Global Electronic Grade Sulfuric Acid Market - 2022-2029

Global Electronic Grade Sulfuric Acid Market - 2022-2029

Market Overview

The global electronic grade sulfuric acid market reached US$ XX Million in 2021 and is expected to reach US$ XX million by 2029, growing at a CAGR of XX% during the forecast period 2021-2029.

Sulfuric acid of electronic grade is a high purity chemical used in the electronics sector for cleaning and etching semiconductors and printed circuit boards, microchips, semiconductors and solar cells. Sulfuric acid of electronic grade is a common component of microelectronic chemical reagents. The products are employed in semiconductors and ultra-large-scale integrated circuit assembly and processing. Additionally, electronic grade sulfuric acid is employed in semiconductor production to eliminate residual organic contaminants before the metallization operations.

The electric grade sulfuric acid is often combined with either hydrogen peroxide or ozonated ultra-pure water to achieve an intended exothermic reaction. Its reaction's extra energy is useful for eliminating hard-baked photoresists and most organic impurities.

Market Dynamics

The extensive growth in the demand for semiconductors tends to act as a major market driver for the global electronic grade sulfuric acid market. However, the difficulties in handling and health problems associated with sulfuric acid tend to restrict the market growth.

Extensive growth in demand for semiconductors

Sulfuric acid of electronic grade is used mostly for cleaning and etching semiconductors and PCBs. The product is a popular and commonly utilized specialty wet chemical for unique and tailored electronic applications in the semiconductor industry. As per data published by The Semiconductor Industry Association (SIA), the global semiconductor sales totaled US$ 48.8 million in October 2021, up 24.0 % from US$ 39.4 million in October 2020 and 1.1% higher than US$ 48.3 million in September 2021. Furthermore, according to a recently announced WSTS industry projection, yearly global sales would rise 25.6% in 2021 and 8.8% in 2022. By sales, SIA represents 98% of the US semiconductor sector and approximately two-thirds of non-US chip companies.

From the data, it could be easily understood that the semiconductor market is booming exponentially, supplemented by the growing digitalization and invention of advanced technological gizmos. Since electronic grade sulfuric acid plays a vital role in the manufacture of semiconductors, the massive growth in the semiconductor market would supplement the demand growth of electronic grade sulfuric acid. Therefore, the respective factor could be a major market driver for the global electronic grade sulfuric acid market.

Difficulties in handling and health problems associated with Sulfuric Acid

Since sulfuric acid is extremely caustic, handling the respective chemical is extremely hard. The fact that sulfuric acid is an aggressive oxidant is the most difficult aspect of working and storing it. Furthermore, sulfuric acid poses major storage problems because it is a relatively heavy chemical, especially at high concentrations. For instance, sulfuric acid weighs about twice as much as water at 93-98% concentration. Further, it is also a potent chemical that corrodes metals and oxidizes polymers.

Additionally, when sulfuric acid comes into contact with water, it produces a hazardous sulfuric acid aerosol fume and the possibility of an explosion. If sulfuric acid is spilled over metals, it can produce highly flammable hydrogen gas. As a result, sulfuric acid storage requires a special setup, thereby increasing the manufacturing cost. Since the high manufacturing cost tends to repel new entrants into the market, the respective factor could be considered a major market restraint.

Sulfuric acid burns on the skin and other body parts can be more dangerous than burns caused by other powerful acids. Sulfuric acid dehydrates everything it comes into contact with and the heat generated by that reaction with water can cause further thermal damage. An exothermic reaction can occur when mixing or blending compounds with sulfuric acid and the chemical's heat can cause damage if not adequately managed.

In addition, sulfuric acid can cause permanent blindness if it comes into close contact with the eyes and can induce internal burns, irreparable organ damage and even death if consumed. Sulfuric acid aerosols cause significant eye and respiratory tract irritation and tissue damage when inhaled at high concentrations. Even in low quantities, long-term exposure to sulfuric acid aerosols can damage a person's teeth. Due to the aforementioned healthcare problems associated with sulfuric acid, it is regulated by stringent laws. Since such laws could impact the market prospects of sulfuric acid, the respective factor could also be a major market restraint.

COVID-19 Impact Analysis

COVID-19 had a disruptive impact on the global electronic grade sulfuric acid market due to the following factors:

Lack of raw materials, skilled personnel and production disruptions in the manufacturing process have hampered propanol production, which has been impacted by industry lockdowns and a demand for social isolation.

The lockdown imposed in reaction to the COVID-19 outbreak hampered the delivery of finished goods, causing substantial supply-demand disruptions in the market.

Despite disruptions in the electric grade sulfuric acid market's production process and supply chain of raw materials and finished products, the market is expected to grow in the post-COVID-19 era due to increased demand for electronic goods, where semiconductors and PCB panels play critical roles.

Segment Analysis

The global electronic grade sulfuric acid market is classified on the basis of type, size, application and region.

