The biodiesel catalyst market is estimated to be valued at US$ 231.5 Mn in 2023 and is expected to exhibit a CAGR of 5.0% over the forecast period 2023-2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
Biodiesel catalysts are compounds that increase the rate of biodiesel production from vegetable oils or animal fats by breaking the fatty acid ester bonds to form fatty acid methyl esters and glycerol. Common biodiesel catalysts include sodium methoxide, potassium hydroxide, and sodium ethoxide. They help expedite the transesterification reaction between triglycerides and methanol and produce biodiesel and glycerin.
Market Dynamics:
The global biodiesel catalyst market is driven by increasing biodiesel production worldwide owing to rising environmental concerns and depleting fossil fuel reserves. According to data from the International Renewable Energy Agency, global biodiesel production reached over 27 billion liters in 2019. Additionally, supportive government policies and incentives promoting the use of renewable fuels in the transportation sector in countries such as Germany, France, Brazil, and Argentina are also fueling the demand for biodiesel catalysts. For instance, the German government offers tax reductions for biodiesel blended fuels. However, price volatility of vegetable oils used for biodiesel production and availability of substitutes such as metallic sodium and potassium hydroxide are some of the factors hampering the market growth.
SWOT Analysis
Strength: Biodiesel catalyst enhances biodiesel production process and increases yield. It leads to reduced production cost and maximizes profit. Reduced dependency on petrol and diesel also helps companies meet green targets.
Weakness: High initial investment is required to set up catalyst manufacturing units. Fluctuating raw material prices affect the catalyst cost.
Opportunity: Stringent emission norms drive the demand for green fuels. Growing biodiesel consumption in automotive and aviation sectors opens new markets. Support from governments in the form of subsidies boosts the adoption of biodiesel.
Threats: Development of alternate renewable fuels poses competition. Economic slowdowns lower the biodiesel demand.
Key Takeaways
The global biodiesel catalyst market is expected to witness high growth, exhibiting CAGR of 5.0% over the forecast period, due to increasing demand for green fuels. Governments across regions promote biodiesel to reduce dependence on fossil fuels.
Regional analysis
Europe dominates the global biodiesel catalyst market owing to robust biodiesel production and government support schemes. The Asia Pacific region is growing at the fastest pace on account of strong automotive production and use of biodiesel in transportation sector in China and India. Stringent emission norms also drive the market in Asia Pacific.
Key players
Key players operating in the biodiesel catalyst market are BASF SE, Evonik Industries AG, Clariant AG, DuPont de Nemours, Inc., Albemarle Corporation, Arkema SA, Johnson Matthey PLC, Mitsubishi Chemical Corporation, Honeywell International Inc., Shell Catalysts & Technologies, W. R. Chambers & Co., Haldor Topsoe A/S, Dow Chemical Company, CRI Catalyst Company, and Sud-Chemie India Pvt. Ltd. (Clariant India Ltd.).
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https://www.rapidwebwire.com/biodiesel-catalyst-market-size-share-growth-outlook-2023
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