The global industry for high-performance refinery additives is poised to reach USD 2.4 billion in 2025, and is likely to cross USD 3.6 billion by 2035 at a CAGR of 4.2% over the forecast period. The demand of these additives is driven by their potential to improve fuel and processing materials’ properties, leading to greater efficiency and performance.
In 2024, the refinery additives industry for high performance developed with a sharp focus on regulatory compliance and process efficiency. Tightening fuel quality requirements encouraged refiners to incorporate advanced additive solutions, which ensured improved combustion performance and lower emissions.
The trend of alternative fuel blending, such as biofuels and synfuels, generated new requirements in fuel stability and compatibility, driving greater dependence on multifunctional refinery additives. Furthermore, supply chain interruptions and fluctuating prices of crude oil compelled a strategic shift towards low-cost, high efficiency additives that maximize refinery throughput and fuel yield.
Moving forward to 2025, the industry is poised for expansion as refineries will be integrated with technological advancements for next generation of fuel specifications. Rising adoption of digital refinery technologies and AI- optimized process management will elevate the accuracy of additive application while limiting the waste and optimizing fuel performance.
Metric | Value |
---|---|
Industry Size (2025E) | USD 2.4 billion |
Industry Value (2035F) | USD 3.6 billion |
CAGR (2025 to 2035) | 4.2% |
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2020 to 2024 | 2025 to 2035 |
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The industry continued to grow steadily on the back of rising fuel consumption, but Covid19-pandemic supply chain disruptions and volatile crude oil prices led to fluctuation. Refineries concentrated on affordable additive solutions to maximize fuel quality while complying with changing emission regulations. | The industry will be facing a paradigm shift with increased investment in the next-generation refinery additives for boosting the performance of the fuel and maintaining the objectives for reducing carbon emissions. Innovation in refinery processes will see a boom for multifunctional additives used in efficiency boosts, minimizing wastes, and abiding by the requirements for ultra-low emission regulation. |
There was regulatory pressure that grew, especially in Europe and North America, forcing refiners to implement sulfur-reducing and anti-fouling additives to ensure the stringent fuel quality requirements. There was slow biofuel integration that was hampered by infrastructure issues and uneven policies. | Governments across the globe are likely to introduce near-zero sulfur regulations and tighter carbon emissions limits. The swift growth in biofuel, hydrogen, and synthetic fuel marketplaces will expedite the demand for stability and performance-enhancing additives to support smooth fuel compatibility and efficiency. |
Refiners mostly invested in cost-cutting measures, with an emphasis on boosting refining efficiency and lowering operating costs. Digital monitoring and AI began gaining hold but were not extensively promoted. | The decade to come will see AI-based refinery automation, allowing exact additive dosing and real-time monitoring of fuel quality. Moreover, in situ additive production will take off to save the supply chain from risks and to improve sustainability initiatives to provide long-term industry stability. |
The high-performance refinery additives sector is positioned within the specialty chemicals and energy industry, refining and petrochemicals category. The sector is affected by macroeconomic drivers like crude oil prices, energy consumption, regulatory policies, and refining technology.
From the macro-economic angle, this sector is extremely sensitive to global energy consumption and changes in crude oil prices. With expanding economies comes industrial and transport fuel usage, and hence refinery additives demand. Nevertheless, the shift to renewable energy and carbon neutrality objectives poses both challenges and opportunities. More stringent environmental controls globally are pushing refiners to make fuels cleaner, which will drive the uptake of sophisticated additives.
In addition, supply chain dynamics, geopolitical tensions, and raw material prices influence production and pricing. In the future, investments in sustainable refining technologies, biofuels, and hydrogen-based fuels will drive sector growth, making high-performance additives an essential part of attaining fuel efficiency and regulatory compliance.
The high-performance refinery additives industry will witness steady growth during the forecast period, led by the contribution of several additives elevating and refining the efficiency and regulatory compliance. Stabilizers will remain the critical aspect in ensuring fuel integrity by incorporating oxidation and degradation, particularly as the integration of biofuels increases.
The demand for corrosion inhibitors will accelerate as refiners upgrade infrastructure and implement alternative feedstocks that carry a higher risk of pipeline and equipment corrosion. Scavengers will continue to remain an crucial element in eradicating miscellaneous and unwanted impurities like hydrogen sulfide and water to maintain fuel quality an safety.
With the increasing adoption of low-sulfur and bio-based fuels, the antioxidants will emerge rapidly. Antifoulants will assist in refinery operation by inhibiting deposits and residue buildup, limiting downtime and maintenance expenses.
