Ammonia Storage Tanks Market Size
| Study Period | 2019 - 2029 |
| Market Size (2024) | USD 583 Million |
| Market Size (2029) | USD 761.16 Million |
| CAGR (2024 - 2029) | 5.48 % |
| Fastest Growing Market | Middle East and Africa |
| Largest Market | Middle East and Africa |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Ammonia Storage Tanks Market Analysis
The Ammonia Storage Tanks Market size is estimated at USD 583 million in 2024, and is expected to reach USD 761.16 million by 2029, at a CAGR of 5.48% during the forecast period (2024-2029).
- The increasing usage of ammonia storage tanks in the transportation sector and companies expanding their ammonia storage capacity are anticipated to be the market's growth engines during the forecast period.
- Conversely, a high risk of complete tank failure due to overpressurization, ammonia leak issues, and constraints of large ammonia storage tanks could hinder market growth.
- However, the application of ammonia as a storage solution for decarbonized energy systems could present future opportunities for the growth of the studied market.
- The Middle East & Africa region is anticipated to dominate the global market during the forecast period, with key industrial players expanding their production capacity across the region.
Ammonia Storage Tanks Market Trends
Expansion of Ammonia Storage Capacity Across Industries Globally
- The growing need for improving crop yield and nutritional content while reducing production costs is anticipated to drive the demand for ammonia storage tanks in the fertilizer industry. As companies look to reduce logistics costs and bring in larger shipments, a substantial increase in ammonia storage capacity is anticipated during the forecast period.
- According to International Fertilizers Association, the global demand for fertilizers is anticipated to reach over USD 200 million in valuation between 2025-2026. The need for nitrogen fertilizer is expected to touch 114.5 million metric tons during this period.
- The ammonia market continues to consolidate, and large and cleaner ammonia plants near the coal resources are being built. As per the Ammonia Energy Association (AEA), China produced around 77 million tons of ammonia in 2023. China is shifting its focus from emissions-intensive to low-emissions ammonia which involves the development of green or renewable ammonia.
- A capacity of 9.1 million tons (MT) in total is planned, under construction, or operational across China, including 3.2 MT from operational projects and under construction – representing 4% of existing ammonia capacity (nearly 77 MT) in 2023.
- Globally, major economies are also planning on production expansion. For instance, Russia is planning to boost its ammonia production with approval for the project coming in from the country's Main Department of State Expertise. The project will reportedly have an annual production capacity of 525 thousand tons of ammonia and 700 thousand tons of urea and will be built in cooperation with China National Chemical Engineering.
- Similarly, the Gulf Coast Ammonia (GCA) plant is anticipated to produce over 1.3 million tons of ammonia annually to supply fertilizer-hungry export markets and domestic customers. The plant is expected to operate by 2025 and will use traditional steam methane reforming to produce Ammonia.
- According to U.S. Geological Survey, the United States witnessed its Ammonia production grow by over 20% during the last few years. The region's ammonia production is attributed to less carbon-intensive natural gas-fed ammonia plants, which account for 92% of all United States ammonia production. The expansion of ammonia capacity in the United States has driven the growth of natural gas production, which has resulted in the expansion of domestic ammonia production. Further, in 2023, the production of ammonia in the country amounted to an estimated 14 million metric tons, as per the government of the United States.
- The expansion of ammonia production capacity globally is anticipated to drive demand for ammonia storage tanks during the forecast period.
Middle-East & Africa Region Anticipated to Dominate Global Market
- The Middle East & Africa is anticipated to dominate the global ammonia storage market, with significant companies expanding their regional production capacity. For instance, Africa includes around 21 announced and planned ammonia production plants, of which Nigeria alone accounts for ten ammonia plants with a total capacity of 7.39 Mtpa, to be commissioned by 2025.
- Companies are working on expanding their ammonia production in the region through strategic collaborations. For instance, in 2022, Linde announced its partnership with Hive Hydrogen to construct 780,000 kilotons per year solar ammonia export facility in South Africa. The project is anticipated to be operational by 2026.
- In 2023, Emypro, a Spanish firm, unveiled the world's largest ammonia tanks at NEOM, playing a pivotal role in the USD 8.4 billion NEOM green hydrogen initiative. Each tank stands 40 meters tall with a diameter of 76 meters and is set to be operational by 2026, aligning with the project's commercial launch.
- The UAE is focusing on ammonia production, especially green ammonia, as a part of its broader sustainability goals and its strategy to diversify its economy away from oil. ADNOC has been at the forefront of ammonia projects in the country.
- The factors above indicate strong growth potential for the Middle East and African region to dominate the studied market globally.
Ammonia Storage Tanks Industry Overview
The ammonia storage tank market is fragmented in nature. The major players (not in any particular order) include Zhanjiang Mic Chemenergy Co., Ltd., Mcdermott, SPG Steiner GmbH, T.F. Warren Group, and Matrix PDM Engineering, among others.
Ammonia Storage Tanks Market Leaders
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Zhanjiang Mic Chemenergy Co., Ltd.
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Mcdermott
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SPG Steiner GmbH
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T.F. Warren Group
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Matrix PDM Engineering
*Disclaimer: Major Players sorted in no particular order
Ammonia Storage Tanks Market News
- October 2024: CB&I, a wholly owned unrestricted subsidiary of McDermott, has secured a contract from the Saipem Clough joint venture. The contract entails engineering, procurement, and construction (EPC) services for ammonia storage and other process tanks at the Perdaman Chemicals and Fertilisers Urea Plant on the Burrup Peninsula in Western Australia. As part of the project, CB&I will oversee EPC services for a 10,000 metric tons full containment ammonia storage tank. Construction activities are slated to begin in the first quarter (Q1) of 2025, with anticipated completion in 2028.
