The global market for high performance refinery additives is projected to worth USD 2.2 billion in 2023. The market is likely to surpass USD 3.3 billion by 2033 at a CAGR of 4.2% during the forecast period.
The demand for these additives is driven by their remarkable feature to tune the properties of processing material/fuels to desired levels. These chemicals not only reduce the processing efforts for the petroleum products but also ease their storage and transportation activities.
The growing demand for petroleum fuel from transportation sector is driving the market for high performance refinery additives. Growing number of liquid fuel powered vehicles is resulting in stricter regulations worldwide corresponding to the quality of fuel. The adoption of high performance refinery additives helps the manufacturers to meet these regulations and reduce the environmental impact from these non-renewable energy sources.
Other Drivers Propelling the Demand for High Performance Refinery Additives include:
Challenges for Companies /Manufacturers in the Market:
Opportunities in the Market:
Latest Trends in the Market:
| Attributes | Details |
|---|---|
| High Performance Refinery Additives Market Size (2023) | USD 2.2 billion |
| High Performance Refinery Additives Market Projected Size (2033) | USD 3.3 billion |
| Value CAGR (2023 to 2033) | 4.2% |
Exclusive Offer: 30% Off on Regional Reports
Get a free sample report and customize your regions for a 30% discount on your regional report!
From 2018 to 2022, the global market experienced a CAGR of 3.5%, reaching a market size of USD 2.2 billion in 2023.
The market witnessed a fluctuating demand for refinery additives as it is highly dependent on the production of the crude oil. As the crude oil production was reduced during COVID-19 pandemic, the demand for additives from the refineries was shrank. Although, the market recovered in 2021 and 2022 to have a positive CAGR during historical assessment period.
During the forecast period of 2023 to 2033, the high performance refinery additives market is anticipated to grow at a CAGR of 4.2%. The product’s demand will spur due to their growing usage in downstream petroleum refining.
Among the global passenger vehicles market, more than 80% vehicles sold are powered by the petroleum fuel such as petrol or diesel. The stringent regulations regarding the quality and efficiency of these fuel, the manufacturing companies introduce refinery additives during their processing. As the regulation and need for increased fuel efficiency will increase, the usage and adoption high performance additives will also increase from these industries.
| Country | The United States |
|---|---|
| Market Size (USD billion) by End of Forecast Period (2033) | USD 0.7 billion |
| CAGR % 2023 to End of Forecast (2033) | 4.5% |
The high performance refinery additives market in the United states is expected to reach USD 0.7 billion by the end of forecast period. The market will expand at a CAGR of 4.5% during this period. The United states has the world’s largest refinery capacity of close to 18 million barrels per day. This makes the country as world’s largest consumer of refinery additive products. As the country is adopting low emission norms and stringent regulations on the petroleum fuel, the demand for refinery additives will grow in the coming years.
| Country | India |
|---|---|
| Market Size (USD billion) by End of Forecast Period (2033) | USD 0.3 billion |
| CAGR % 2023 to End of Forecast (2033) | 5.0% |
India is the fastest growing automotive market in the world. About 90% of the passenger vehicles sold in the country are powered by petrol or diesel fuels. To boost the performance of these vehicles, manufacturers are using performance booster additives in refinery products which is driving the market growth. The high performance refinery additives market in India is anticipated to reach USD 0.3 billion by the end of 2033 expanding at a CAGR of 5.0%.
| Country | China |
|---|---|
| Market Size (USD billion) by End of Forecast Period (2033) | USD 0.8 billion |
| CAGR % 2023 to End of Forecast (2033) | 4.7% |
The market in China is expected to reach USD 0.8 billion by the end of forecast period, growing at a considerable CAGR of 4.7%. The country stands at second position in terms of refinery capacity and anticipated to surpass the U.S. by the end of 2033. Also, the country has the technologically advanced refinery facilities where high performance additives can streamline the refinery operations for low cost petroleum production. The country’s demand for the product is expected to rise with their rising refinery capacity.
