IHS Markit: Demand for chemical sulfuric acid will grow by 2.9% annually

Recently, IHS Markit fertilizer analyst Allan Pickett (Allan Pickett) said that sulfuric acid is one of the world's largest industrial chemicals, and the demand for sulfuric acid in the chemical industry is expected to continue at an average annual rate of 2.

Consumption of sulphuric acid, a key process intermediate in chemical production, is expected to increase from 118 million tonnes in 2020 to about 180 million tonnes in 2035, Pickett said at a recent Sulfuric Acid Market Outlook online conference organized by IHS Markit

According to the latest "Chemical Economics Handbook (CEH) - Sulfuric Acid" report released by IHS Markit, sulfuric acid is mainly used in the production of phosphate and sulfate fertilizers, accounting for 63% of the total global consumption, which will total about 269 million tons in 2020

In the field of chemicals, the sulfate route to produce titanium dioxide is the largest use of sulfuric acid in Western Europe, accounting for 19.

Pickett said the global drive to decarbonize was partly driving the growth in sulfuric acid demand

However, Yuya Pan, senior analyst for sulfur at IHS Markit, said, “The energy transition and the movement to reduce carbon emissions are also putting further downward pressure on the supply of sulfur, a key feedstock for sulfuric acid production

Yuya Pan said that in recent years, China has become one of the major exporters of sulfuric acid and plays a very important role in market trends

The global sulphuric acid market has tightened further since the second half of 2020 due to continued disruptions in smelter and sulphuric acid production, coupled with tighter sulphur supply and stronger-than-expected demand, and market tensions are expected to ease, but uncertainty remains

　　IHS Markit expects a correction in sulphuric acid prices in 2022 and the next few years, as supplies of sulphuric acid in East Asia will continue to increase in the near term and some of the disrupted production may resume

　　Sulfuric acid prices in Europe continued to be under pressure due to tight supplies and soaring energy prices, which are part of the reason for the tight global market