Syngas & Derivatives Market Size, Share Global Analysis Report, 2022 – 2028

Industry Insights

[229+ Pages Report] According to Facts and Factors, the global syngas & derivatives market size was worth 245,472.00 MWth in 2021 and is estimated to grow to 437,246.03 MWth by 2028, with a compound annual growth rate (CAGR) of approximately 10.10% over the forecast period. The report analyzes the syngas & derivatives market's drivers, restraints/challenges, and the effect they have on the demands during the projection period. In addition, the report explores emerging opportunities in the syngas & derivatives market.

Global Syngas & Derivatives Market: Overview

Syngas is produced by mixing these two materials and gasifying them, which can be used for fuel, power production, and other chemical purposes. As it is derived from raw materials like coal, petroleum, natural gas, and others, it is generally composed of carbon. Additionally, syngas is considered the best alternative for producing liquid and gaseous fuel. Chemicals, power generation, and liquid fuels, among others, are some industries that utilize syngas. Demand for syngas and derivatives has increased due to environmental constraints and the introduction of clean technologies, a rapidly growing population and surging demand for electricity. Governments are pushing clean technologies in many nations due to high pollution levels. The global market appears to grow positively in light of these considerations and initiatives. One of the key factors driving the global syngas and derivatives market is the growing need to decrease dependence on fossil fuels. Syngas and derivatives market players will likely benefit from the increasing use of syngas as a substitute for liquids and gases.

COVID-19 Impact:

The coronavirus pandemic negatively affects the syngas and derivatives market. As a result of a strict lockdown, halted business and manufacturing activities, and countries imposing large-scale transmission constraints, syngas and derivatives have experienced negative growth. Several factors led to the decrease in market growth during the pandemic, including supply chain & logistics issues and border controls. After some restrictions are relaxed after the pandemic subsides, the syngas and derivatives market is expected to grow steadily.

Key Insights

• As per the analysis shared by our research analyst, the global syngas & derivatives market value is expected to grow at a CAGR of 10.10% over the forecast period.
• In terms of revenue, the global syngas & derivatives market size was valued at around 245,472.00 MWth in 2021 and is projected to reach 437,246.03 MWth by 2028.
• Environmental constraints, the introduction of clean technologies, a rapidly growing population and surging demand for electricity are the major factors driving the market's growth.
• By production technology, the biomass gasification category dominated the market in 2021.
• By gasifier type, the fixed (moving) bed gasifier category dominated the market in 2021.
• The Asia Pacific dominated the global syngas & derivatives market in 2021.

Syngas & Derivatives Market: Growth Drivers

• Increasing use of syngas in various industrial applications to drive market growth

The syngas and derivatives market is growing due to increased demand for electricity, fuels, and agricultural products. Several new syngas production plants are being built around the world. As a result of the fact that syngas and derivatives can be used to derive fuels and chemicals for power generation, polygeneration is the main driving force for the market. Syngas is widely used in chemical production. In addition to methanol, oxo-chemicals, ammonia, di-methyl ether, and hydrogen, syngas produces many chemicals. Demand for syngas and derivatives is increasing due to the increasing use of derivatives in various industrial applications.

Syngas & Derivatives Market: Restraints

• High initial investments hinder the market growth

Market growth is hindered by several factors, including high capital investment costs and the long time it takes to construction the operational plant with hi-tech gasification techniques. Another consideration is feedstock availability in the area where the plant will be constructed.

Syngas & Derivatives Market: Segmentation

The global syngas & derivatives market has been segmented into production technology, gasifier type and feedstock.

Based on production technology, steam reforming, partial oxidation, autothermal reforming, biomass gasification, and others (plasma gasification, heat exchange reforming, and underground coal gasification) are segments of the global syngas & derivatives market. The biomass gasification segment for these facilities accounted for a sizeable market share. Using this technology, biomass and coal can be converted into syngas, carbon monoxide, hydrogen, and carbon dioxide from organic/fossil fuel-derived carbonaceous materials.

