Synthetic Fuels Market: Introduction
- Synthetic fuels are obtained from synthetic gas, which is a mixture of carbon monoxide and hydrogen.
- It is a liquid fuel, which is not derived from the naturally occurring crude oil. Synthetic fuels are manufactured by using renewable energy.
- Under the first stage, hydrogen is produced from water. Carbon is then added to hydrogen to produce liquid fuel. The carbon which is used can be recycled by industrial processes. It can even can be captured from the air using filters. The combination of CO2 and H2 results in the formation of synthetic fuels.
Key Drivers of Synthetic Fuels Market:
- The synthetic fuels market is driven by the rise in prices of oil and increase in focus on these fuels by government and energy companies since the last few years.
- Political instability in oil-producing countries and depletion of natural resources are also boosting the synthetic fuels market. However, usage of synthetic fuel results in less pollution. However, the production process of synthetic fuel leads to just as much pollution as that caused by traditional gasoline. Synthetic fuels are much more expensive than conventional fuels. Further research, development, and investment are necessary to make the production economically viable. This is one of the key factors restraining the synthetic fuels market.
Are you a start-up willing to make it big in the business? Grab an exclusive Report Brochure here
Extra-heavy oil Type Segment and Gasoline Application Segment to Offer Attractive Opportunities:
- The synthetic fuels market can be segmented based on type, raw material, application and region.
- Based on raw material, the global synthetic fuels market can be segmented into coal, natural gas, plant waste, corn, non-food crop sources which can be fermented, and others. Synthetic fuels can be produced without volume limitation through the chemical conversion process. The method could be either direct conversion into liquid transportation fuels or indirect conversion, wherein the source substance is converted initially into synthetic gas and then goes through additional conversion process to become liquid synthetic fuels.
- Based on type, the synthetic fuels market can be divided into extra-heavy oils, gas-to-liquids fuels, shale oil, oil sands, coal-to-liquid (CTL) fuels, biomass-to-liquids fuel, fuel from waste, fuel from atmospheric carbon, and others. Extra-heavy oil is one of the sources of synthetic crude, which is a type of synthetic fuels that closely resembles crude oil. It occurs naturally and forms when oil is buried deep in the Earth. Gas-to-liquids fuels entail the process of converting natural gas into liquid form. Shale oil is another form of synthetic crude produced form marlstone, which is a naturally occurring rock commonly known as oil shale. Oil sand is also known as tar sand. It occurs naturally with mix of water, clay, sand, and bitumen. Coal-to-liquids fuels are produced by isolating hydrocarbons in the existing fossil fuels and converting them into synthetic fuels.
- Based on application, the synthetic fuels market can be segregated into gasoline, diesel, and kerosene. Any fuel that is produced from the synthesis of hydrogen gas is considered synthetic fuel. Synthetic gasoline and synthetic diesel are produced in higher quantities than kerosene.
Asia Pacific expected to hold Significant Share in the Global Synthetic Fuels Market:
- In terms of region, the synthetic fuels market can be segregated into North America, Asia Pacific, Europe, Latin America and Middle East & Africa.
- The market in Asia Pacific is expected to expand at a significant pace during the forecasted period, due to the rise in demand for these fuels in the automotive industry in the region.
- China is estimated to be a major producer and consumer of synthetic fuels in Asia Pacific. In terms of production, India is also anticipated to exhibit strong growth due to the rise in demand for synthetic fuels in the alternative fuel industry.
- The market in North America is projected to expand at a moderate pace during the forecasted period owing to technological advancements in the region.
- Europe is likely to be a stable region of the synthetic fuels market, led by the steady demand for these fuels in the automotive industry.
- The market in Latin America and Middle East & Africa is expected to expand at a sluggish pace during the forecast period.
Stuck in a neck-to-neck competition with other brands? Request a custom report on competition on synthetic fuels market here
Key Players Operating in the Market:
- Demand within synthetic fuels market is highly concentrated with top producers accounting approximately 45-50% of the market. Few of the key players operating in the synthetic fuels market include
- Indian Oil Corporation Ltd
- Royal Dutch Shell Plc.
- Phillips 66
- Exxon Mobil Corporation
- Petrochina International Jinzhou Petrochemical Co., Ltd.