- June 2024: McDermott was awarded an Early Contractor Involvement (ECI) agreement by Abraxas Power Corporation for the Exploits Valley Renewable Energy Corporation (EVREC) project in Central Newfoundland, Canada. As part of the agreement, McDermott will deliver front-end engineering design (FEED), engineering, procurement, and construction (EPC) execution planning services, along with an open-book EPC cost estimate. These services pertain to the ammonia processing and product storage portion of the project.
Ammonia Storage Tanks Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumptions
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
4.1 Drivers
4.1.1 Increasing Usage of Ammonia Storage Tanks in the Transportation Sector
4.1.2 Companies Expanding its Ammonia Storage Capacity
4.2 Restraints
4.2.1 Ammonia Leak Issues
4.2.2 Overpressure Causing Complete Tank Failure
4.2.3 Constraints of Large Ammonia Storage Tanks
4.3 Industry Value-Chain Analysis
4.4 Porter's Five Forces Analysis
4.4.1 Bargaining Power of Suppliers
4.4.2 Bargaining Power of Buyers
4.4.3 Threat of New Entrants
4.4.4 Threat of Substitute Products and Services
4.4.5 Degree of Competition
5. MARKET SEGMENTATION (Market Size in Value)
5.1 Type
5.1.1 Small Tanks
5.1.2 Large Tanks
5.2 Geography
5.2.1 Asia-Pacific
5.2.1.1 China
5.2.1.2 India
5.2.1.3 Japan
5.2.1.4 South Korea
5.2.1.5 Rest of Asia-Pacific
5.2.2 North America
5.2.2.1 United States
5.2.2.2 Canada
5.2.2.3 Mexico
5.2.3 Europe
5.2.3.1 Germany
5.2.3.2 UK
5.2.3.3 France
5.2.3.4 Italy
5.2.3.5 Rest of Europe
5.2.4 South America
5.2.4.1 Brazil
5.2.4.2 Argentina
5.2.4.3 Rest of South America
5.2.5 Middle-East and Africa
5.2.5.1 Saudi Arabia
5.2.5.2 South Africa
5.2.5.3 Rest of MEA
6. COMPETITIVE LANDSCAPE
6.1 Mergers and Acquisitions, Joint Ventures, Collaborations, and Agreements
6.2 Market Share (%) Analysis
6.3 Strategies Adopted by Leading Players
6.4 Company Profiles
6.4.1 Engicon Nv (Geldof)
6.4.2 Fisher Tank Company
6.4.3 Matrix PDM Engineering
6.4.4 McDermott
6.4.5 Proton Ventures
6.4.6 Royal Vopak
6.4.7 SPG Steiner GmbH
6.4.8 T.F. Warren Group
6.4.9 thyssenkrupp Uhde GmbH
6.4.10 ZHANJIANG MIC CHEMENERGY CO., LTD.
- *List Not Exhaustive
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
7.1 Ammonia as a Storage Solution For Future Decarbonized Energy Systems
Ammonia Storage Tanks Industry Segmentation
Ammonia storage tanks feature a double containment design, ensuring that both the primary and secondary self-supporting containers can independently hold the stored liquid. Equipped with essential instrumentation, these tanks can effectively monitor and control both routine operations and emergencies. Typically, atmospheric ammonia storage tanks at distribution terminals and plant sites have a storage capacity of up to 50,000 tons. Two primary reasons drive the widespread acceptance of low-pressure ammonia storage. Firstly, it demands significantly less capital investment per unit volume. Secondly, it offers enhanced safety compared to spherical storage, which operates at pressures exceeding atmospheric levels. Given the extensive industrial production of ammonia, storing it at atmospheric pressure and -33°C has become a standard practice.
The ammonia storage tanks market is segmented by type and geography. On the basis of type, the market is segmented into small tanks and large tanks. The report covers market sizes and forecasts for ammonia storage tanks for 17 countries. For each segment, market sizing and forecasts have been done based on value (USD).
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Ammonia Storage Tanks Market Research FAQs
How big is the Ammonia Storage Tanks Market?
The Ammonia Storage Tanks Market size is expected to reach USD 583 million in 2024 and grow at a CAGR of 5.48% to reach USD 761.16 million by 2029.
What is the current Ammonia Storage Tanks Market size?
In 2024, the Ammonia Storage Tanks Market size is expected to reach USD 583 million.
Who are the key players in Ammonia Storage Tanks Market?
Zhanjiang Mic Chemenergy Co., Ltd., Mcdermott, SPG Steiner GmbH, T.F. Warren Group and Matrix PDM Engineering are the major companies operating in the Ammonia Storage Tanks Market.
Which is the fastest growing region in Ammonia Storage Tanks Market?
Middle East and Africa is estimated to grow at the highest CAGR over the forecast period (2024-2029).
Which region has the biggest share in Ammonia Storage Tanks Market?
In 2024, the Middle East and Africa accounts for the largest market share in Ammonia Storage Tanks Market.
What years does this Ammonia Storage Tanks Market cover, and what was the market size in 2023?
In 2023, the Ammonia Storage Tanks Market size was estimated at USD 551.05 million. The report covers the Ammonia Storage Tanks Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Ammonia Storage Tanks Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Ammonia Storage Tanks Industry Report
Statistics for the 2024 Ammonia Storage Tanks market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Ammonia Storage Tanks analysis includes a market forecast outlook to (2024to2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
Ammonia Storage Tanks Market Report Snapshots
