South Africa Adblue Oil Market To Display Steady Growth Of 36.58 CAGR In The Forecast Period

Pune, India, July, 2018 /press release/- Market Research Future Published a Cooked Research Report on Global South Africa AdBlue Oil Market Research Report.

AdBlue is used to reduce nitrogen oxide and nitrogen dioxide which are two of the most unpleasant tailpipe pollutants in vehicles. Adblue is predominantly used in vehicles equipped with SCR technology or selective catalytic reduction. As adblue significantly reduces and controls atmospheric pollution that causes smog in urban centres, its demand is increasing gradually. The uptick in the adoption of green practices is powering the development of the adblue market considerably. Increased penetration of AdBlue in agriculture and construction machinery is likely to offer significant opportunities to the AdBlue market during the forecast period. The South Africa AdBlue Oil Market was valued at USD 136.1 million in 2017 and is anticipated to develop at a strong CAGR of 36.58 percent to reach USD 2,148.67 million by the end of the forecast period from 2022 - 2030.

The market in South Africa for AdBlue in terms of volume had a capacity of 327.1 thousand tonnes in 2017 and is expected to develop at a strong CAGR of 4.24 percent throughout the forecast period. The South African market is an emerging country-level market for diesel exhaust fuel (adblue) and is expected to provide substantial development reasons over the forthcoming years. Owing to the increasing automotive sales, passenger vehicles would further dictate the automotive segment in the coming years. In addition to this, rail businesses such as ABB, Bombardier, and General Electric have established their assembly plants in South Africa, which have been motivating the country’s diesel consumption and ultimately the demand for adblue. As compared to other regions, the African automotive market is significantly smaller. In the African region, South Africa is a highly lucrative market for automobiles. The automotive industry is projected to observe an optimistic change owing to the revitalizing economic scenario. This can be accredited to the swell in the income levels and the rise of the middle-class population. Therefore, the Adblue market’s growth in the region is closely following the rise of the automobile sector. Also, the highly protected automotive industry of the country is expected to become fully integrated into the global strategies of foreign parent companies, creating further impetus for the market’s growth. However, the high rate of emission from the increased production and sales of vehicles in South Africa has to be regulated through proper policy measures and tools so as to control the increased carbon footprints. The environment protection regulations have become stringent due to the high number of vehicles in South Africa that have considerably lower fuel efficiency than the European Union based vehicle fleet.

Growing use of Adblue in construction equipment and agricultural machinery is projected to rise substantially due to the dependency on their agriculture sector. The agriculture sector generates up to 50 percent of GDP and contributes to more than 80 percent of trade in value and around 50 percent of raw materials to industries.

Segmental Analysis

The segmentation of the South Africa AdBlue market is carried out on the basis of technology and application. The technology based segment of the market is bifurcated into Selective Catalytic Reduction and Exhaust Gas Recirculation. The selective Catalytic Reduction technology is accredited for around 82 percent of the market share in 2017 and is projected to touch USD 157.1 million by 2024. The application based segmentation of the market is segmented into farm machinery, automotive, construction machinery, railway engines, electronic generators, and others. Amongst these applications, the automotive industry accounts for around 62 percent of the overall market share in 2017. The segment is projected to achieve values worth USD 118.7 million by 2024 while growing at a CAGR of 5.03 percent. The passenger cars segment is singularly responsible for approximately 48 percent share of the overall automotive segment in 2017 and is estimated to develop at a strong CAGR of 5.06 percent by the end of the forecast period. However, railway engines segment is estimated to develop at a top CAGR of 5.67percent in the forecast period.

Competitive Analysis

The companies are yet to make noteworthy development in the AdBlue market. Though, the firms have strategic visions to deliver quality-based products and services to their customers across the globe. Few of the important companies functioning in the South Africa AdBlue Oil market are Engen Petroleum Ltd (South Africa), BASF SE (Germany), and Viscol.Co.Za (Republic of South Africa).

Read More This Report: South Africa AdBlue Oil Market size