Based on gasifier type, the market is classified into fixed (moving) bed gasifiers, entrained flow gasifiers, fluidized bed gasifiers, and others (plasma arc gasifier and black liquor gasifier). In 2021, the fixed (moving) bed gasifier category dominated the global market. It is possible to carry out fixed bed gasification at a small scale with a relatively straightforward and robust technology, so it is one of the best processes for utilizing lignocellulosics; therefore, plants based on this technology can either be integrated into smart energy networks or used by small isolated communities.

Based on feedstock, the market is classified into coal, natural gas, petroleum byproducts, biomass/waste and others (petcoke, plastic waste, and medical waste). The coal segment dominated the market in 2021. Coal is a readily available feedstock for energy production and is compact with several syngas production technologies, which drives the growth of the coal segment in the syngas & derivatives market.

Recent Developments

• January 2020: To build, own, and operate its largest-ever steam methane reformer (SMR) to produce hydrogen, an air separation unit (ASU) to supply nitrogen, and utility facilities, Air Products and Chemicals Inc. has made the largest-ever US investment in USD 500.0 million. Additionally, the company has won a long-term contract to supply the new, large-scale Texas Production Plant for Gulf Coast Ammonia.
• August 2019: Air Products acquired GE’s Gasification Business and Technology. GE will also acquire the gasification business acquired by Air Products.

Report Scope

Syngas & Derivatives Market: Regional Landscape

• The Asia Pacific dominated the syngas & derivatives market in 2021

In 2021, Asia Pacific dominated the global syngas & derivatives market. As the region's chemical, fuel, and electricity industries grow, especially in China and India, syngas & derivatives demand will increase. Syngas & derivatives that are derived from coal are primarily produced in markets such as China and India. As a result, coal segment growth in the Asia Pacific accounts for most of the syngas demand. Further, markets for syngas and derivatives are expected to benefit from a growing energy sector in the region, particularly in Japan, China, India, South Korea, and Taiwan.

Syngas & Derivatives Market: Competitive Landscape

• Alphabet Sasol Limited 
• Haldor Topsoe A/S 
• Air Liquide S.A. 
• Siemens AG 
• Air Products and Chemicals Inc. 
• KBR Inc. 
• Linde plc 
• BASF SE 
• TechnipFMC PLC 
• McDermott International Inc. 
• Mitsubishi Heavy Industries Ltd. 
• Chiyoda Corporation 
• Synthesis Energy Systems Inc. 
• Yara International ASA 
• Methanex Corporation 
• CF Industries Holdings Inc. 
• Dow Inc. 
• John Wood Group PLC.

Global Syngas & Derivatives Market is segmented as follows:

By Production Technology

• Steam Reforming
• Partial Oxidation
• Autothermal Reforming
• Biomass Gasification
• Others (Plasma Gasification, Heat Exchange Reforming, and Underground Coal Gasification)

By Gasifier Type

• Fixed (Moving) Bed Gasifier
• Entrained Flow Gasifier
• Fluidized Bed Gasifier
• Others (Plasma Arc Gasifier and Black Liquor Gasifier)

By Feedstock

• Coal
• Natural Gas
• Petroleum Byproducts
• Biomass/Waste

By Regional Segment Analysis

• North America
  • The U.S.
  • Canada
  • Mexico
• Europe
  • France
  • The UK
  • Spain
  • Germany
  • Italy
  • Nordic Countries
    • Denmark
    • Sweden
    • Norway
  • Benelux Union
    • Belgium
    • The Netherlands
    • Luxembourg
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • Australia
  • South Korea
  • Southeast Asia
    • Indonesia
    • Thailand
    • Malaysia
    • Singapore
    • Rest of Southeast Asia
  • Rest of Asia Pacific
• The Middle East & Africa
  • Saudi Arabia
  • UAE
  • Egypt
  • South Africa
  • Rest of the Middle East & Africa
• Latin America
  • Brazil
  • Argentina
  • Rest of Latin America