What is Adblue?
One of the latest techniques used to clean up diesel emissions is known as selective catalytic reduction (SCR). A solution of urea in water is used to treat exhaust gases and remove harmful pollutants, including nitrogen oxides (NOx), of which nitrogen dioxide (NO2) is the most harmful.
AdBlue, also known as diesel exhaust fluid (DEF), is a blend or an aqueous solution of 32.5% urea and 67.5% of deionized water. It is primarily used as a consumable fluid in diesel and gasoline fuel-based vehicles. The product effectively reduces the emission of oxides of nitrogen by chemically reacting with the exhaust gases.
The fluid used in most vehicles is known as AdBlue, a registered trademark owned by the German Association of the Automobile Industry (VDA), which ensures standards are maintained. The fluid is stored in a tank in the car, but unlike petrol or diesel it is not injected into the engine; instead it is fed into part of the vehicle’s exhaust. A chemical reaction converts the harmful NOx exhaust gases into harmless nitrogen and water.
What cars use AdBlue?
New technology such as SCR and AdBlue is still found mainly in large, expensive diesel models. That is because the system is both too large and too expensive to squeeze into small runabouts.
In tests, small diesel cars without SCR, such as the 2016 Volkswagen Polo 1.4 TDI, have been found to be as toxic as a fully laden lorry. In measurements taken by Leeds University’s Institute of Transport Studies, the Polo emitted 1.2g of NO2 per kilometre travelled, which is the same as a fully laden diesel lorry with a 13-litre engine.
Demand for Adblue in SouthAfrica.
The growing use of emission reduction products such as AdBlue and diesel exhaust fluid in the agricultural machinery and construction equipment is expected to create lucrative opportunities for the manufacturers of AdBlue.
The South Africa AdBlue market was valued at USD 136.09 million in 2017 and is projected to register a healthy CAGR of 4.83% to attain a value mark of USD 188.00 million by the end of 2023. In terms of volume, the global market is expected to exhibit a CAGR of 4.24% to reach 327.14 kilo tons from 434.56 kilo tons. The major factor driving the growth of the South Africa AdBlue market is increasing adoption of passenger cars and commercial vehicles in Africa. Furthermore, changing lifestyles and increasing disposable income of the people in the country has resulted in the increased sale of automobiles, which is consequently expected to boost the demand for AdBlue and diesel exhaust fluid.
However, sluggish economic growth in South Africa on account of the looming macroeconomic factors is likely to hamper the market growth of AdBlue oil and diesel exhaust fluid during the review period 2017-2023.
Segmentation
The South Africa AdBlue market has been segmented on the basis of technology and application. Based on technology, the market is bifurcated into exhaust gas recirculation and selective catalytic reduction. Among these, the selective catalytic reduction segment accounted for around 82% market share in 2017. By application, the market is categorized into automotive, farm machinery, construction machinery, electronic generators, railway engines, and others. The automotive segment accounted for the largest market share with a value of USD 84.7 million in 2017.
Key Players
Some of the key players operating in the South Africa AdBlue market are
BASF SE (Germany)
Engen Petroleum Ltd (South Africa)
and Viscol.co.za. (South Africa).
Key Findings
The South Africa AdBlue market was valued at USD 136.09 million in 2017 and is projected to reach USD 188.0 million by 2024 registering a healthy CAGR over the forecast period.
The selective catalytic reduction segment accounted for over 82% of the market share in 2017 and is projected to reach USD 157.1 million by the end of the forecast period.
The automotive segment emerged as the largest segment accounting for nearly 61% of the market share in 2017.
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