| Country | Russia |
|---|---|
| Market Size (USD million) by End of Forecast Period (2033) | USD 0.3 billion |
| CAGR % 2023 to End of Forecast (2033) | 4.1% |
The market in Russia is estimated to grow with 4.1% CAGR during 2023 to 2033 to reach USD 0.3 billion by the end of the forecast period. Russia is one the world’s largest crude oil producing country having huge refinery capacity to process crude oil into useful petroleum fuels. The refinery industry in the country is anticipated to grow as the oil and gas exports accounts for a significant share in their GDP. This growth in refinery industry is expected to cater to the growth of high performance refinery additives market in Russia.
| Country | South Korea |
|---|---|
| Market Size (USD million) by End of Forecast Period (2033) | USD 0.2 billion |
| CAGR % 2023 to End of Forecast (2033) | 4.6% |
The high performance refinery additives market in Saudi Arabia is expected to reach USD 0.2 billion, expanding at a CAGR of 3.6% during forecast period. In 2021, the country has boosted their refinery capacity by 13.7% and is expected to continue to expand refinery business in coming years. This development is expected to propel the demand for refinery additives from the country.
Octane improvers are the additives that are added to fuel during refinery processing to improvise its octane rating in desired limits. This octane rating is linked to the stability of the fuel at different temperatures. For instance, in high-altitude or high-temperature regions, gasoline may have a lower octane rating than what is required by the engines.
In such cases, octane improvers are added to the gasoline to increase its octane rating. Some gasoline formulations may have a lower octane rating than what is required by the engines, and octane improvers can be added to improve the octane rating of the gasoline.
The demand for octane improvers is on the rise due to changing global climate conditions and to support transportation at elevated surface regions like mountains.
Crude oil processing segment leads the market of high performance refinery additives as the mainstream of these additives are added during this operation.
Crude oil processing is a critical part of the refinery operation where the flow characteristics of the oil are modified. In order to ease the transportation of oil, lubricity improvers, stabilizers, scavengers, corrosion inhibitors, etc. are added to the process.
With the growth in global refinery industry, the demand for these high performance chemicals will increase from crude oil processing operations.
Check Free Sample Report & Save 40%!
Select your niche segments and personalize your insights for smart savings. Cut costs now!
The high performance refinery additives market is partly consolidated with high competition among the few leading market participants. These players are focused to expand their production capacities and sales footprints to grow their market presence.
Research and development for the new refinery additives which can enhance the fuel performance, and lower environmental impact is a key trend followed by leading manufacturers in the industry. This will cater to the sustainable development along with recycling of products to lower the carbon footprints while production and wastage.
Key Strategies Adopted by the Players
Product Innovation and Differentiation
Companies invest hugely in research and development to introduce innovative products that offer enhanced efficiency, reliability, and cost-effectiveness. Product innovation enables companies to differentiate themselves from their competitors and cater to the evolving needs of customers.
Strategic Partnerships and Collaborations
Key players in the industry often form strategic partnerships and collaborations with other companies to leverage their strengths and expand their reach in the market. Such collaborations also allow companies to gain access to new technologies and markets.
Expansion into Emerging Markets
The high performance refinery additives industry is witnessing significant growth in emerging markets such as China and India. Key players are expanding their presence in these markets by establishing local manufacturing facilities and strengthening their distribution networks.
For Instance, in August 2022, BASF SE started new plant of fuel performance additives to strengthen their manufacturing footprints in Asia.
Mergers and Acquisitions
Key players in the high performance refinery additives industry often engage in mergers and acquisitions to consolidate their market position, expand their product portfolio, and gain access to new markets.
Key Players in the Market
The United States, India, and China dominate the global market.
The market is forecast to register a CAGR of 4.2% through 2033.
From 2018 to 2022, the market developed at a CAGR of 3.5%.
Technological advancement disrupts the current market trends.
The global market size is likely to be worth USD 142.2 million by 2033.
Explore Functional Agents & Additives Insights
View Reports
High Performance Refinery Additives Market
Thank you!
You will receive an email from our Business Development Manager. Please be sure to check your SPAM/JUNK folder too.
