Catalyst Market Size, Share, Analysis, Trends, Growth, Forecasts, 2032

Catalyst Industry Prospective:

The global catalyst market size was worth around USD 32.16 billion in 2023 and is predicted to grow to around USD 49.12 billion by 2032 with a compound annual growth rate (CAGR) of roughly 4.82% between 2024 and 2032.

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Catalyst Market: Overview

A catalyst is a part of the catalysis process. It is a substance used for speeding up a chemical reaction or lowering the temperature to start a chemical reaction. A catalyst does not get consumed in the chemical reaction.

According to industry experts, the addition of catalysts makes the chemical reaction process more efficient since it assists in reducing the amount of activation energy. The energy barrier that must be overcome for a chemical reaction to occur successfully is known as activation energy.

Hence, the process of catalysis makes it easier to break older chemical bonds and form new ones. Furthermore, catalysts also possess a key property called selectivity.

Through this, catalysts are enabled to steer a chemical reaction in a certain direction. They can assist in increasing the quantity of a desired product and reducing the quantities of unwanted byproducts.

The increasing research & development activities directed toward novel catalysts with extensive applications across industries will help the market generate excellent growth opportunities during the forecast period.

In addition, higher applications across major end-user industries, including oil & gas, petrochemical refining, and others, will fuel greater revenue in the catalyst industry during the forecast period. The high cost of production on a mass scale will limit the industry’s expansion rate.

Key Insights:

• As per the analysis shared by our research analyst, the global catalyst market is estimated to grow annually at a CAGR of around 4.82% over the forecast period (2024-2032)
• In terms of revenue, the global catalyst market size was valued at around USD 32.16 billion in 2023 and is projected to reach USD 49.12 billion by 2032.
• The catalyst market is projected to grow at a significant rate due to the growing pressure on the pharmaceutical industry.
• Based on application, the heterogeneous catalysts segment is growing at a high rate and will continue to dominate the global market as per industry projections.
• Based on raw materials, the chemical compounds segment is anticipated to command the largest market share.
• Based on region, Asia-Pacific is projected to dominate the global market during the forecast period.

Catalyst Market: Growth Drivers

Growing pressure on the pharmaceutical industry to drive market demand rate

The global catalyst market is expected to be driven by the rising pressure on the pharmaceutical industry to increase drug development and production rates.

According to market research, the global pharmaceutical industry was valued at over USD 1.5 trillion in 2023. It is one of the world’s most crucial industries providing support to the healthcare sector.

The growing number of patients worldwide suffering from mild to severe conditions is pushing higher investments toward the development of new drugs while also increasing the production of existing formulations. Emerging economies such as India, African continents, and China are some of the fastest-growing nations with excellent incentives for drug developers and manufacturers.

According to Pharmaceutical Technology, Europe’s drug-developing sector registered over 15 private equity deals in the second quarter of 2024, totaling up to EUR 18.3 million. Catalysts are used in the pharmaceutical sector during several stages of drug research and development.

Some of the most common catalysts used in drug innovation are Iridium, Brominated compounds, and Palladium. The role of catalysts in the industry has become more prominent, especially in terms of sustainable chemistry driven by regulatory mandates and growing environmental awareness.

Petrochemical industry to continue fueling demand for efficient catalysts in the long run

The petrochemical industry is a leading consumer of catalysts. Petrochemicals are essential raw materials required for producing popular end-user products such as polymers, plastics, fuels, specialty chemicals, and synthetic fibers.

The global petrochemical industry has registered steady growth in the last few years. The increase in demand for end products, especially plastics and specialty chemicals, will promote higher use of efficient solutions available in the global catalysts market. A research team at Tel Aviv University recently developed a novel catalyst to be used in the production of polypropylene.

According to the researchers, the catalyst is expected to play a crucial role in the production of the strongest version of plastic that can replace other hard materials. Moreover, the plastic produced using the new catalyst will aid the industry in achieving non-toxic plastic production methods.

Catalyst Market: Restraints

High development of specialized catalysts will limit the industry’s expansion rate

The global industry for catalysts is expected to be restricted due to the high cost of producing the specialized material. The high cost is associated with the use of precious metals in the production of catalysts.

The most commonly used raw materials are gold, rhodium, palladium, and platinum. These materials are difficult to obtain and register high fluctuations in prices.

Furthermore, the catalyst production process is highly complex, involving a controlled environment with high pressure and temperature. The cost is further increased due to the extensive research & development expenses.

