The GCC hydrochloric acid market size reached US$ 63.2 million in 2018. Demand for hydrochloric acid is estimated to surpass US$ 72.3 million in 2023.
In the review period between 2023 and 2033, demand is poised to exhibit a 4.9% CAGR. Revenue is anticipated to cross around US$ 116.9 million by the end of 2033.
Hydrochloric acid has numerous industrial applications. It is commonly used as a raw material, reactant, or catalyst in the synthesis of numerous compounds & chemical intermediates. It is essential in the synthesis of chemical molecules, medicines, dyes, and pigments, among other things.
Hydrochloric acid is used in the oil & gas sector for well acidizing in order to increase oil & gas output. It is also used for cleaning and surface treatment in the metal processing sector. It is expected to be used to clean metal surfaces of rust, scale, oxide coatings, and other contaminants.
Hydrochloric acid is widely used in various sectors such as chemical manufacturing, petrochemicals, metal processing, and electronics. Growth in these sectors might directly impact the demand for hydrochloric acid in GCC.
GCC countries have been investing heavily in infrastructure projects, including construction and industrial facilities. Hydrochloric acid is used for cleaning and pickling metal surfaces in construction & metal processing, thereby driving its demand.
The GCC is a leading player in the global oil & gas sector. Hydrochloric acid is utilized in the oil & gas sector for well stimulation, well acidizing, and removing mineral deposits from drilling equipment.
Hydrochloric acid is also expected to be used in water treatment processes for pH control, descaling, and acid cleaning of water systems. With increasing focus on water treatment and wastewater management, demand for hydrochloric acid in this sector has been rising.
Hydrochloric acid is further used for soil treatment and pH adjustment in agriculture. As GCC countries seek to improve agricultural productivity, use of hydrochloric acid in this sector might witness steady growth.
Hydrochloric acid is a key raw material for the production of various chemicals, including chlorine and hydrochloric acid-based compounds. Ongoing expansion of the chemical sector in GCC might contribute to rising demand for hydrochloric acid.
Key GCC Hydrochloric Acid Market Trends Listed by Future Market Insights (FMI):
- Expanding industrial sectors in GCC countries is expected to drive demand for hydrochloric acid.
- As oil & gas exploration activities continue to rise, hydrochloric acid demand would surge amid use in well stimulation and acidizing processes.
- Ongoing infrastructure projects are likely to contribute to the rising demand for hydrochloric acid for use in construction-related applications.
- Growing shift toward eco-friendly and sustainable methods of hydrochloric acid production & usage might propel sales.
2018 to 2022 GCC Hydrochloric Acid Market Outlook Compared to Demand/Sales Forecast for/from 2023 to 2033
GCC hydrochloric acid market experienced steady growth at 2.3% CAGR during the historical period from 2018 to 2022. This is due to increasing demand for hydrochloric acid across numerous sectors.
Factors such as industrial development and infrastructure initiatives also augmented demand. At the same time, rising applications in sectors such as steel manufacturing, water treatment, and oil & gas pushed demand. They all have contributed to the market’s expansion over the historical period.
In the forecast period, the market is set to register 4.9% CAGR. Rising demand for hydrochloric acid in various industrial processes might fuel growth during this period.
The market is expected to experience robust growth, driven by several factors. Food processing, metal cleaning, and pharmaceutical sectors are projected to accelerate significantly. It might be further accelerated by increasing demand for hydrochloric acid in a variety of industrial processes.
Infrastructure development initiatives, particularly in emerging economies, might aid growth. It is set to lead to an increasing demand for hydrochloric acid in the GCC market.
Technological advancements such as high product quality and more efficient manufacturing methods are expected to drive sales. Hydrochloric acid demand might increase in fields such as wastewater treatment, electronics manufacturing, and construction.
GCC is strategically positioned for exports, and hydrochloric acid is among the chemicals that can be exported to other markets. International demand and global trade dynamics would also influence the GCC market for hydrochloric acid. Government regulations and policies related to industrial development, safety standards, and environmental compliance can impact the production, import, and use of hydrochloric acid.
Why Are Hydrochloric Acid Sales Growing across Wastewater Treatment Facilities in the GCC?
Demand for hydrochloric acid in water treatment applications has been experiencing steady growth in recent years. One of the primary drivers of the growing demand for hydrochloric acid is need for water treatment.
It is expected to lead to increasing emphasis on water quality and environmental sustainability. Hydrochloric acid is utilized to adjust the pH levels of water. It might help in ensuring optimal conditions for various treatment processes and maintaining the effectiveness of disinfection agents.
Hydrochloric acid plays a crucial role in disinfection processes. It helps eliminate harmful microorganisms, bacteria, and viruses.
It is expected to help in safeguarding public health and preventing the spread of waterborne diseases. It might hence be employed in wastewater treatment facilities to neutralize alkaline waste streams and adjust the pH to optimal levels for subsequent treatment steps.
As governments and regulatory bodies impose strict guidelines for water quality and environmental protection, demand is likely to expand. Ongoing focus on sustainable and efficient water management practices further reinforces the importance of hydrochloric acid. It might help in ensuring clean and safe water supplies for various sectors and communities.
Would the Availability of Alternatives and Substitutes Hamper Demand?
One of the key restraints in the GCC hydrochloric acid market is the effectiveness of alternatives compared to hydrochloric acid. While hydrochloric acid is widely used in various sectors, there are few challenges associated with its utilization.
Such restrains have led to the exploration of alternatives and substitutes. These alternatives offer advantages such as reduced environmental impact, improved safety profiles, or specific application benefits.
In few applications, there are alternatives or substitutes available that can replace the use of hydrochloric acid. For instance, in certain water treatment processes or cleaning applications, alternative chemicals or technologies that are less hazardous or more environmentally friendly might be preferred. Availability of alternatives can impact the demand for hydrochloric acid in specific sectors or applications.
Hydrochloric acid has unique chemical properties that might make it highly effective in specific applications such as metal pickling, pH adjustment, or mineral processing. Finding alternatives that can match or surpass the performance of hydrochloric acid can be challenging in a few cases, limiting their adoption.
Competitive Landscape
Key manufacturers might invest in expanding their production capacities to meet increasing demand for hydrochloric acid in various sectors. GCC countries are known for their active construction and industrial sectors.
They are also focusing on penetrating new markets within the GCC region and beyond. They might identify untapped areas and work on strengthening their distribution channels and market presence.
A few companies operating in the GCC hydrochloric acid industry:
Saudi Basic Industries Corporation (SABIC) is one of the largest petrochemical companies in the world and a leading player in the GCC region. It operates in various chemical sectors, including hydrochloric acid production. The company’s commitment to innovation and sustainable practices has contributed to its strong presence in the market.
As Kuwait’s national oil company, Kuwait Petroleum Corporation (KPC) is engaged in various aspects of the oil and petrochemical sector. This includes producing chemicals such as hydrochloric acid for industrial applications. KPC’s integrated approach to refining and petrochemicals gives it a competitive edge in the market.
