Hydrochloric Acid Market Analysis

Global Hydrochloric Acid Market Overview

Hydrochloric Acid Market Size was predicted at USD 1.55 billion in 2023. The hydrochloric acid industry is projected to rise from USD 1.63 billion in 2024 to USD 2.44 billion by 2032, exhibiting a compound annual growth rate (CAGR) of 5.20% during the forecast period (2024 - 2032). The demand for steel and related products is rising along with the expansion of the building and automobile industries. This is the key market driver of the increase in acid usage for pickling steel alloy and stainless steel. The hydrochloric acid market is benefiting from the expansion of industrialization and the chemical industries. Investing significantly more in the pharmaceutical sector, where the main uses of the product include pH control, catalysts, and many more.

Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review

Hydrochloric Acid Market Trends

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  The growing steel sector boosts the market growth

  
  

The steel industry is important and linked to growth. It is the preferred material for numerous manufacturing, building, transportation, and consumer goods components.  crude steel output in 2021 was 1,951 million tonnes, according to worldsteel.org. With this, there is a greater need for pickling steel. Before going through additional processing steps like extrusion, rolling, and galvanizing, it eliminates rust or iron oxide scale from iron or steel. Technical quality hydrochloric acid, typically 18% concentrated, is the most used pickling agent for carbon steel grades. The steel pickling business developed hydrochloric acid regeneration systems that allowed the recovery of acids, such as the fluidized bed hydrochloric acid regeneration process and the spray roaster. The expanding steel industry is another factor driving the hydrochloric acid market revenue.

Figure1: Estimated worldwide production of crude steel in a million metric tons from 2012 to 2021

Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review

Oil and gas output is increased by acidifying oil wells, which indirectly increases the demand for and subsequent production of hydrochloric acid in tones. The hydrochloric acid market's primary and biggest driver might be the oil and gas industry and its need for acidizing. Increased R&D for application development by market participants due to increased investment in the mining and oil and gas sectors has created many opportunities for the hydrochloric acid market. In 2022, investments in oil and gas will rise by $26 billion. Additionally, improvements in the chemical production industry are anticipated throughout the projected period to fuel hydrochloric acid market expansion. Therefore, the growing oil exploration has enhanced the market CAGR in recent years.

Hydrochloric Acid Market Segment Insights

Hydrochloric Acid Application Insights

The hydrochloric acid market segmentation, based on application, includes steel pickling, oil well acidizing, ore processing, food processing, calcium chloride, and others. Steel pickling dominated the hydrochloric acid market in 2021. In many steel pickling operations, hydrochloric acid has taken the position of sulfuric acid. As a result, the demand for acid rose in several steel production facilities. It is crucial to R&D projects worldwide and opens doors for creative solutions in other industries. This will have a favorable effect on the hydrochloric acid market.

January 2022: ArcelorMittal Nippon Steel India inked an agreement with the government of Gujarat, India, to spend USD 5,893.25 million on its Hazira steel manufacturing facility. The investment aims to boost production capacity to 18 million metric tonnes per annum (MMTPA) from 8.6 MMTPA. This contract has further broadened the growth opportunity for the hydrochloric acid industry.

The second fastest-growing segment in the hydrochloric acid industry is calcium chloride. Calcium chloride is made using hydrochloric acid, which is utilized in various processes, including industrial processing, dust management, concrete treatment, tire ballasting, oil recovery, and others. Hence, rising applications of calcium chloride positively impact market growth.

Figure1: Hydrochloric Acid Market, by Application, 2022& 2030 (USD billion)

Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review

Hydrochloric Acid End-Use Industry Insights

The hydrochloric acid market data has been bifurcated by surgery into Food & Beverages, pharmaceuticals, textile, steel, oil & gas, chemical industry, and others. The food and beverage sector acquired a major market share in the hydrochloric acid market revenue. It is used as an acidifier in sauces, vegetable juices, and canned goods to help boost flavor and reduce spoilage. A wide range of food products, including corn syrups used in soft drinks, cookies, crackers, ketchup, and cereals, are processed by the food industry using hydrochloric acid.

The second fastest-growing segment in the hydrochloric acid industry is the chemical industry. The creation of inorganic and organic chemicals, the removal of metal stains, the extraction of oil, the purification of table salt, and pH control all include the usage of HCl. It removes the cations from the resins during the regeneration of ion exchange resins.

Hydrochloric Acid Regional Insights

By Region, the study provides market insights into Europe, North America, Asia-Pacific, and the Rest of the World. Asia Pacific hydrochloric acid market accounted for USD 0.5 billion in 2021 and is expected to exhibit a significant CAGR of 40.6 percent growth during the study period. The Asia-Pacific region's market may experience growth due to China, India, and other nations' expanding production capacities and increased demand from the steel, oil & gas, and chemical industries. In 2021, the Asia-Pacific area produced about 9.08 million barrels per day of oil (crude oil, shale oil, oil sands, and NGLs), according to the U.S. Energy Information Administration (EIA). Additionally, the government has been making efforts to draw FDI into the industrial sector to turn India into a powerhouse for manufacturing. Moreover, China's hydrochloric acid market held the largest market share, and the Indian hydrochloric acid market was the fastest-growing market in the Asia-Pacific region.

Further, the major countries studied in the market report are The U.S, Canada, Germany, France, UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.

