Worldwide Green Petroleum Coke and Calcined Petroleum Coke Industry to 2025 – Aluminum Segment to Drive the Market Growth
October 12, 2020
The “Green Petroleum Coke and Calcined Petroleum Coke Market – Growth, Trends, and Forecast (2020-2025)” report has been added to ResearchAndMarkets.com’s offering.
The green petroleum coke and calcined petroleum coke market is expected to register a CAGR of around 6% during the forecast period. Petroleum coke is a byproduct of oil refineries, and the quality of coke (sulphur content in petroleum coke).
Around 75% of petcoke produced globally is used as fuel, while the rest is usually either calcined for usage in the aluminum industry or treated for use as metallurgical coke in steel making.
Asia-Pacific dominated the market across the world, with robust demand from various applications, such as fuel, aluminum, iron and steel, and silicon metal, among others.
Key Market Trends
Aluminum Segment to Drive the Market Growth
The global demand for primary aluminum is being fuelled by increasing focus toward lightweight construction in the automotive industry coupled with the booming aerospace industry.
The increasing pressure to utilize lightweight materials, in order to protect the environment is expected to drive the growth of aluminum in the automotive sector.
In the light of megatrends, such as electro mobility and additive manufacturing, new applications involving aluminum materials are increasingly used at a higher pace.
Although aluminum is facing strong competition from other materials, such as plastic composites, its growth areas are expected to remain larger in comparison to its substitute areas.
The increasing focus towards energy-saving cars and aluminum’s excellent reusability, which allows the energy invested in its production to be entirely reclaimed, is expected to increase aluminum consumption in the coming years.
China to Dominate the Asia-Pacific Market
Globally, China and India are one of the major consumers of petroleum coke. Historically, China has produced around 25 million metric tons of pet-coke annually, half of which is anode-grade. Chinese smelters used around 4.0-4.5 Mt of higher-sulfur coke as fuel until 2016.
However, due to strict environmental norms, the consumption of fuel-grade coke decreased reasonably. The country adapted to the recognized industry standard of three percent sulfur as the cut-off point. The country is finding it more challenging to source CPC, due to low supply and high demand for low-sulfur coke from Chinese smelters.
Further, the Chinese government’s decision to expand its tariff program in retaliation with the United States includes a new 25% tariff on thermal and metallurgical coal, as well as fuel-grade and calcined petroleum coke (CPC).
China continues to be the primary driver of growth in the aluminum industry, and e-mobility is a major factor.
China is the global leader in the electric car market. The Chinese government is providing strong financial and non-financial incentives to boost the electric cars sales.
New applications are coming up, such as pedestrian bridges, aluminum formwork and aluminum furniture, which is also likely to be an additional source of aluminum consumption growth, which in turn will aid in driving the petroleum coke market through the forecast period.