New York, Aug. 21, 2023 (GLOBE NEWSWIRE) -- The global Heating Oil Additives Market size is expected to expand at ~ 5% CAGR from 2023 to 2035. The market is anticipated to garner a revenue of USD 13 billion by the end of 2035, up from a revenue of ~USD 6 billion in the year 2022. This high-quality, low-sulfur fuel is necessary to reduce emissions from diesel engines and improve air quality. ULSD, or Ultra Low Sulfur Diesel, is a type of diesel fuel that has been treated to reduce the amount of sulfur.
Request Free Sample Copy of this Report @
https://www.researchnester.com/sample-request- 4080
It is used as a heating oil additive to improve efficiency and reduce emissions. Moreover, the high production and trade of ULSD are expected to create more opportunities for producers and distributors of heating oil additives. The U.S. refineries produced approximately 1.63 billion barrels of ULSD in 2021, and the total consumption of ULSD in the U.S. was about 1.42 billion barrels (59.82 billion gallons). The total imports of ULSD accounted for about 7% of the total consumption of ULSD in the United States in 2021. A total of 0.33 billion barrels (14.04 billion gallons) of ULSD were exported by the United States in 2021.
Global Heating Oil Additives Market: Key Takeaways
- Market in Asia Pacific to grow at the fastest rate
- The diesel segment to see the highest growth rate in the industry
- Market in North America to propel at highest growth
Increasing Number of Stringent Governmental Regulations Regarding Fuel Emission to Boost Market Growth
Governments are introducing strict regulations to reduce emissions from the combustion of traditional heating oil. This is driving the demand for additives that can be blended with traditional heating oil to reduce emissions. As a result, the demand for heating oil additives is expected to increase in the coming years. For instance, the Environmental Protection Agency (EPA) in the US regularly modifies and enforces a number of regulations for reducing vehicular emissions and improving fuel efficiency. In the European Union (EU), fuel refiners and marketers are required to follow stringent rules. The EU Directive on Promoting Clean and Energy-Efficient Road Transport Vehicles seeks to introduce environmentally friendly vehicles and fuels for road transport. The regulations are aimed at improving the environment and reducing the health risks associated with the emissions from burning traditional heating oil. These regulations are expected to create a level playing field for all heating oil producers, leading to a surge in the demand for additives that can help them comply with the regulations.
Global Heating Oil Additives Market: Regional Overview
The global heating oil additives market is segmented into five major regions including North America, Europe, Asia Pacific, Latin America, and the Middle East and Africa region.
Large Oil Refinery Base to Boost Market Growth in Asia Pacific Region
The heating oil additives market in the Asia Pacific region is estimated to garner the largest market share of 27% by the end of 2035 owing to the rising industrialization and urbanization in this region, contributing to an increased demand for heating oil additives in countries such as China and India, which are witnessing an increase in the number of households and businesses. Additionally, the presence of numerous oil refineries in the region is expected to fuel the growth of the market. For instance, the Asia-Pacific region has the most oil refineries in the world, with 310 of them operating in 2021. Around 87 refineries are in the planning stages or are under construction in Asia, mostly driven by the consumer demand of economic powerhouses like China and India. Further, the massive growth of industrial production and the increased production of vehicles have contributed to the high consumption of fuel additives in the region, which is anticipated to drive regional market growth.
High-production activities require efficient transportation and storage of goods, which in turn leads to increased demand for fuel additives, such as lubricants and detergents, to protect and maintain vehicles. Additionally, the rise in vehicle sales in the region also increases the use of fuel additives, as they help to improve the efficiency of vehicles. Around 22 million passenger cars were produced in China in 2021, while approximately 6 million units were produced in Japan. Moreover, 3.8 million passenger vehicles were sold in India in 2022, a 24% increase over 2021.
Increasing Environmental Concerns Posing Strict Regulatory Requirements to Drive Market Growth in the North American Region
The heating oil additives market in the North America region is estimated to garner the highest CAGR by the end of 2035 as a result of increasing demand for heating oil additives in the residential, commercial, and industrial sectors in the region. In addition, the growing economic development and the stringent regulations imposed by the government to reduce emissions are expected to fuel the growth of the market. In the United States, transportation is the leading source of greenhouse gas emissions, accounting for 28 percent of the total. The EPA released its final rule for revising the existing national greenhouse gas emission standards for passenger cars and light trucks through the model year 2026 in December 2021. A fuel economy standard was issued by NHTSA in March 2022 for light-duty vehicles for model years 2024–2026. EPA also released new standards in December 2022 for limiting the emission of nitrogen oxides (NOx) from heavy-duty trucks. Furthermore, the increasing demand for alternative and renewable energy sources, such as biodiesel and biomass, and their use in heating and cooling systems, along with the increasing focus on reducing greenhouse gas emissions, is driving the demand for heating oil additives in the region.