Similarly, defoamers will emerge as an important element in refining process optimization through the control of foam generation in distillation and cracking units. With the rigid government compliance of fuel efficiency and emission standards, cetane and octane improvers will witness robust growth.
Lubricity improvers will continue to be essential in ultra-low sulfur diesel applications to protect the engine and provide efficiency. Metal deactivators will be required as refiners handle varied crude sources, averting metal-related fuel instability. Catalyst regenerators will propel efficiency in fluid catalytic cracking (FCC) and hydroprocessing, prolonging catalyst life and enhancing refinery throughput. Other specialty additives will also appear, responding to changing challenges in fuel formulation, storage, and environmental compliance.
The sector for high-performance refinery additives will fluctuate across refining applications between 2025 and 2035, with advances in technology determining their use. In the processing of crude oil, additives will continue to be essential in stabilizing feedstocks, enhancing separation efficiency, and minimizing operational hazards from corrosive and high-sulfur crude oils. As crude sources become more diversified globally, refiners will depend more on specialty additives to maintain consistency in output quality.
Fluid catalytic cracking (FCC) will experience a greater application of catalyst regenerators, metal deactivators, and antifoulants as refiners will concentrate on yield maximization and emissions reduction. The growing focus on fuel quality improvement will lead to investments in sophisticated FCC additives, helping refiners comply with more stringent sulfur and particulate matter standards.
Hydroprocessing, such as hydrocracking and hydrotreating, will see increased use of lubricity improvers, stabilizers, and corrosion inhibitors in order to ensure fuel efficiency and refinery uptime. The trend towards ultra-low sulfur fuels and cleaner refining technologies will drive the demand for performance-enhancing additives in hydroprocessing even further.
Other refining uses, such as coking, visbreaking, and blending, will also drive industry growth. Optimizing product yield, fuel stability, and refining efficiency additives will be increasingly sought after. Refiners will turn to creative additive solutions as alternative fuels like synthetic and hydrogen-based fuels continue to gain popularity, to meet emerging compatibility and performance issues.
The USA refining sector will prioritize cleaner fuel output and emissions cut with the implementation of tighter Environmental Protection Agency (EPA) regulations. Growing adoption of renewable diesel and sustainable aviation fuel (SAF) will propel demand for advanced additives that improve fuel stability and efficiency.
Advances in technology, such as AI-driven refinery automation, will further refine additive application for maximum cost-effectiveness and regulatory compliance. Moreover, the impact of shale oil will increase the demand for corrosion inhibitors and scavengers to control impurities.
The demand for catalyst regenerators and metal deactivators will also increase in the USA to enhance the efficiency of refining and enhance catalyst life. Refiners will need new additive solutions as hydrogen fuel use grows to ensure fuel uniformity and stop oxidation, driving the future of the industry. FMI believes that the USA industry will see consistent growth at a CAGR of 3.8% in 2025 to 2035.
India's high-performance refinery additives industry is spurred by accelerating industrialization and growth in fuel consumption. The increasing vehicle fleet and energy needs of the country will compel refiners to use cetane and octane improvers to improve fuel performance. Biofuels and ethanol-blending initiatives by India's government will generate new fuel stability challenges, requiring stabilizers and antioxidants.
The growth of mega-refining initiatives, including those of Indian Oil Corporation and Reliance Industries, will drive greater use of hydroprocessing and fluid catalytic cracking (FCC) additives to enhance refinery yield. Growing fears regarding sulfur emissions will also see demand for defoamers and corrosion inhibitors. FMI estimates India's industry to grow at a strong CAGR of 5.1% between 2025 and 2035.
China's shift to low-carbon fuels and tighter emission standards, refiners will depend more on deposit control additives and sulfur-reducing chemicals, ultimately dominating the high-performance refinery additives industry. Furthermore, China's investment in future-generation petrochemical refineries will boost demand for cutting-edge FCC catalysts and metal deactivators to maximize fuel yield. As the nation builds up its hydrogen fuel and synthetic fuel sectors, refiners will need new additive solutions to boost the safety of fuel storage and transport.
The transition towards localized additive production will also drive innovation in refinery chemical formulation, making China a leading global player in the development of refinery additives. FMI opines that China's industry will witness steady growth at a CAGR of 4.5% from 2025 to 2035.
The UK's ultra-low sulfur diesel (ULSD) mandate compliance will be driven by adapting to high-performance refinery additives, creating a demand for lubricity improvers and cetane improvers. As renewable fuels find more favor with the industry, these include synthetic aviation fuels and biodiesel, stabilizers, antioxidants, and corrosion inhibitors will have higher demand.
