Noble Metal Catalyst Market – Forecast, 2024-2030

Noble Metal Catalyst Market size is estimated to reach US$22.2 billion by 2030, growing at a CAGR of 6.9% during the forecast period 2024-2030. Stringent government regulations regarding CO2 emissions are driving the demand for Noble Metal Catalysts. This trend is expected to boost the growth of the Noble Metal Catalyst Market during the forecast period.

Additionally, the rapid growth of the automotive industry has increased the demand for oxidation resistant metals; thereby, fueling the market growth. This presents an opportunity for the Noble Metal Catalyst manufacturing companies which boosts the Noble Metal Catalyst industry outlook during the forecast period.

The “Noble Metal Catalyst Market Report - Forecast (2024-2030)” by IndustryARC, covers an in-depth analysis of the following segments in the Noble Metal Catalyst Market.

  

● COVID-19 pandemic impacted various markets including noble metal catalysts.  Collapse in demand, factory closures, and supply chain disruption were some of the major issues that plagued the noble metal catalyst industry. The delays in receiving oxidation resistant metals and corrosion-resistant metals from the manufacturers due to the restriction on import and export of commodities also added to the woes of end users. 

● Like most chemicals, Noble Metal Catalysts are subject to price volatility due to various factors such as energy prices, transportation costs, and currency exchange rates. The Russia-Ukraine war has a direct impact on the market as both Russia and Ukraine are major exporters. About 40% of the world's mined palladium comes from Russia. Palladium prices on the London Bullion Market Association, jumped to $2,680.00 per ounce on Feb. 24, 2022 from $2,423.00/oz on Feb. 23. The conflict has rattled metal markets fearing a potential supply crunch caused by disruptions and western sanctions on Russia.

Geographically, in the Noble Metal Catalyst market share, Europe is analyzed to hold a dominant market share of 38% in 2023 owing to the stringent emission regulations by the European governments and flourishing automotive industry in the region. Within the European Union (EU), transport contributes to 20% of the C02 emissions, the Euro standards aim is to reduce this. On March 28, 2023, the European Union adopted a ground-breaking amendment to the EU light-duty vehicles (LDV) CO2 standards. With this amendment, the EU will be the first major region worldwide to introduce a 100% CO2 emission reduction target for all cars and vans newly registered from 2035 onwards. In addition, the current CO2 reduction target for 2025 remains unchanged (-15%), and the 2030 target is strengthened from -37.5% to -55%, relative to a 2021 baseline. For 2035, a 100% reduction target is introduced. These stringent emission regulations by the European Union are driving the noble metal catalyst market growth in this region during the forecast period.

In the Noble Metal Catalyst Market forecast, the phosphonate segment is estimated to grow with a CAGR of 7.5% during the forecast period. Platinum is the most commonly used corrosion resistant metal for pollution control applications as it helps in improving combustion while decreasing emissions. Platinum is also efficient under conditions rich in oxygen, which is why it is commonly used for diesel applications. Moreover, it is effective against sulfur compounds and helps to reduce the content of sulfur in crude oil at refineries. Also, platinum provides many other benefits, such as a high melting point, thermal resilience, excellent low-temperature oxidation operation, efficient recycling, and more. The increasing demand for platinum-based noble metal catalysts coupled with its extensive advantages are anticipated to boost the demand for platinum-based noble metal catalysts during the forecast period.

According to the Noble Metal Catalyst Market analysis, the automotive segment is estimated to hold the largest market share in 2023. According to the Organisation Internationale des Constructeurs d’Automobiles (OICA), the global production of motor vehicles reached 85.02 million in 2022, registering a YoY growth of 6% compared to 2021. China was the largest market. 27.021 million motor vehicles were manufactured in the country in 2022, whereas sales figures reached 26.864 million units during the same period. Production and sales grew by 3.4% and 2.1% year-on-year, respectively. Noble metal catalysts are a key component of most new car engines in the world today for emission control as it can bridge homogenous catalysis and heterogenous catalysis. Thus, there is an increasing demand for the noble metal catalysts to manufacture engines such as diesel engines, gasoline engines, small engines, and more.

Numerous governments around the world have placed strict controls on emissions and fuel efficiency for fuel-powered passenger vehicles. These standard regulations have prompted automotive manufacturers to increase the use of emission control catalysts to minimize vehicle carbon footprints, control air pollution, and ensure protection and efficiency, which is expected to boost the demand for noble metal catalysts. A new regulation on CO2 emission standards (Regulation (EU) No 2019/631), replacing the past regulations (EC) No 443/2009 and (EU) No 510/2011, entered into force with effect from 1 January 2020. From 2025 onwards, the average CO2 emissions of new passenger cars and LCVs must be reduced by 15% compared to 2021 levels. By 2030, the average emissions must be reduced by 55% for passenger cars. In April 2023, the U.S. EPA proposed a new emissions rule. Between 2026 and 2032, fleet emissions will need to drop by an average of 13% per year, until reaching 82g CO₂ per mile by 2032. By comparison, the average new vehicle in 2021 emitted 347gCO₂/mi – about four times as much as the 2032 rule. Due to this, the demand for emission control catalysts will significantly increase in the coming years, which acts as a driver for the noble metal catalyst market during the forecast period.

According to the 2022 report released by the OICA, China, U.S., Japan, India, and Germany are ranked among the world’s largest car markets. At about 23.56 million units, China remained the largest market for passenger car sales in 2022. India was the only country in the top five worldwide markets to have double-digit growth (28%). Noble metal catalysts are largely used in the automobile sector to reduce the effect of pollutants released by exhaust. As per the International Platinum Group Metals Association, catalytic converters fitted inside the exhaust pipe of a gasoline-operated car convert over 90% of harmful emissions from engine exhausts. Without them, the average family car would emit 15 tons of polluting gases over a 10-year lifespan. With the increase in automotive production, the demand for noble metal catalysts will also increase, which acts as a driver for the market during the forecast period.

The market for noble metal catalysts faces a challenge as raw material prices pose a significant impediment to growth. The intricate production processes, especially involving metals like platinum and palladium, contribute to elevated manufacturing expenses, limiting affordability and widespread adoption. Furthermore, the ongoing Ukraine-Russia war introduces an additional layer of complexity with price volatility in key raw materials, exacerbating cost pressures. Western sanctions against Russia by US-led NATO allies have resulted in price volatility. According to an article published in September 2023 in Gem & Jewellery Export Promotion Council, in 2022, the palladium price scaled an all-time high of over $3,440 per ounce, it was around 3 times the price of platinum and almost double that of gold. However, the disruption in the supplies of palladium and its non-reportage has resulted in the palladium price reaching a low of $1,197 per ounce in the international markets in mid-2023.

Product/Service launches, approvals, patents and events, acquisitions, partnerships and collaborations are key strategies adopted by players in the Noble Metal Catalyst Market. The top 10 companies in this industry are listed below:

1. BASF SE

2. Evonik Industries

3. Johnson Matthey Plc.

4. Heraeus Group

5. Clariant AG 

6. Umicore SA

7. Thermo Fisher Scientific

8. Vineeth Precious Catalysts Pvt. Ltd.

9. Shaanxi Kai Da Chemical Engineering Co., Ltd.

10. American Elements