Figure 2: HYDROCHLORIC ACID MARKET SHARE BY REGION 2021 (%)

Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review

The North American hydrochloric acid market is predicted to have significant market growth. The increased use in regional aerospace applications is blamed for this area's hydrochloric acid market expansion. In 2020, California had the highest revenue share of about 60%. This has been ascribed to the state of California's recent rapid expansion in the building industry due to increased investments. With 52,800 new units started, the multifamily building had a 17% increase from the previous year in 2021. As a result, the building industry places a high value on it, which is expected to increase demand for steel selection applications in the state.

Europe's hydrochloric acid market accounts for the third-largest market share. The main market drivers are the availability of inexpensive raw materials, technological innovation, rising demand for meat and other food applications, and the strong backing of large industrial businesses in the area. Germany is the market leader in Europe due to the region's manufacturers' high demand for items with matte finishes. Germany sold hydrochloric acid worth $51.7M in 2020. Further, the German hydrochloric acid market held the largest market share, and the UK hydrochloric acid market was the fastest-growing market in the European region.

Hydrochloric Acid Key Market Players& Competitive Insights

The market will expand as major market players make significant R&D efforts to diversify their product ranges. Market participants are participating in several strategic initiatives to strengthen their positions ly, in addition to significant market developments such as new product releases, contractual agreements, mergers and acquisitions, greater investments, and collaboration with other organizations. The hydrochloric acid industry's competitors must offer their goods at competitive pricing if they want to grow and succeed in a market that is becoming more cutthroat.

Local production to cut operating costs is one of the main business methods the hydrochloric acid industry uses to serve customers and expand the market sector. The hydrochloric acid industry has recently provided some of medicine's most important advantages. Hydrochloric acid market major players, including Dow Chemical Company, INOVYN Chlorvinyls ltd, Detrex Corporation, and Axiall Corporation, are supporting R&D projects to increase market demand.

Univar Solutions Inc is a chemical distribution firm that offers a wide range of industrial chemicals, additives, and customized services. Inorganic compounds, alcohol, acids and bases, surfactants, glycols, and general chemicals are among the products in its range. For instance, in October 2020, Univar Solutions Inc., a  chemical and ingredient distributor and value-added services provider, and PVS Chloralkali Inc., a wholly owned subsidiary of PVS Chemicals Inc. (PVS), announced today a new agreement under which PVS will transfer railcars located in Ohio, Illinois, and Virginia, as well as sourcing agreements for Hydrochloric Acid (HCL) to Univar Solutions.

Olin Corporation manufactures and sells chemical goods in the United States, Europe, and worldwide. Chlorine and caustic soda, ethylene dichloride and vinyl chloride monomers, methyl chloride, methylene chloride, chloroform, carbon tetrachloride, perchloroethylene, hydrochloric acid, hydrogen, bleach products, potassium hydroxide, chlorinated organics intermediates and solvents, and sodium hypochlorite are all available from the Chlor Alkali Products. For instance, in July 2021, Olin Corporation said it had agreed to purchase and sell chlorine produced from ASHTA Chemicals, Inc.'s Ashtabula, OH facility. This collaboration allows Olin and ASHTA to streamline logistics across both portfolios, lowering the number of kilometers chlorine travels to consumers and total transportation costs while boosting supply security and flexibility within the growing Olin network.

List of the Key Companies in the hydrochloric acid market include

• Dow Chemical Company


• Axiall Corporation


• Aditya Birla Chemicals Ltd


• INTERNATIONAL CHEMICAL INVESTORS SE


• INOVYN Chlorvinyls ltd


• Detrex Corporation


• Solvay SE

Hydrochloric Acid Industry Developments

February 2022: Westlake Chemical Corporation, a US-based manufacturer and distributor of petrochemicals, polymers, and building goods paid $1.2 billion for Hexion Inc.'s epoxy business. This acquisition is intended to help Westlake by increasing its integrated business by adding a top downstream range of coatings and composite products. Hexion Inc is a chemical firm established in the United States that manufactures specialty chemicals, related technology, and thermoset resins that operate in hydrochloric acid.

May 2021: Solvay, a chemical firm based in Belgium that operates in the hydrochloric acid industry, has introduced two non-fluorosurfactant technologies: Hylar 5000S and Tecnoflon LX. These technologies enable the creation of products used by its clients in a wide range of applications, including lithium-ion batteries, smart gadgets, medical device components, lithium-ion engines, and renewable energy installations.

Hydrochloric Acid Segmentation

Hydrochloric Acid Application Outlook

• Steel Pickling


• Oil Well Acidizing


• Ore Processing


• Food Processing


• Calcium Chloride


• Others

Hydrochloric Acid End-Use Industry Outlook

• Food & Beverages


• Pharmaceuticals


• Textile


• Steel


• Oil & Gas


• Chemical Industry


• Others

Hydrochloric Acid Regional Outlook

• North America
  
  
  
  • US
  
  
  • Canada
  
  
  
  


• Europe
  
  
  
  • Germany
  
  
  • France
  
  
  • UK
  
  
  • Italy
  
  
  • Spain
  
  
  • Rest of Europe
  
  
  
  


• Asia-Pacific
  
  
  
  • China
  
  
  • Japan
  
  
  • India
  
  
  • Australia
  
  
  • South Korea
  
  
  • Australia
  
  
  • Rest of Asia-Pacific
  
  
  
  


• Rest of the World
  
  
  
  • Middle East
  
  
  • Africa
  
  
  • Latin America