Global Diesel Exhaust Fluid (Adblue) Market Research Report 2023-Competitive Analysis, Status and Outlook by Type, Downstream Industry, and Geography, Forecast to 2029

Global Diesel Exhaust Fluid (Adblue) Market Research Report 2023-Competitive Analysis, Status and Outlook by Type, Downstream Industry, and Geography, Forecast to 2029

Diesel Exhaust Fluid (DEF) also known as AdBlue, is a non-toxic, colourless, odourless and non-flammable fluid. Stored in a dedicated tank in your car, it is injected into the exhaust system to clean exhaust gases. Selective Catalytic Reduction (SCR) technology is fitted to all Land Rover diesel vehicles from 2016 Model Year. It enables Land Rover to meet EU6 emissions legislation by reducing the levels of nitrogen oxide (NOx) emitted from the exhaust system by up to 90%. In addition to a new generation of catalytic converter, SCR Technology requires the use of DEF.

Market Overview:

The latest research study on the global Diesel Exhaust Fluid (Adblue) market finds that the global Diesel Exhaust Fluid (Adblue) market reached a value of USD 14734.45 million in 2022. It’s expected that the market will achieve USD 33639.76 million by 2028, exhibiting a CAGR of 14.75% during the forecast period.

Influence of COVID-19 Outbreak on Diesel Exhaust Fluid (Adblue) Industry Development

Automotive application took a rather large part of the Diesel Exhaust Fluid (DEF) Industry. However, the rapid outbreak of COVID-19 has plunged the entire automotive supply chain into unexpected challenges. These main problems include OEMs shutdowns, reduced production, lack of adequate labor, and shortage of raw materials plus the fluctuating raw material prices.

According to relevant data released by the Alliance for Automotive Innovation as of March 26, 93% of all US car production was offline. These include Ford, General Motors, and Fiat Chrysler Motors, as well as other foreign automakers with operations at Honda, Toyota, and Volkswagen. For companies in the hardest-hit areas (such as Italy, France, and Spain), COVID-19 caused business disruption, shutdown of car factories, and reduced demand for Diesel Exhaust Fluid accordingly.

In addition, COVID-19 leads to a sharp decline in Vehicle sales, as people have restricted their behavior. The expected lower demand may cause some automakers to need to adjust production throughout the year. Though some places are restarting their factories, such as some U.S. plants are slowly reopening after a nine-week shutdown amid the coronavirus outbreak, the impacts of COVID-19 on the automotive industry and the Diesel Exhaust Fluid industry are still expected to last longer.

In Europe, updated data that the European Automobile Manufacturers' Association (ACEA) released last month clearly demonstrates the sheer scale of the auto industrys manufacturing footprint, that 298 automobile assembly and engine production plants operate in Europe, 196 of which are situated within the European Union. However, production at these factories has been severely impacted by the COVID-19 crisis since mid-March, with plants being closed for 30 working days on average to date. And although many of these factories have re-started production to some extent by now, they are all still operating well below pre-lockdown capacity.

For Diesel Exhaust Fluid manufacturers, as they face supply chain challenges across various regions and market segments, the supply chain needs to be highly responsive to local demand, and maintain a balance of agility and cost at the same time, particularly amid the COVID-19 outbreak.

While the demand side has been suppressed, the production cost of Diesel Exhaust Fluid (Adblue) has also been affected due to home isolation and work stoppage policies. The cycle of the logistics supply chain has become longer and labor shortages. In the capital market, financing difficulties will also increase.

Diesel Exhaust Fluid (Adblue) Industry Trends

In view of the fast urbanization rate, APAC is increasingly aware of the toxic impact of fuel combustion on the environment, for which the government has implemented several policies. The government is also making efforts to accelerate the growth of the automotive industry, which is presumed to further bolster the demand for AdBlue in the near future. Japan and China are the most profitable market in the region, aided by the competitive strategies followed by the top players and the rigid government regulations pertaining to conservation of the environment. India is another lucrative market, given its rising use of urea in view of the escalating import of nitrogen and phosphate. This surging use of urea is bound to favor the regional market in the following years.
Due to the existence of fast-growing economies such as China and India, the demand for transportation in these countries to facilitate the flow of goods is on the rise, boosting the sales of heavy and medium-sized vehicles. In addition, the rapid economic growth of these countries has also led to a large amount of vehicle pollution. Due to the increase in vehicle pollution levels, these countries have implemented or are implementing stringent emission standards. The implementation of stricter emission standards is expected to encourage fleet operators to install emission control systems, thereby promoting the Diesel Exhaust Fluid (Adblue) market in the Asia-Pacific region.
In recent years, the rapid development of economic activities in emerging countries such as China and India has played an important role in promoting the transportation and logistics industries of these countries. In addition, due to rising income levels, these countries have become one of the most profitable automotive markets in the world. For example, in 2017, global passenger car sales were approximately 90 million, of which more than a quarter of the sales were in China alone. As the demand for automobiles in the Asia-Pacific region continues to grow, as well as the continuous emphasis on environmental protection, and the continuous tightening of regulations, the Asia-Pacific region will become a potential market for Diesel Exhaust Fluid (Adblue) and a major strategic competition area for important companies.

Region Overview:

North America was the largest revenue market with a market share of 45.00% in 2016 and 42.37%
in 2020, a decrease of 2.63%. In 2020, the Europe market share was 28.80%, ranking second.

Company Overview:

The top three companies are Yara International, CF Industriesand BASF with revenue market shares of 11.78%, 4.49% and 3.68% in 2020.

Segmentation Overview:

Among different product types, Bulk Storage segment is anticipated to contribute the largest market share in 2027.

Application Overview:

By application, the Vehicular segment occupied the biggest share from 2017 to 2022.

Key Companies in the global Diesel Exhaust Fluid (Adblue) market covered in Chapter 3:

Nissan Chemical Corp.
Yara International
AirBlueFluids, Inc.
Kost USA
BASF
Stockmeier
GreenChem Holding B.V.
Airgas
CF Industries
Sichuan Meifeng Chemical Industry Co., Ltd.
Dyno Nobel
Royal Dutch Shell Plc
Old World Industries, LLC
Jiangsu Lopal Technology Co., Ltd

In Chapter 4 and Chapter 14.2, on the basis of types, the Diesel Exhaust Fluid (Adblue) market from 2018 to 2029 is primarily split into:

Bulk Storage
Dispensers
Portable Containers

In Chapter 5 and Chapter 14.3, on the basis of Downstream Industry, the Diesel Exhaust Fluid (Adblue) market from 2018 to 2029 covers:

Vehicular
Non-Vehicular

Geographically, the detailed analysis of consumption, revenue, market share and growth rate, historic and forecast (2018-2029) of the following regions are covered in Chapter 8 to Chapter 14:

North America (United States, Canada)
Europe (Germany, UK, France, Italy, Spain, Russia, Netherlands, Turkey, Switzerland, Sweden)
Asia Pacific (China, Japan, South Korea, Australia, India, Indonesia, Philippines, Malaysia)
Latin America (Brazil, Mexico, Argentina)
Middle East & Africa (Saudi Arabia, UAE, Egypt, South Africa)