The UK's drive towards net-zero by 2050 will drive hydroprocessing additive investment, supporting effective fuel upgrading and compliance with the changing EU and local regulations. Moreover, with the nation accelerating its hydrogen and carbon capture utilization and storage (CCUS) initiatives, refineries will need specialized additives for cleaner fuel production.
AI and automation in refining operations will further refine the efficiency of additives and cost optimization in the next decade. FMI forecasts that the UK industry will grow consistently at a CAGR of 3.6% between 2025 to 2035.
Germany will focus on catalyst regenerators and metal deactivators to enhance the efficiency of refining while lowering carbon emissions. Germany's aggressive campaign for biofuels and e-fuels will demand stabilizers and antioxidants for ensuring fuel quality throughout storage and distribution. Refinery additives will become vital to ensuring fuel performance and safety, as the automotive industry shifts towards synthetic and hydrogen fuels.
Besides, fluid catalytic cracking and hydroprocessing additives will become increasingly popular to meet strict EU fuel standards. Support for circular economy programs by the German government will stimulate research on biodegradable and environmentally friendly refinery additives, and innovation with minimized environmental impact will be enhanced in the refining industry. FMI believes that Germany's industry will continue to grow at a CAGR of 3.9% until 2035.
South Korea's high-performance additives industry for refinery will be propelled by the country's technologically superior refining industry and Clean Energy drive. South Korean refiners will increase the application of deposit control additives, metal deactivators, and cetane improvers to maximize fuel performance while lowering emissions. South Korea's dominance in hydrogen energy and synthetic fuel will generate new demand for fuel stabilizers and lubricity improvers, making alternative fuels integrate seamlessly into the system.
As aviation fuel demand increases, refiners will be investing in scavengers and high-performance antioxidants to increase the longevity of the fuel. Also, the expansion of the petrochemical industry in the country will propel the use of antifoulants and catalyst regenerators to optimize refining. FMI estimates South Korea's industry to develop gradually at a CAGR of 4.1% from 2025 to 2035.
Japan's industry for refinery additives will be augmented by the nation's drive towards energy security and sophisticated refining technology. Japan's refiners will increasingly use high-performance stabilizers and antioxidants to enhance the longevity of low-emission fuels.
With the growing focus on hydrogen and ammonia-based fuels, Japan will need innovative metal deactivators and lubricity improvers to guarantee fuel stability and corrosion protection. The transition of the aviation industry towards sustainable aviation fuel (SAF) will create more demand for deposit control additives and cetane improvers.
Also, Japan's emphasis on carbon-neutral refineries will create the need for investments in hydroprocessing additives, helping refiners achieve net-zero emission targets. FMI believes Japan's industry will grow at a CAGR of 3.7% during 2025 to 2035.
France's mandate for increased biofuel blending ratios will have a major impact on demand for stabilizers, antioxidants, and lubricity improvers. France's initiative towards synthetic fuels and hydrogen power will necessitate refiners to incorporate next-generation corrosion inhibitors and cetane improvers to maintain fuel efficiency and longevity. The decline of conventional fossil fuel refining will drive refiners to more specialized and high-value fuel formulations, and demand for next-generation refining additives.
In addition, France's emphasis on circular economy concepts will promote the utilization of biodegradable and environmentally friendly refinery additives, solidifying its position as a leader in green fuel technologies. FMI forecasts that France's industry will see consistent growth at a CAGR of 3.5% during from 2025 to 2035.
Italian refiners will continue to invest in hydroprocessing additives and antifoulants as they seek to maximize production efficiency and adhere to changing European Union fuel quality standards. Italy's aggressive drive for marine fuel upgrade under the IMO 2020 regulations, will continue to increase the demand for deposit control additives and sulfur-reducing chemicals, which will limit maritime fuels' environmental footprint. Increased bio-refinery production in the nation will lead to higher use of antioxidants and stabilizers so that biofuels are kept stable for longer storage times.
With refiners incorporating carbon capture and storage (CCS) technologies, the need for sophisticated fuel processing chemicals will increase, keeping Italy at the forefront of the changing energy landscape. FMI believes Italy's industry will grow steadily at a CAGR of 3.8% during the period 2025 to 2035.
With shrinking crude oil refining capacity in Australia, the demand will move towards specialized additives for synthetic and bio-based fuels to suit changing energy sources. Increasing focus on sustainable aviation fuel (SAF) in both nations will necessitate stabilizers, antioxidants, and cetane improvers to improve fuel durability and performance.
