China AdBlue Market Revenue by Storage Type, 2018 - 2030, (USD Million)
Synopsis
The above chart is China AdBlue Market Revenue by Storage Type, 2018 - 2030, (USD Million)
Market Dynamics
the china adblue market has experienced exponential growth in recent years, driven primarily by government initiatives for environmental protection and increasing awareness of the adverse effects of vehicular emissions. adblue, also commonly known as diesel exhaust fluid (def), is a solution made of 32.5% urea and 67.5% deionized water, used in diesel vehicles equipped with selective catalytic reduction (scr) technology to reduce harmful nitrogen oxide (nox) emissions.
one significant factor contributing to the increased demand for adblue in china is the introduction of the national vi emission standard in 2019. the standard, which is equivalent to euro 6 in europe, has significantly lowered the nox emission limits for diesel vehicles, making the use of adblue essential for compliance. this has led to a surge in the demand for adblue in the country, with the market revenue estimated to reach usd 783.6 million in 2020.
the storage type plays a crucial role in the adblue market, as it directly affects the supply chain and efficiency of the product. in china, the adblue market can be classified into four storage types – bulk storage, intermediate bulk container (ibc), jerry cans, and others (including tanks for small vehicles and pumps). among these, the bulk storage segment dominates the market, accounting for the largest revenue share.
bulk storage refers to large storage tanks installed at refilling stations, often with capacities ranging from 5,000 liters to 100,000 liters. this storage type is preferred by major fleet operators, such as logistics and transportation companies, as it allows them to purchase adblue in bulk and refill their vehicles as needed. with a large fleet of heavy-duty diesel vehicles in the country, the bulk storage segment is expected to continue dominating the market in the forecast period.
on the other hand, the ibc segment is also witnessing significant growth in demand. these containers usually have a capacity of 1,000 liters and are more commonly used by individual vehicle owners and smaller fleets. the advantage of ibc storage is its mobility, allowing for easy transportation and refilling of adblue for vehicles on the go.
in conclusion, the demand for adblue in china is primarily driven by the government's emission reduction policies, with the bulk storage segment dominating the market. with the increasing adoption of adblue in the country, the market is expected to witness further growth in the coming years.