Fuel additives market is formulated compounds primarily used to enhance the quality and efficiency of the fuel in automotive and aircraft. Fuel additives assist in corrosion prevention in the overhead and underneath the fuel line and allow a higher compression ratio which further leads to higher efficiency and power. Additionally, fuel additives also help in avoiding rough idling and weak acceleration, and fuel additives are usually available in the market liquid, powder or pills.
A wide range of fuel additives are emerging into the market and U.S. has banned the use of fuel additives market in the year 1970 owing to the adverse health impacts and environmental pollution. Finally, the hybrid compounds and blends have engineered in the past few years to make the additives which can change the characteristics of the fuel. Geographically, the evolution of the fuel additives market is in North America, and there have been a large number of investments and developments for the development of novel additives to meet the stringent regulations. National Environmental Agency of Singapore will further constrict the fuel additives in petrol and diesel from July 2019 as an effort for the protection of the environment and population safety. The U.S. Environmental Protection Agency enacted the Clean Air Act by focusing on the impacts of the fuel additives on diesel and gasoline.
Speciality fuel additives are used for the specific set of applications in the automotive or aircraft. Curbing harmful gas emission from the vehicle, reducing the combustion, burn rate in high temperature avoids dreadful emissions of pollutants are some of the applications where the special fuel additives are being increasingly utilised. The particular additives market has an emerging growth in the present scenario because the automotive enterprises need on improving the efficiency of motor vehicles. The rapid increasing growth of the automotive, aviation industries and higher demand for the clean and efficient fuel are the factors owing to the growth of the fuel additives market.
Industry insiders mainly concentrate on the environmental regulations and increasing passengers in the aviation market; these are the significant factors for the fuel additives which give the more significant emerging market growth. The growth of the fuel additives market is likely to remain steady and might decline in the next couple of decades owing to the increasing emergence and rising penetration of the electric vehicles primarily in the developed economies. Moreover, the high trend of environmentally acceptable is likely to bolster and save the market growth in the coming years from declining. North America is the dominant market followed by the Asia Pacific because of the higher demand and increasing automotive production in the quality fuel in this region.
The size of the fuel additives market defines the annual income in the forecast period. Globally the size of the fuel additives market is projected to reach $13.86 billion by 2024 at a CAGR of 9.38% during 2019 – 2024 and it is expected that the fuel additives reaches to 3884.4 kilotons regarding volume by 2024. Gasoline with 45.4% and diesel with 45.7% are the dominant segments accounting for a significant share of fuel additives market among all other products and diesel is currently enjoying the dominant size in the fuel additives market. Diesel is holding the high share in the present scenario because of the incensement of mileage, and it occupies the significant applications of fuel additives.
The growth of the fuel additives market will be increased by the releasing of the novel products and company collaborations such as, in November 2017, Eni SpA and significant car manufacturer signed an agreement to reduce the CO2 emissions. In April 2017, Lanxess acquired Chemutra to strengthen its additives business portfolio and to expand into the North American region.