Digitalization and growing demand for advanced gizmos boost the demand for semiconductors, thereby allowing the respective segment to dominate the application segment of the electronic grade sulfuric acid market

Based on application, the global electronic grade sulfuric acid market is segmented into semiconductors, PCB panels and others. The application segment of the global electronic grade sulfuric acid market is dominated by the semiconductor sector.

Electronic grade sulfuric acid is used the most in the semiconductor industry. Sulfuric acid of electronic grade is a high purity chemical used in the electronics sector for cleaning and etching semiconductors and printed circuit boards. During semiconductor manufacturing, it is primarily used to clean silicon wafers. In U.S., the semiconductor business directly employs over a quarter of a million people and semiconductor company revenues in U.S. exceeded US$208 million in 2020. As per the data from The Semiconductor Industry Association, year-over-year and month-over-month sales for semiconductors increased across all major regional markets. The statistics of growth is as follows: Americas (29.2 % year-over-year, 2.6 % month-to-month), Europe (27.3 %, 2.8 %), Japan (23.7 %, 1.1 %), the Asia-Pacific/All Other (22.6 %, 0.2 %) and China (21.1 %, 0.3 % ).

The extensive growth in the semiconductor market could be easily understood from the respective data. Since the increased demand boosts manufacturing, which boosts the demand for electronic grade sulfuric acid, the respective segment dominates the end-user segment of the global electronic grade sulfuric acid market.

Geographical Analysis

The rise of the electronics manufacturing industry in the Asia-Pacific allows the region to dominate the respective market.

Due to the rise of the electronics manufacturing industry in countries such as China, India and Vietnam, Asia-Pacific is expected to dominate the region's portion of the electronic grade sulfuric acid market. The key factor pushing electronic grade sulfuric acid manufacture in China, Vietnam and Malaysia is lower manufacturing costs. According to a World Economic Forum article, 90 % of the world's electronics are made in China's Shenzhen province. Similarly, due to trade liberalization, corporate tax reductions, improved worker quality and government reforms, Vietnam's electronics industry is also growing rapidly

Due to lower corporate taxes than in other developing and developed nations, electronic grade sulfuric acid production is expected to expand in these countries throughout the projection period. The increase in the manufacture of electronic devices such as smartphones and LED and LCD televisions, where PCB panels are heavily used, can be related to expanding the electronic grade sulfuric acid market in China.

Competitive Landscape

The global electronic grade sulfuric acid market is highly active and dynamic in proportion to the number and strength of global and local competitors. The market is classed as consolidated since only a few primary players control the majority of the market share. BASF SE, INEOS AG, Aurubis, Kanto Chemical Co., Inc., Trident Group, KMG Chemicals, PVS Chemicals, Moses Lake Industries, Sigma-Aldrich Co. LLC and Nouryon are some of the major market participants. Substantial market participants employ market approaches like mergers, acquisitions, product launches, contributions and collaborations to gain competitive advantages and recognition in their respective markets.

BASF SE

Overview: BASF SE is a global chemical business that manufactures chemicals for a variety of sectors and is one of the largest publicly traded firms globally, having over 700,000 stockholders. The company's product line is divided into 13 categories: transportation, chemicals, construction, electronics & electric, energy & resources, furniture & wood, home care and cleaning, agriculture and other industries. Though BASF SE has 6 global locations and 241 additional industrial sites spread across more than 90 countries, Ludwigshafen is home to more than 30 BASF SE Group businesses. BASF Group generated around US$ 68,625.85 million in the year 2020.

Product Portfolio: Electronic grade sulfuric acid: The product will be employed mostly during the hundreds of cleaning cycles that semiconductor wafers go through during the manufacturing of microchips with single-digit nodes of less than 10 nanometers. The electronic grade sulfuric acid meets or surpasses the performance criteria for today's fastest, most powerful semiconductors, with best-in-class quality and consistency.

Key Development:

On May 30, 2018, BASF SE opened a new electronic-grade sulfuric acid plant in Jiaxing, China, to support the country's booming chip manufacturing industry. The new plant meets major industry needs such as quick ramp-up to mass production, consistent supply and high-quality sulfuric acid for semiconductor manufacturing processes.

Why Purchase the Report?

To visualize the global electronic grade sulfuric acid market segmentation by grade, application, end-user and region, as well as understand key commercial assets and players.

Identify commercial opportunities in the global electronic grade sulfuric acid market by analyzing trends and co-development.

Excel data sheet with numerous data points of electronic grade sulfuric acid market-level with four segments.

PDF report consisting of cogently put together market analysis after exhaustive qualitative interviews and in-depth market study.

Product mapping available as excel consisting of key products of all the major market players

The global electronic grade sulfuric acid market report would provide approximately 61 tables, 56 figures and almost 180 pages.

Target Audience 2022

Electronic Grade Sulfuric Acid Manufacturers/ Buyers

Industry Investors/Investment Bankers

Research Professionals

Emerging Companies

Logistics companies

Distributors/ Suppliers