Sulfuric acid is a crucial chemical widely used in agriculture, industry, mining, and textiles. It is primarily produced through sulfur burning and as a byproduct of nonferrous metal smelting. Global demand for sulfuric acid is projected to grow from around 290 million tons in 2023 to 330 million tons by 2029. The demand is driven largely by the fertilizer industry, which benefits from rising food production needs due to population growth, as well as increased use in metal smelting, particularly for copper, lithium, and rare earth metals.
Asia is the dominant market for sulfuric acid, accounting for about 50% of global demand. This trend is expected to continue as new sulfur-burning and copper smelting facilities are built in countries like China and Indonesia. These developments will further increase supply and amplify the need for reliable marine trade infrastructure, along with efficient logistics systems for small-lot distribution in the region. In Thailand, the economy is growing steadily, and the country imports about 600,000 tons of sulfuric acid annually for various sectors, including petrochemicals, bioplastics, and food additives. Demand for sulfuric acid in Thailand is expected to remain stable in the medium to long term.
NFC, which has been operating since 1982, specializes in logistics, including tank terminal operations for sulfuric acid, ammonia, and gasoline. The company's terminal is situated in Map Ta Phut Port in Rayong Province, providing excellent access to eastern Thailand, a region rich in petrochemical facilities and high sulfuric acid demand. NFC's established operational experience in managing these terminals ensures consistent reliability and stability in its services.
Sumitomo Corp. operates the Interacid Group, a major sulfuric acid trading company with a presence in 16 countries. Interacid handles approximately 30% of global marine sulfuric acid trade, offering flexible procurement and reliable supply services. Sumitomo has expanded its supply chain in recent years, with operations in Thailand and the acquisition of a tank terminal business in the United States. This growth has strengthened the company’s capacity in procurement, sales, storage, and logistics.
The joint venture with NFC is a strategic move for Sumitomo to bolster logistics infrastructure in Thailand, where the company has been active in sulfuric acid distribution. By acquiring a local terminal, Sumitomo aims to enhance its presence in Asia, which remains a key region of focus. With the support of Interacid's expertise, Sumitomo Corp. plans to further expand its sulfuric acid terminal business in Asia, deepening collaborations with regional suppliers to meet the growing demand for sulfuric acid.
