Registering the revenue of nearly US$15 Bn in 2021, global biofuel additives market is poised to continue its stable growth over the period of next few years, suggests a new study of Fairfield Market Research.
Worldwide Clean Energy Boom to Drive Use of Biofuels, and Biofuel Additives Market
Efforts pertaining to discovering environmentally sustainable and efficient fuel alternatives continue to prevail on the back of dwindling reserves of fossil fuels. Alternatives to conventional fuels such as biofuels have gained significant traction since the past few years. This is mainly owing to the increasing preference for clean sources of fuel coupled with their efficacy in delivering quality output as compared to their traditional counterparts. Derived from lignocelluloses feedstock and conventional feedstock, the use of biofuels has significantly risen owing to their environment friendly nature. In addition, plant-based biofuels could be made easily available in high quantities. They have low carbon emissions as compared to traditional fossil fuels and help in reducing greenhouse gases, thus contributing toward reducing air pollution. Growing awareness regarding environment health has resulted in a shift towards use of biofuels, in turn driving the growth of the biofuel additives market.
Moreover, rising prices of crude oil on the global front has further triggered dependency on alternative sources of fuel. The biofuel additives market continues to remain influenced by increasing of biofuels owing to their perceived benefits such as efficient output, durability, reliability, cost effectiveness and easy availability. Different biofuel additives, for instance, diethyl ether, methanol, n-butanol, and ethanol are widely used on the back of their high oxygen content. Their addition in biodiesel blends has facilitated enhanced combustion stability and output. Also, inclusion of antioxidant biofuel additives plays a major role in curtailing NOx emissions, thus resulting in low emissions and sustainability. In this backdrop, increasing dependency on biofuels has triggered use of additives to enhance their original characteristics, thus providing new avenues of growth for the biofuel additives market.
Rising Use of Biofuels in Transportation Sector to Complement Biofuel Additives Market
Transportation and logistics sector has prevailed as a crucial contributor for growth of an economy. This factor goes together with the use of fossil fuels that are used as energy source for commercial vehicles. However, rising environmental concerns have pushed the use of biofuels in the transportation industry in a bid to reduce carbon emissions. That said, biofuels in transportation have become a vital part of key strategies to enhance fuel security along with improving climate changes. This has resulted in an increase in the use of biofuels such as biodiesel, in turn driving the demand for effective chemical additives that improve the biofuel properties, sustainability and efficiency quotient of the biofuel. With addition of biofuel additives in biodiesel, the engine performance can be improved significantly alongside reducing brake specific fuel consumption (BSFC). Moreover, biofuel additives address various issues associated with biofuels such as increased wax formation in low temperature situations, corroded fuel systems and fuel foaming. This aspect continues to remain instrumental in driving the need for addition of specialty chemicals in biofuels, in turn bolstering growth of the biofuel additives market.
Sales of Cetane Improvers Represents a Significant Revenue Share in Biofuel Additives Market
The demand for cetane improvers across various biofuels has been on an upswing since the recent past and is expected to maintain status quo in the forthcoming years. This can be attributed towards various benefits offered by this type of biofuel additive. The addition of cetane improver at low concentrations in biofuels can significantly boost the cetane number of the biofuel blend. Cetane improvers offer low fuel consumption, a quick startup with reduced smoke quantity, improved cold start, reduced engine noise and knocking, enhanced wear reduction and smooth engine operation, and efficiency. These benefits have resulted in increased use of cetane improvers such as octyl nitrate in biofuels used in the transportation sector, in turn largely contributing toward the value growth of biofuel additives market.
North America Poised to Cement Dominance in Biofuel Additives Market
North America is expected to account for a major share in global biofuel additives market. Presence of high quantity of feedstock used in production of biofuels, adoption of biofuels in different industrial applications, in particular logistics and transportation and increasing dependency on alternative fuel sources are the major drivers complementing the growth of the market in North America. Moreover, efforts carried out by the US Government to achieve energy security along with reduction in greenhouse gas (GHG) emissions have spurred the consumption of biofuels. This has consequently favoured the use of biofuel additives to improve the efficacy of biofuel in every aspect, which has driven biofuel additives market growth in the region.
Biofuel Additives Market: Competitive Scenario
Strategic partnerships and capacity expansions have been witnessed in the market. A few of the major players in biofuel additives market include BASF SE, E-Zoil Products Inc., Eastman Chemical Company, Chemiphase Ltd., Evonik Industries AG, Afton Chemical, Clariant AG, The Lubrizol Corporation, Biofuel Systems Group, OBR Joint Stock Company, and Chevron Oronite Company LLC.
Recent Notable Developments
The Global Biofuel Additives Market is segmented as below:
By Biofuel Additive Type
By Biofuel Type
By End Use Industry
Key Elements Included In The Study: Global Biofuel Additives Market
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