The study further incorporates Y-O-Y growth, demand & supply and forecast future opportunity in:
- North America (U.S., Canada)
- Europe (U.K., Germany, France, Italy, Spain, Hungary, Belgium, Netherlands & Luxembourg, NORDIC [Finland, Sweden, Norway, Denmark], Poland, Turkey, Russia, Rest of Europe)
- Latin America (Brazil, Mexico, Argentina, Rest of Latin America)
- Asia-Pacific (China, India, Japan, South Korea, Indonesia, Singapore, Malaysia, Australia, New Zealand, Rest of Asia-Pacific)
- Middle East and Africa (Israel, GCC [Saudi Arabia, UAE, Bahrain, Kuwait, Qatar, Oman], North Africa, South Africa, Rest of Middle East and Africa).
Make an Inquiry Before Buying this Report @
https://www.researchnester.com/inquiries-before-buying- 4080
Global Heating Oil Additives Market, Segmentation by End User
- Industrial
- Residential
- Commercial
The commercial segment is anticipated to hold the largest market share of 40% by the end of 2035, owing to the increased usage of additives in commercial applications such as power generation plants, refineries, commercial boilers, furnaces, and other heating systems that require regular maintenance and protection from corrosion and deposition. The heating oil additives market is expected to rise owing to the rising need for energy efficiency and increased safety in commercial buildings. In addition, the increasing use of heating oil additives in power plants as a result of increasing power generation in developed countries is expected to fuel segment growth in the near future. According to the US Energy Information Administration, utilities in the United States generated 4,108 billion kilowatt-hours (kWh) of electricity in 2021 (or almost 4.11 trillion kWh). A total of 61% of the electricity generated from fossil fuels came from coal, natural gas, petroleum, and other gases. The use of heating oil additives helps increase the efficiency of power plants by allowing more fuel to be burned in less time, resulting in increased power output. Moreover, these additives also help to reduce emissions from power plants, making them more environmentally friendly. Additionally, commercial businesses often have the resources to invest in the latest technologies and additives that can help improve the performance of their heating systems.
Global Heating Oil Additives Market, Segmentation by Fuel Type
- Bio-Diesel
- Diesel
- LPG
- Petrol
The diesel segment is anticipated to hold the largest revenue by the end of 2035 owing to the increased usage of diesel fuel in commercial and industrial applications, such as transportation and power generation, as well as the growing demand for ultra-low sulfur diesel fuel. Additionally, the use of heating oil additives in diesel fuel is expected to increase as a result of stringent emission control regulations imposed by governments around the world. Heating oil additives are used to improve the performance of diesel fuels by reducing fuel viscosity, improving fuel stability, and reducing deposits in fuel systems. These additives can help provide better fuel economy and improved combustion performance. Additionally, the increased consumption and production of diesel fuel are expected to drive growth in the diesel segment in the future. As per the US Energy Information Administration, in the United States, each 42-gallon barrel of crude oil produces 11 to 12 gallons of diesel fuel. Approximately 128 million gallons of distillate fuel were consumed each day by the U.S. transportation sector in 2021, equivalent to 46.82 billion gallons (1.11 billion barrels). Further, diesel fuel is more resistant to extreme temperatures and has a higher energy density, making it ideal for use in transportation and other industrial applications. Diesel fuel additives also help to protect the fuel system from corrosion, reduce fuel filter blockages, and improve engine performance.
Request for Customization of this Report @
https://www.researchnester.com/customized-reports- 4080
Global Heating Oil Additives Market, Segmentation by Type
- Biocide
- Water Controller
- Heating Oil Stabilizer
- Oil Gun Cleaner
Few of the well-known market leaders in the global heating oil additives market that are profiled by Research Nester are East Cork Oil Company Unlimited Company, ERC Emmisions-Reduzierungs-Concepte GmbH, Yorkshire Oils Ltd, Estuary Oils, HomeFuels Direct Ltd, Bell Performance, Afton Chemical Corporation, BASF Group, Lubrizol Corporation, CPS Fuels Ltd, and other key market players.
Recent Development in the Global Heating Oil Additives Market
- BASF has entered into an agreement with Pune Knowledge Cluster to provide WEnyan: an internship program. This program will provide students the opportunity to gain hands-on experience in the field of chemical engineering and industry-standard practices.
- AFTON Chemical Corporation is expanded its APAC lubricant and fuel additives business, to incorporate GPA blending capabilities into a Singapore-based chemical additive manufacturing facility. The expansion is expected to provide customers with a full suite of services including product testing, formulation, blending, and packaging in order to meet the growing demand for high-performance specialty lubricants and fuel additives in the APAC region.
About Research Nester
Research Nester is a one-stop service provider with a client base in more than 50 countries, leading in strategic market research and consulting with an unbiased and unparalleled approach towards helping global industrial players, conglomerates and executives for their future investment while avoiding forthcoming uncertainties. With an out-of-the-box mindset to produce statistical and analytical market research reports, we provide strategic consulting so that our clients can make wise business decisions with clarity while strategizing and planning for their forthcoming needs and succeed in achieving their future endeavors. We believe every business can expand to its new horizon, provided a right guidance at a right time is available through strategic minds.
