Sulfuric Acid Price Trend and Forecast 2026-2027

Geopolitical Impact of Sulfuric Acid Prices on Iran, the US, and Israel

Sulfuric acid's sharply divergent FY25 price trajectory China surging 82.5% while North America declined 4.4% carried distinct strategic consequences for Iran, the United States, and Israel.

For Iran, sulfuric acid is foundational across phosphate fertilizer production, petroleum refining, and copper ore processing. International sanctions restrict access to high-purity battery-grade and semiconductor-grade acid technologies, limiting domestic production to commodity industrial applications. Rising sulfur feedstock costs, exceeding USD 200/MT globally, further pressure state-controlled production economics, constraining affordable supply across Iran's strategically critical agricultural and mining sectors.

For the United States, sulfuric acid prices declined modestly 4.4% through adequate Gulf Coast supply and Ecovyst's expanded capacity from the Cornerstone Chemical acquisition. However, tightening EPA Clean Air Act SO₂ monitoring requirements added compliance costs across domestic producers. Growing semiconductor and EV battery-grade acid demand highlighted by BASF's Ludwigshafen expansion signals a structural shift toward premium high-purity segments commanding significantly elevated margins.

For Israel, sulfuric acid is strategically critical across phosphate fertilizer manufacturing, semiconductor fabrication, and defence-related chemical processing. Israel's advanced industrial base demands high-purity specialty grades, while domestic phosphate production through ICL Group provides partial feedstock self-sufficiency. Regional Middle Eastern price advances through FY25 elevated import-linked procurement costs across downstream industrial and agricultural sectors.

Key Takeaways

• Government: Iran's sanctions environment restricts access to advanced sulfuric acid production technologies and battery-grade capabilities. The U.S. enforces EPA SO₂ compliance standards adding structural production costs. Israel leverages ICL Group's domestic phosphate assets as a partial strategic production advantage.
• Market: Iran remains confined to commodity-grade industrial production with limited export competitiveness. The U.S. recorded a modest 4.4% decline, creating favourable near-term procurement conditions. Israel faces regional Middle Eastern price premiums across specialty and high-purity segments.
• Procurement: Iranian buyers depend on state-directed sourcing with constrained access to premium grades. U.S. buyers should lock Q1 FY26 contracts at current cyclical lows before seasonal fertilizer demand tightens supply. Israeli procurers should diversify between European low-emission suppliers and domestic ICL Group production to optimise cost efficiency.

Introduction: Understanding the Sulfuric Acid Market

Sulfuric acid (H₂SO₄) is the world’s most widely produced industrial chemical, serving as a fundamental input across fertilizers, chemicals, metal processing, petroleum refining, and wastewater treatment. The sulfuric acid price trend in FY25 was shaped by divergent regional dynamics, with Asian and European markets experiencing significant increases while North America and Africa declined. Produced primarily through the contact process using elemental sulfur, the acid’s pricing is influenced by sulfur feedstock availability, fertilizer demand cycles, and smelter output. Key applications include:

• Phosphate Fertilizers – the single largest end-use, consuming over 55% of global output for superphosphate, DAP, and MAP production
• Chemical Manufacturing – used as a catalyst, dehydrating agent, and reagent in producing hydrochloric acid, dyes, pigments, and detergents
• Metal Processing and Mining – essential for ore leaching in copper, zinc, and lithium extraction
• Petroleum Refining – used in alkylation units to improve fuel quality and meet clean fuel standards
• Battery Manufacturing – high-purity electrolyte-grade acid for lead-acid and lithium-ion battery production

Sources: Expert Market Research, Sulfuric Acid Market Report 2025; Procurement Resource; BASF SE Product Documentation

Key Sectors Driving Sulfuric Acid Demand

Agriculture and Fertilizers: Fertilizer production consumes approximately 55% of global sulfuric acid volumes, converting phosphate rock into phosphoric acid for DAP, MAP, and NPK fertilizers. The FAO projects global fertilizer demand to grow at 1.4% annually through 2028, driven by population growth and improved crop yield requirements.

Metal Processing and Mining: Expansion of copper, lithium, and zinc mining has strengthened demand for acid in hydrometallurgical leaching. The International Copper Study Group reports refined copper demand exceeded 26 million tonnes in 2024.

Battery and Semiconductor Industries: High-purity acid demand is accelerating with EV battery manufacturing. In April 2025, BASF announced semiconductor-grade sulfuric acid expansion at Ludwigshafen, targeting operations by 2027.

Sources: FAO, World Fertilizer Outlook 2028; International Copper Study Group (ICSG); BASF SE (April 2025)

Global Sulfuric Acid Market Overview

The global sulfuric acid market attained approximately 301.86 MMT in 2025, per Expert Market Research, projected to grow at 1.50% CAGR to 350.32 MMT by 2035. Asia-Pacific dominated with over 51% of global consumption. Elemental sulfur accounted for 61% of feedstock, with the contact process representing 87% of production. In March 2025, Ecovyst Inc. acquired Cornerstone Chemical’s sulfuric acid assets in Louisiana, while Mosaic completed heat-recovery upgrades to meet U.S. EPA Clean Air Act standards.