Catalyst Market: Opportunities

Extensive innovation in terms of the development of novel catalysts will generate growth opportunities

The global catalyst market is expected to generate growth opportunities due to the increasing innovation in terms of the development of novel catalysts.

Major chemicals & materials companies are investing big in research & development to meet the evolving catalyst-based needs of end-user industries. The primary focus is directed toward the development of catalytic solutions that can assist in achieving clean energy visions.

In August 2024, a giant in the global chemicals & materials industry, BASF, announced the launch of Fourtiva. It is a new Fluid Catalytic Cracking (FCC) catalyst for mild resid feedstock to gasoil. FCC is made using a combination of company-owned technologies, Multiple Framework Topology (MFT), and Advanced Innovative Matric (AIM).

According to company experts, Fourtiva is an optimized catalyst that can maximize butylene yields and offers excellent selectivity over propylene.

In October 2024, the Indian Institute of Technology, Indore (IIT-I) announced the development of an environmentally conscious procedure that can be used for generating purified hydrogen. The novel process can be used in the ongoing transition to clean energy.

Catalyst Market: Challenges

Complexities associated with the recycling of used catalysts will challenge the market expansion trends

The global catalyst industry is expected to be challenged by the complexities associated with recycling used catalysts. As per market analysis, the process of recycling precious metals is resource and cost-intensive.

Additionally, disposal of the materials can pose serious environmental threats since some of the materials are toxic to the environment.

Catalyst Market: Segmentation

The global catalyst market is segmented based on application, raw material, and region.

Based on the application, the global market segments are heterogeneous catalyst and homogeneous catalyst. In 2023, the highest growth was witnessed in the heterogeneous catalysts segment. It dominated nearly 72% of the total market share.

The most prominent heterogeneous catalysts include titanium dioxide, silicon dioxide, barium sulfate, and calcium carbonate. The catalysts are used in a large number of processes, including the creation of ethyl acetate from acetic acid and ethanol along with the dehydration of D-xylose into furfural.

Based on raw materials, the catalyst industry is divided into zeolites, metals, chemical compounds, and others. In 2023, the highest revenue was generated by the chemical compounds segment. It held control over 40% of the final revenue.

The increasing applications of catalysts made using chemical compounds in the production of polyethylene and polypropylene are fueling the segmental demand. Metal catalysts have found applications in downstream industries.

Catalyst Market: Report Scope

Catalyst Market: Regional Analysis

Asia-Pacific is the largest contributor to global revenue according to market research

The global catalyst market is led by Asia-Pacific and will follow the same trend during the forecast period. In 2023, the region dominated nearly 34.87% of the global revenue.

The presence of a robust chemicals & materials industry across major Asian countries such as China and India is the greatest propeller of regional dominance. For instance, China is the world’s leading producer and supplier of leading catalysts with several end-user applications.

In October 2024, CNPC, the parent company of PetroChina, announced that it would build a USD 9.84 billion refinery and chemical complex on Changxing island.

In August 2024, Saudi Aramco announced its plans to increase investments in China’s petrochemical industry. Favorable government policies, tax subsidies, and availability of affordable labor are some of the focal points permitting intense growth in Asia-Pacific’s catalyst industry.

Europe is a growing market for specialized catalysts. The presence of major chemical companies, along with extensive use of catalytic processes in the pharmaceutical industry across Europe, are fueling regional revenue.

BASF recently announced the launch of Tri-Metal Catalyst technology, which will allow partial substitution of palladium with a more cost-efficient alternative in the form of platinum in gasoline vehicles.

Catalyst Market: Competitive Analysis

The global catalyst market is led by players like:

• Honeywell UOP
• BASF SE
• Evonik Industries AG
• LyondellBasell Industries
• Johnson Matthey
• Solvay
• Dow Chemical Company
• Criterion Catalysts & Technologies
• DuPont
• Clariant
• Haldor Topsoe
• W.R. Grace & Co.
• AkzoNobel
• Axens
• Albemarle Corporation.

The global catalyst market is segmented as follows:

By Application

• Heterogeneous Catalyst
• Homogeneous Catalyst

By Raw Material

• Zeolites
• Metals
• Chemical Compounds
• Others

By Region

• North America
  • The U.S.
  • Canada
• Europe
  • France 
  • The UK
  • Spain
  • Germany
  • Italy
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Southeast Asia
  • Rest of Asia Pacific
• Latin America
  • Brazil
  • Mexico
  • Rest of Latin America
• Middle East & Africa
  • GCC
  • South Africa
  • Rest of Middle East & Africa