Diesel Exhaust Fluid Market Size

Diesel Exhaust Fluid Market Size Snapshot

Note – Market size depicts the revenue generated over the financial year

The AdBlue market is expected to reach $32,677,547,498 by 2030. The CAGR of this market is 8.57% between 2021 and 2030. This growth is mainly driven by the increasing demand for cleaner exhaust emissions in the automobile sector, driven by stricter environmental regulations and the growing demand for sustainable development. In addition, technological developments, such as the development of more efficient SCR systems, have further increased the use of AdBlue in various applications and are driving the growth of the market. Also, the market players such as Yara International, BASF and GreenChem are actively involved in strategic initiatives such as investment and acquisitions to develop new products and services. Yara, for example, is strengthening its distribution and product formulations to meet the growing demand and thus strengthen its position in the market.

Regional Market Size

Regional Deep Dive

In many regions, the market for AdBlue® is growing, driven by stricter emissions regulations and the growing use of diesel vehicles. North America has strict regulations in place to reduce nitrogen-oxide emissions, while Europe is a leader in the use of AdBlue® because of its established environment policy and a well-developed road transport system. In Asia/ Pacific, the growth in the use of AdBlue® is driven by the growth in industrial activity and government support for the use of cleaner technology. The Middle East and Africa are gradually adopting AdBlue®, driven by international standards and local regulations. In Latin America, the importance of AdBlue® in reducing vehicle emissions is beginning to be recognized, albeit more slowly.

North America

• In the United States, under the Clean Air Act, the EPA has imposed strict regulations requiring diesel vehicles to use AdBlue, which has greatly increased demand.
• Yara International and CF Industries are increasing their production capacity in North America to meet the growing demand for AdBlue, especially in the truck and transport sector.
• With the development of e-commerce and the logistics industry, the use of diesel vehicles has increased, which has led to a greater need for AdBlue to meet the requirements of the environment.

Europe

• The use of AdBlue in new diesel cars is a requirement of the European Union's EURO 6 standard, which is why it has spread so widely in the member states.
• In the meantime, however, the market has been able to develop a number of innovations, such as the development of mobile filling stations by companies like Brenntag, which have increased the availability and ease of use of the product.
• In Germany and the Netherlands, for example, the AdBlue supply is being supported by a dedicated distribution system. This is expected to increase market penetration further.

Asia-Pacific

• The Chinese government has encouraged the use of AdBlue to combat the country’s soaring air pollution. This has increased demand for the product.
• In view of the growing share of electric and hybrid vehicles, manufacturers are progressively introducing AdBlue systems in their diesel models to meet the emissions standards.
• AdBlue production is being expanded by major companies such as China National Petroleum Company (CNPC). The growing automobile industry will drive the market.

MEA

• Adblue is now being used in the Gulf Cooperation Council countries, as part of their commitment to international standards and their commitment to reducing the emissions of vehicles.
• The companies of the region, such as the Saudi Basic Industries Company (SABIC), are looking for partners to increase the production and distribution of AdBlue.
• The increasing number of diesel vehicles in urban areas has led governments to consider the possibility of introducing legislation to make AdBlue compulsory.

Latin America

• Brazil is moving towards tighter emission limits and it is expected that AdBlue will be adopted in the coming years to help improve the country's air quality.
• In Brazil, a number of companies have already started to produce adblue, for the local market.
• The low level of AdBlue use in Latin America is influenced by economic conditions and the prevalence of older diesel vehicles. But as the environment becomes more and more important, AdBlue use is becoming more and more popular.

Did You Know?

“The use of AdBlue reduces nitrogen emissions from diesel engines by up to 90%.” — International Council on Clean Transportation (ICCT)

Segmental Market Size

In the field of diesel exhaust fluid (AdBlue), which plays a crucial role in the field of automobile and transport, it mainly aims to reduce nitrogen-oxide emissions from diesel engines. This field is currently growing, which is mainly driven by the increasingly strict air quality and the reduction of the impact on the environment. Besides, the implementation of the EURO 6 and similar emission standards in various regions, such as Europe and North America, has a significant effect on the demand for AdBlue.

AdBlue has been a big business since the beginning. It is used in all vehicles with a diesel engine which are fitted with the SCR system. The demand for AdBlue is being driven by the introduction of SCR, but also by the growing emphasis on the use of clean fuels in the context of the various climate initiatives and government regulations. The AdBlue market is now well developed, and a number of companies, including Yara International and BASF, are actively supplying the product across Europe and Asia. The main application areas are commercial vehicles, agriculture and the construction industry, where reducing the emissions of nitrogen dioxide is a matter of life and death. The trends towards zero-emission vehicles and the development of SCR technology will continue to shape the market, ensuring that it remains relevant in the changing automobile landscape.

Future Outlook

The market for adblue will grow significantly from 2021 to 2030, from an estimated value of about $17.6 billion to $35.3 billion, with a strong compound annual growth rate (CAGR) of 8.57%. The main growth drivers are the increasingly stringent exhaust gas regulations and the increasing use of diesel vehicles with selective catalytic reduction (SCR) technology. As governments around the world continue to push for lower nitrogen oxide (NOx) emissions, demand for adblue is expected to rise, resulting in higher penetration rates for both commercial and passenger vehicles. The share of adblue in the diesel vehicle market is expected to exceed 80% by 2030.

The market for a D. E. F. is growing at a rapid pace. Improved storage and logistics solutions will facilitate access to a D. E. F. and thereby increase its use by both fleet operators and private consumers. Furthermore, the growing trend towards sustainable transport and the growing focus on reducing the transport sector’s carbon footprint will continue to support the market. Nevertheless, it is important for the industry to be aware of the emerging trends in the field of alternative fuels and the use of digital technology to monitor and manage the use of a D. E. F., which could completely change the market in the years to come.