- Reliance Industries Ltd.
- Robert Bosch GmbH
Global Synthetic Fuels Market: Research Scope
Global Synthetic Fuels Market, by Raw Material
- Natural Gas
- Plant Waste
- Non-Food Crop Sources
Global Synthetic Fuels Market, by Type
- Extra-Heavy Oils
- Gas-To-Liquids Fuels
- Shale Oil
- Oil Sands
- Coal-To-Liquid (CTL) Fuels
- Biomass-To-Liquids Fuel
- Fuel From Waste
- Fuel From Atmospheric Carbon
Global Synthetic Fuels Market, by Application
This study by TMR is all-encompassing framework of the dynamics of the market. It mainly comprises critical assessment of consumers' or customers' journeys, current and emerging avenues, and strategic framework to enable CXOs take effective decisions.
Our key underpinning is the 4-Quadrant Framework EIRS that offers detailed visualization of four elements:
- Customer Experience Maps
- Insights and Tools based on data-driven research
- Actionable Results to meet all the business priorities
- Strategic Frameworks to boost the growth journey
The study strives to evaluate the current and future growth prospects, untapped avenues, factors shaping their revenue potential, and demand and consumption patterns in the global market by breaking it into region-wise assessment.
The following regional segments are covered comprehensively:
- North America
- Asia Pacific
- Latin America
- The Middle East and Africa
The EIRS quadrant framework in the report sums up our wide spectrum of data-driven research and advisory for CXOs to help them make better decisions for their businesses and stay as leaders.
Below is a snapshot of these quadrants.
1. Customer Experience Map
The study offers an in-depth assessment of various customers’ journeys pertinent to the market and its segments. It offers various customer impressions about the products and service use. The analysis takes a closer look at their pain points and fears across various customer touchpoints. The consultation and business intelligence solutions will help interested stakeholders, including CXOs, define customer experience maps tailored to their needs. This will help them aim at boosting customer engagement with their brands.
2. Insights and Tools
The various insights in the study are based on elaborate cycles of primary and secondary research the analysts engage with during the course of research. The analysts and expert advisors at TMR adopt industry-wide, quantitative customer insights tools and market projection methodologies to arrive at results, which makes them reliable. The study not just offers estimations and projections, but also an uncluttered evaluation of these figures on the market dynamics. These insights merge data-driven research framework with qualitative consultations for business owners, CXOs, policy makers, and investors. The insights will also help their customers overcome their fears.
3. Actionable Results
The findings presented in this study by TMR are an indispensable guide for meeting all business priorities, including mission-critical ones. The results when implemented have shown tangible benefits to business stakeholders and industry entities to boost their performance. The results are tailored to fit the individual strategic framework. The study also illustrates some of the recent case studies on solving various problems by companies they faced in their consolidation journey.
4. Strategic Frameworks
The study equips businesses and anyone interested in the market to frame broad strategic frameworks. This has become more important than ever, given the current uncertainty due to COVID-19. The study deliberates on consultations to overcome various such past disruptions and foresees new ones to boost the preparedness. The frameworks help businesses plan their strategic alignments for recovery from such disruptive trends. Further, analysts at TMR helps you break down the complex scenario and bring resiliency in uncertain times.
The report sheds light on various aspects and answers pertinent questions on the market. Some of the important ones are:
1. What can be the best investment choices for venturing into new product and service lines?
2. What value propositions should businesses aim at while making new research and development funding?
3. Which regulations will be most helpful for stakeholders to boost their supply chain network?
4. Which regions might see the demand maturing in certain segments in near future?
5. What are the some of the best cost optimization strategies with vendors that some well-entrenched players have gained success with?
6. Which are the key perspectives that the C-suite are leveraging to move businesses to new growth trajectory?
7. Which government regulations might challenge the status of key regional markets?
8. How will the emerging political and economic scenario affect opportunities in key growth areas?
9. What are some of the value-grab opportunities in various segments?
10. What will be the barrier to entry for new players in the market?
Note: Although care has been taken to maintain the highest levels of accuracy in TMR’s reports, recent market/vendor-specific changes may take time to reflect in the analysis.