited (CNPC), Royal Dutch Shell PLC, Advanced Refining Technologies, Albemarle Corporation, Sinopec Corp, JGC C&C, Axens SA”. As per the study the market is expected to grow at a CAGR of XX% in the forecast period.

Report Scope

The report covers comprehensive data on emerging trends, market drivers, growth opportunities, and restraints that can change the market dynamics of the industry. It provides an in-depth analysis of the market segments which include products, applications, and competitor analysis.

Global Hydrodesulfurization Catalysts Market Report Segments:

The market is segmented by Type (Non-load Type, Load Type), by Application (Naphtha, Diesel).

Hydrodesulfurization Catalysts Market research report delivers a close watch on leading competitors with strategic analysis, micro and macro market trend and scenarios, pricing analysis and a holistic overview of the market situations in the forecast period. It is a professional and a detailed report focusing on primary and secondary drivers, market share, leading segments and geographical analysis. Further, key players, major collaborations, merger & acquisitions along with trending innovation and business policies are reviewed in the report.

Key Benefits for Industry Participants & Stakeholders:

• Industry drivers, restraints, and opportunities covered in the study
• Neutral perspective on the market performance
• Recent industry trends and developments
• Competitive landscape & strategies of key players
• Potential & niche segments and regions exhibiting promising growth covered
• Historical, current, and projected market size, in terms of value
• In-depth analysis of the Hydrodesulfurization Catalysts Market

Overview of the regional outlook of the Hydrodesulfurization Catalysts Market:

Based on region, the market is segmented into North America, Europe, Asia Pacific, Latin America and Middle East & Africa (MEA). North America region is further bifurcated into countries such as U.S., and Canada. The Europe region is further categorized into U.K., France, Germany, Italy, Spain, Russia, and Rest of Europe. Asia Pacific is further segmented into China, Japan, South Korea, India, Australia, South East Asia, and Rest of Asia Pacific. Latin America region is further segmented into Brazil, Mexico, and Rest of Latin America, and the MEA region is further divided into GCC, Turkey, South Africa, and Rest of MEA.

Highlights of The Hydrodesulfurization Catalysts Market Report:

1. The market structure and projections for the coming years.
2. Drivers, restraints, opportunities, and current trends of Hydrodesulfurization Catalysts Market.
3. Historical data and forecast.
4. Estimations for the forecast period 2028.
5. Developments and trends in the market.

                1. Non-load Type

                2. Load Type

                1. Naphtha

                2. Diesel

8. Market scenario by region, sub-region, and country.
9. Market share of the market players, company profiles, product specifications, SWOT analysis, and competitive landscape.
10. Analysis regarding upstream raw materials, downstream demand, and current market dynamics.
11. Government Policies, Macro & Micro economic factors are also included in the report.

We have studied the Hydrodesulfurization Catalysts Market in 360 degrees via. both primary & secondary research methodologies. This helped us in building an understanding of the current market dynamics, supply-demand gap, pricing trends, product preferences, consumer patterns & so on. The findings were further validated through primary research with industry experts & opinion leaders across countries. The data is further compiled & validated through various market estimation & data validation methodologies. Further, we also have our in-house data forecasting model to predict market growth up to 2028.

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Reasons to Purchase the Hydrodesulfurization Catalysts Market Report:

• The report includes a plethora of information such as market dynamics scenario and opportunities during the forecast period
• Segments and sub-segments include quantitative, qualitative, value (USD Million,) and volume (Units Million) data.
• Regional, sub-regional, and country level data includes the demand and supply forces along with their influence on the market.
• The competitive landscape comprises share of key players, new developments, and strategies in the last three years.
• Comprehensive companies offering products, relevant financial information, recent developments, SWOT analysis, and strategies by these players.