Fuel or gasoline additives act as corrosion inhibitors. They help achieving greater power and efficiency by allowing the use of higher compression ratios. Different types of additives for the fuel include antioxidants, oxygenates, corrosion inhibitors and metal deactivators. The ever-rising demand for fuel is also boosting the demand in the fuel additives market. The products in this market help the fuel manufacturers meet the government regulations and emission laws. The global industry is witnessing steady demand since the past few years. This demand is directly proportional to the growing demand for fuel and efficient power. Depletion of crude oil quality is also expected to create potential opportunities for the players in this market during the next few years.
4 Drivers for the Gasoline Additives Market
According to the experts, the global market is driven by four major factors. These factors include constantly rising demand for fuel. Growth in demand for gasoline is also reflecting on the strong demand for fuel additives. Stringent environmental regulations and emission laws around the world are also expected to drive the global fuel additives market. Strong growth prospects across the emerging markets, especially, Asia Pacific region are also expected to drive the market. Low production cost and rapid growth in the automotive industry in this region is expected to play crucial role in the overall development of the market. Growing demand for efficient fuel and clean energy and depleting quality of crude oil are also some of the major driving factors for the global industry.
Future Challenges & Opportunities
In order to understand the basic trends and growth prospects for the market, researchers segment the fuel additives market on the basis of the types of products, their applications, and demand across the world. Following are the details of this segmentation:
- Products: Antioxidants, cetane improvers, deposite control additives, anti-icing, lubricity, clod flow and stability improvers, dyes, markers, octane improvers, and others
- Applications: Gasoline, diesel, aviation and other applications
- Geography: North America, Latin America, Asia Pacific, Europe, Middle East and Africa
According to the experts, major challenges for the fuel additives market include stagnant demand for high-end gasoline, rising demand for alternate fuels and additives resources and investments in research and development in the technology. However, rising demand for ultra low sulfur diesel (ULSD) and better quality fuel are expected to create business opportunities in this industry during the next few years to come.
According to the latest reports, the global fuel additives market is set to witness growth at a steady compound annual growth rate. They expect the market to become worth $8,100 million by the end of the year 2019. Asia Pacific region is expected to witness impressive growth during the forecasting period, especially in terms of demand, production and revenue channels.