In addition, hydrogen fuel initiatives will also drive demand for fuel stabilizers and corrosion inhibitors to guarantee reliability in hydrogen-powered vehicles and energy storage. As Australia and New Zealand shift towards low-carbon transport, refiners will concentrate on octane and cetane boosters to enhance fuel efficiency.
In addition, regulations for marine fuel will create greater demand for deposit control additives to comply with global emissions standards. FMI estimates that Australia and New Zealand's industry will grow at a CAGR of 4.0% during 2025 to 2035.
Future Market Insights undertook a comprehensive survey among key stakeholders, such as refinery operators, manufacturers of additives, and industry professionals, to analyze the changing trends in the industry for high-performance refinery additives. The survey concluded that sustainability and regulatory compliance are emerging as the major reasons for the uptake of additives, with stakeholders underscoring the requirement for low-emission and bio-based solutions.
Refinery operators emphasized the growing demand for deposit control additives, lubricity improvers, and metal deactivators as they work to improve fuel quality while minimizing environmental footprint. Moreover, the transition to alternative fuels like biofuels, synthetic fuels, and hydrogen-based energy is posing novel challenges in fuel stability and storage, compelling refiners to seek for sophisticated stabilizers and antioxidants.
The survey also indicated that technological innovations in AI-based refinery automation are impacting additive choice, with refiners seeking to maximize processing efficiency and reduce costs. Stakeholders observed an increasing trend towards bespoke additive solutions for specific refinery operations, which would deliver superior performance and meet changing global standards.
In the emerging world, rapid industrialization and growing fleets of vehicles are raising the demand for octane and cetane improvers, whereas developed economies emphasize efficiency in refining and carbon footprint minimization. The research concluded that with the energy transition gaining momentum, innovation in refining additives would play a pivotal role in balancing performance, sustainability, and regulatory compliance.
Countries | Government Regulations & Policy Impact |
---|---|
United States | The EPA's Tier 3 rules require lower levels of sulfur in fuels, boosting the need for sulfur-reducing additives. The Renewable Fuel Standard (RFS) encourages biofuel blending, which compels refiners to utilize stabilizers and antioxidants. Refiners are required to meet ASTM D975 for diesel fuel quality and ASTM D4814 for gasoline quality. |
India | The Bharat Stage (BS-VI) regulations impose more stringent emission norms, necessitating the use of cetane and octane improvers. The government encourages 20% ethanol blending (E20), which demands sophisticated fuel stabilizers and corrosion inhibitors. Fuel additive approvals are regulated by the Petroleum & Explosives Safety Organization (PESO). |
China | The China VI emissions standard restricts sulfur and particulate matter, increasing demand for metal deactivators and deposit control additives. The government's initiative towards methanol and synthetic fuels mandates new fuel stabilizers and lubricity improvers. Diesel has to meet GB/T 19147 and gasoline has to meet GB/T 17930. |
United Kingdom | The Renewable Transport Fuel Obligation (RTFO) requires the use of biofuels, boosting the demand for fuel antioxidants. The UK Emissions Trading Scheme (ETS) motivates refiners to reduce emissions through cleaner processing methods and additives. Refiners meet EN 228 (gasoline) and EN 590 (diesel) specifications. |
Germany | Fuel Quality Directive (FQD) and Euro 7 regulations set more stringent emissions limits, thus increasing the demand for hydroprocessing additives and lubricity improvers. Biofuel Quota Act requires greater biofuel utilization, hence demanding stabilizers. DIN EN 228 and DIN EN 590 certification is a requirement. |
South Korea | The Korean Air Pollution Control Act mandates more stringent fuel quality standards, calling for deposit control additives. The Green Growth Initiative of the Government favors hydrogen fuel growth, which demands new corrosion inhibitors and fuel stabilizers. Refiners have to meet KS M2610 (diesel) and KS M2280 (gasoline) standards. |
Japan | The Clean Air Act and Energy Act on Rational Use of Energy mandate refiners to employ sulfur-reducing additives and efficiency improvement additives. Fuel quality is governed by the JIS K2204 and JIS K2202 standards. Government subsidies for hydrogen power stimulate demand for high-performance stabilizers. |
France | The Energy Transition Law encourages more biofuel blending, increasing demand for antioxidants and lubricity improvers. Refiners need to meet EU Fuel Quality Directive and Euro 7 requirements with low-emission additives. NF EN 228 (gasoline) and NF EN 590 (diesel) certification are compulsory. |
Italy | The National Energy Strategy emphasizes emissions reduction, greater dependence on hydroprocessing and cetane-enhancing additives. The EU Renewable Energy Directive requires biofuel blending, where refiners must employ stabilizers and deposit control additives. UNI EN 228 and UNI EN 590 compliance is required. |
Australia & New Zealand | The Fuel Quality Standards Act restricts noxious fuel additives, increasing demand for antioxidants and metal deactivators. The National Hydrogen Strategy promotes investment in fuel additives that are compatible with hydrogen. They must be certified under AS 3570 (diesel) and AS 1876 (gasoline). |
The additives industry for the refinery is transforming with biofuel uptake, emission control regulations, and refinery automation. The investors should target next-generation stabilizers, antioxidants, and lubricity improvers to provide fuel compatibility with biofuels, synthetic fuels, and hydrogen energy. Investing in carbon capture and corrosion-proof additives will satisfy future refinery demands.