Sources: Expert Market Research, Sulfuric Acid Market Report 2025; U.S. EPA; Ecovyst Inc. (March 2025); Mosaic Company (March 2025)

Global Sulfuric Acid Price Trend FY25

The global sulfuric acid price trend in FY25 was characterised by a strongly bullish trajectory across Asia and Europe, contrasted by softening in North America and sharp correction in Africa. China recorded the most dramatic price surge at +82.5% full-year, while Africa experienced the steepest decline at -23.8%. The primary drivers included:

• Elevated Sulfur Feedstock: Global sulfur prices rose sharply, driven by Chinese demand and Red Sea freight disruptions. CFR China sulfur exceeded USD 200/MT by mid-year.
• Robust Asian Fertilizer Demand: India and China’s phosphate sectors drove sustained procurement, supported by government subsidy schemes and seasonal planting cycles.
• Smelter Output Fluctuations: African copper smelter maintenance and reduced mining output disrupted supply in Q3–Q4.
• EV Battery Demand: Growing high-purity acid requirements for lithium processing and battery electrolytes created premium pricing channels.

Sources: Expert Market Research; Procurement Resource; Goldman Sachs Commodity Research

India: Sulfuric Acid Price Trend FY25

India’s sulfuric acid price rose from USD 73.79/MT in Q1 to USD 96.72/MT by Q4, a full-year increase of approximately 31.1%. The Q2 surge of +22% was driven by intense procurement from phosphate fertilizer producers ahead of the Kharif planting season. Government subsidy programmes under the Nutrient Based Subsidy (NBS) scheme incentivised domestic phosphoric acid production.

Q3 and Q4 saw moderating growth at +6.2% and +1.3% as coastal plants maintained stable output. The sulfuric acid forecast for India suggests elevated prices into FY26, supported by IFFCO’s Paradip capacity additions and expanding fertilizer production targets.

Sources: Procurement Resource; Expert Market Research; Government of India, Department of Fertilizers

Northeast Asia: Sulfuric Acid Price Trend FY25

Northeast Asia recorded a substantial sulfuric acid price increase from USD 69.24/MT in Q1 to USD 110.93/MT by Q4, a full-year rise of approximately 60.2%. The Q2 spike of +36.5% was the single largest quarterly gain across all regions, driven by robust Japanese and South Korean industrial demand and tightening smelter supply.

Q3 maintained momentum at +12.7% before moderating to +4.2% in Q4. The sulfuric acid market was further supported by South Korean battery-grade acid demand for lithium processing and export volumes to Southeast Asia.

Sources: Expert Market Research; Procurement Resource; Goldman Sachs Commodity Research

North America: Sulfuric Acid Price Trend FY25

North America was one of only two regions to record a net sulfuric acid price decline in FY25, falling from USD 118.91/MT in Q1 to USD 113.70/MT by Q4, a modest -4.4%. Prices softened through Q2 (-1.7%) and Q3 (-3.2%) before stabilising with +0.4% in Q4.

The sulfuric acid cost environment reflected adequate Gulf Coast supply, including Ecovyst’s expanded capacity from the Cornerstone acquisition. Tariff discussions on Canadian and Mexican imports created short-term procurement uncertainty, while U.S. EPA continuous SO₂ monitoring requirements added compliance costs.

Sources: Procurement Resource; Expert Market Research; U.S. EPA; Ecovyst Inc. (March 2025)

Europe: Sulfuric Acid Price Trend FY25

European sulfuric acid prices rose consistently from USD 128.89/MT in Q1 to USD 152.83/MT by Q4, a full-year increase of approximately 18.6%. Q2 recorded the strongest gain at +11.8%, driven by seasonal fertilizer procurement, refinery maintenance reducing smelter-derived supply, and elevated energy costs.

The European Commission’s CBAM reshaped trade dynamics, increasing demand for low-emission acid. In October 2025, Arkema completed EUR 40 million modernisation at Lacq/Mourenx, cutting SO₂ emissions by 40%. BASF’s semiconductor-grade expansion at Ludwigshafen signalled growing high-purity demand.

Sources: Procurement Resource; Expert Market Research; European Commission (CBAM); Arkema (October 2025); BASF SE (April 2025)

Africa: Sulfuric Acid Price Trend FY25

Africa experienced the steepest sulfuric acid price decline, falling from USD 135.68/MT in Q1 to USD 103.39/MT by Q4, a -23.8% drop. After flat Q2 (+0.1%), Q3 saw a dramatic -22.4% correction – the largest quarterly decline globally – driven by reduced copper smelter output and subdued fertilizer demand.

OCP Group’s USD 1.2 billion Moroccan capacity investment (January 2025) signalled long-term supply expansion that weighed on forward pricing. Q4 declined a further -1.9% amid surplus inventory and competitive Middle Eastern imports.