Digitization is one of the big opportunities-additive dispensing systems powered by AI can enhance efficiency and lower waste. Businesses should collaborate with AI companies to create intelligent additive solutions. Indian, Chinese, and Southeast Asian localized production will fulfill increasing demand, while marine fuel additives are high potential in the USA and Europe under IMO regimes.
To remain competitive, businesses need to interface with policymakers, obtain ASTM, EN, JIS, and BIS certification, and harmonize products according to coming fuel standards. Focusing on sustainability, efficiency, and compliance can assist stakeholders in achieving sustained industry growth.
The industry for high-performance refinery additives is fairly consolidated, and there is a combination of top global players as well as local manufacturers. Multifaceted strategies are being implemented by dominant players in the high-performance refinery additives industry.
Strategic alliances and collaborations are also critical. Firms are making partnerships to increase product offerings and deepen industry presence. The Glencore and Chandra Asri acquisition of Shell's Singapore refinery is a good example of such strategic initiatives, allowing for greater access to refined products and a larger petrochemical industry share.
Recent trends in the refinery additives sector point to major mergers and acquisitions. Glencore and Chandra Asri completed the buyout of Shell's Singapore refinery in November 2024, reserving around 20% of the refinery's production for Shell. This strategic acquisition boosts Glencore's refined products access and extends Chandra Asri's industry presence in the petrochemicals sector.
In addition, oil refineries have also been integrating renewable feedstocks, including used cooking oil, to manufacture cleaner fuel. This trend has heightened the demand for catalysts and additives to purify bio-feedstock, as part of efforts towards global sustainability. These advances reflect the industry's focus on innovation, strategic alliances, and sustainability in its response to the changing energy trajectory.
Market Share Analysis
BASF SE: ~15-20%
A global leader in refinery additives, known for its innovative solutions for fuel efficiency and emissions reduction.
Chevron Corporation: ~10-15%
A major player with a strong focus on high-performance additives for cleaner fuels and refining processes.
Infineum International Limited: ~10-12%
A joint venture between ExxonMobil and Shell, specializing in lubricant and refinery additives.
Nalco Champion (Ecolab): ~8-10%
A key provider of refinery process additives, particularly in water treatment and corrosion inhibition.
Baker Hughes: ~5-8%
Known for its comprehensive portfolio of additives aimed at improving refinery efficiency and compliance.
Clariant AG: ~5-7%
Specializes in high-performance additives for fuel optimization and process enhancement in refineries.
Stringent fuel regulations, rising biofuel adoption, and refinery modernization efforts are driving demand for advanced additives.
Leading firms are innovating fuel stabilizers, metal deactivators, and lubricity improvers to meet stricter emission norms and efficiency requirements.
Companies are developing eco-friendly additives and integrating renewable feedstocks to align with global carbon reduction goals.
Recent deals, such as refinery acquisitions and partnerships, indicate strategic expansions to strengthen production capacity and distribution networks.
Asia-Pacific, particularly China and India, is seeing rapid expansion due to industrialization, rising fuel demand, and regulatory advancements.
Stabilizers, Corrosion Inhibitors, Scavengers, Antioxidants, Antifoulants, Defoamers, Cetane Improvers, Octane Improvers, Lubricity Improvers, Metal Deactivators, Catalyst Regenerator, Others
Crude Oil Processing, Fluid Catalytic Cracking, Hydro processing, Others
North America, Latin America, Western Europe, Eastern Europe, East Asia, South Asia and Pacific, The Middle East and Africa
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