Sources: Procurement Resource; Expert Market Research; OCP Group (January 2025)

China: Sulfuric Acid Price Trend FY25

China recorded the most dramatic sulfuric acid price surge in FY25, climbing from USD 66.15/MT in Q1 to USD 120.72/MT by Q4, a +82.5% full-year increase. The rally sustained across all quarters with Q2 (+33.0%), Q3 (+13.9%), and Q4 (+20.5%) all recording double-digit gains.

The sulfuric acid price trend in China reflected aggressive phosphate fertilizer production at Yunnan and Hubei complexes, rising sulfur feedstock costs exceeding USD 200/MT CFR, and strong Southeast Asian export demand. The China Petroleum and Chemical Industry Federation reported 4% year-on-year production growth, but demand consistently outpaced supply.

Sources: Expert Market Research; Procurement Resource; China Petroleum and Chemical Industry Federation

Sulfuric Acid Market Outlook: FY26

The sulfuric acid forecast for FY26 reflects a bifurcated global market, with Asian prices expected to plateau after the FY25 rally while North American and African markets seek a floor. Key outlook factors include:

• Sulfur Feedstock: Continued Red Sea shipping disruptions could sustain elevated costs into H1 FY26. Route normalisation would ease Asian price pressure.
• Fertilizer Demand: India’s Rabi/Kharif seasons and China’s phosphate targets will drive seasonal procurement surges.
• Capacity Additions: OCP’s Morocco expansion, Ecovyst’s Gulf Coast capacity, and IFFCO’s Paradip facility will add supply, potentially moderating increases.
• Battery-Grade Demand: European gigafactory roadmaps targeting 1,500 GWh by 2030 will accelerate high-purity acid demand at premium pricing.

Sources: Expert Market Research; Procurement Resource; Goldman Sachs Commodity Research; OCP Group; BASF SE

Key Takeaways for Buyers and Manufacturers

For Procurement and Sourcing Professionals

• Lock in NA contracts: With NA prices at multi-quarter lows, Q1 FY26 offers favourable terms before potential seasonal tightening.
• Hedge Asian volatility: China’s +82.5% surge highlights the need for multi-quarter contracts and diversified regional sourcing.
• Monitor sulfur feedstock: Sulfur pricing is the primary leading indicator for sulfuric acid cost direction. Red Sea disruptions remain a critical risk.
• Diversify supply sources: Blending elemental sulfur and smelter-derived acid sourcing reduces supply concentration risk.

For Manufacturers and Producers

• Invest in high-purity capacity: Semiconductor and battery-grade acid commands premium margins. BASF’s Ludwigshafen expansion underscores this shift.
• Accelerate emission compliance: CBAM and EPA mandates raise costs. Arkema’s 40% SO₂ reduction demonstrates the competitive value of proactive investment.
• Strengthen seasonal logistics: Fertilizer demand peaks create recurring supply gaps. Captive storage and contract stability protect margins.
• Target acid regeneration: Spent acid recycling from refineries represents a growing revenue stream aligned with ESG mandates.

Sources: Expert Market Research; Procurement Resource; BASF SE; Arkema; OCP Group

Analyst Insights

The sulfuric acid price trend in FY25 revealed structurally different dynamics from most commodity chemicals. While markets like acrylic acid saw broad declines, sulfuric acid benefited from sustained agricultural demand, feedstock constraints, and emerging high-purity applications that supported bullish pricing in four of six regions.

China’s +82.5% rally was the standout feature. Structural growth drivers – food security mandates, EV battery expansion, and semiconductor-grade demand – remain intact. The key risk for FY26 buyers is simultaneous smelter maintenance cycles coinciding with seasonal fertilizer demand peaks.

Sources: Expert Market Research; Goldman Sachs Commodity Research; Procurement Resource

Sources and References

1. Expert Market Research, Sulfuric Acid Market Report 2025 Edition
2. Expert Market Research, Sulfuric Acid Pricing Data FY25
3. Procurement Resource, Sulfuric Acid Price Trends and Forecast
4. Goldman Sachs Commodity Research
5. BASF SE, Semiconductor-Grade Sulfuric Acid Expansion Announcement (April 2025)
6. Ecovyst Inc., Cornerstone Chemical Sulfuric Acid Asset Acquisition (March 2025)
7. Arkema, Lacq/Mourenx Modernisation Completion (October 2025)
8. The Mosaic Company, Heat-Recovery Facility Upgrades (March 2025)
9. OCP Group, Morocco Capacity Expansion Investment (January 2025)
10. IFFCO, Paradip Sulfuric Acid Facility Commissioning
11. Food and Agriculture Organization (FAO), World Fertilizer Outlook 2028
12. International Copper Study Group (ICSG), Global Copper Demand Data 2024
13. U.S. Environmental Protection Agency (EPA), Clean Air Act SO₂ Standards
14. European Commission, Carbon Border Adjustment Mechanism (CBAM)
15. China Petroleum and Chemical Industry Federation, Industry Data 2025
16. Government of India, Department of Fertilizers, NBS Scheme Data
17. U.S. Energy Information Administration (EIA), Sulfur Price Data
18. Trading Economics, Commodity Data, February 2026

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