Saudi Arabia Catalyst Market, By Type (Heterogeneous Catalysts, and Homogeneous Catalysts), By Material (Zeolites, Chemical Compounds, Metals, and Additives), By Region, Competition, Forecast and Opportunities, 2020-2030F

Market Overview

Saudi Arabia Catalyst Market was valued at USD 1.02 Billion in 2024 and is expected to reach USD 1.39 Billion by 2030 with a CAGR of 5.31%.

The Saudi Arabia Catalysts Market plays a critical role in the Kingdom’s industrial landscape, supporting key sectors such as petroleum refining, petrochemical production, environmental protection, and chemical synthesis. Catalysts, including heterogeneous and homogeneous types, facilitate essential chemical reactions, enhancing efficiency and product quality in processes like cracking, hydroprocessing, and polymerization. The market is propelled by Saudi Arabia’s Vision 2030, which emphasizes economic diversification and industrial growth, fostering demand for catalysts in downstream industries. The Kingdom’s position as a global leader in oil and gas, backed by Saudi Aramco’s extensive refining infrastructure, drives significant catalyst consumption for producing high-value fuels and petrochemicals compliant with international standards, such as Euro V and IMO low-sulfur regulations.

Government initiatives, including the In-Kingdom Total Value Add (IKTVA) program, encourage local catalyst production, reducing reliance on imports and bolstering supply chain resilience. The Saudi Environmental Protection Authority (SEPA) enforces stringent regulations, increasing the use of catalysts in emission control and wastewater treatment to align with the Saudi Green Initiative’s net-zero emissions target by 2060. The petrochemical sector, led by companies like SABIC, relies on catalysts for producing plastics, fertilizers, and specialty chemicals, supporting both domestic needs and exports to Asia-Pacific and Europe. The National Industrial Development and Logistics Program (NIDLP) further promotes investments in refining and chemical manufacturing, creating opportunities for catalyst applications.

Emerging applications, such as carbon capture and storage (CCS) and hydrogen production, are gaining traction, driven by sustainability goals. However, challenges like raw material price volatility and the need for skilled expertise persist. The market benefits from technological advancements, including nanotechnology and regenerative catalysts, enhancing performance and sustainability. Strategic partnerships with global firms and local R&D efforts, supported by institutions like King Abdulaziz City for Science and Technology (KACST), position Saudi Arabia as a hub for catalyst innovation. The market’s growth trajectory through 2030F reflects its alignment with industrial and environmental priorities, making it a compelling opportunity for investors.

Key Market Drivers

Expansion of Petroleum Refining and Petrochemical Industries

The expansion of Saudi Arabia’s petroleum refining and petrochemical industries is a primary driver for the catalysts market, underpinned by the Kingdom’s strategic focus on downstream growth. Vision 2030’s Downstream Development Strategy aims to enhance refining capacity, with projects like the Jazan Refinery Complex utilizing catalysts for processes such as hydrocracking and desulfurization to meet global fuel standards. According to the Ministry of Energy, Saudi Arabia’s refining capacity reached 3.3 million barrels per day in 2023, necessitating catalysts for efficient crude processing. The IKTVA program incentivizes local production, with companies like Axens establishing catalyst manufacturing facilities. Supporting data from the General Authority for Statistics (GASTAT) indicates that petrochemical exports grew significantly in 2023, driven by catalysts enabling high-yield production of ethylene and propylene. SEPA’s environmental mandates require catalysts for sulfur removal, aligning with the Circular Carbon Economy framework. This driver is strengthened by global demand for high-purity petrochemicals, positioning Saudi Arabia as a key supplier.

Increasing Focus on Environmental Sustainability

The growing emphasis on environmental sustainability drives the catalysts market, as Saudi Arabia aligns with global climate goals. The Saudi Green Initiative targets net-zero emissions by 2060, promoting catalysts in CCS and emission control systems. For instance, catalysts are critical in tail gas treatment units to reduce sulfur emissions in refineries, as mandated by SEPA. The Ministry of Environment reported that air quality improvement initiatives in 2023 increased catalyst adoption in industrial flue gas treatment. The National Water Strategy 2030 emphasizes wastewater treatment, with catalysts used in oxidation processes to remove contaminants. Supporting facts include investments of over SAR 50 billion in green projects, as per the Public Investment Fund, driving demand for catalysts in hydrogen production and biofuel refining. This driver reflects the Kingdom’s commitment to sustainable industrial practices, enhancing market growth.

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Key Market Challenges

Volatility in Raw Material Costs

Volatility in raw material costs poses a significant challenge to the Saudi Arabia Catalysts Market, impacting production economics. Key materials like zeolites, precious metals, and chemical compounds are subject to global price fluctuations, influenced by geopolitical tensions and supply chain disruptions. Reports from the Saudi Industrial Development Fund highlight how import dependency for specialized catalyst components increases costs, particularly with Red Sea shipping delays. Local manufacturers face margin pressures, potentially affecting competitiveness. Diversifying supply sources and investing in local raw material processing are critical to mitigate this challenge, but require substantial capital.

Need for Skilled Technical Expertise

The need for skilled technical expertise is a challenge, as advanced catalyst applications require specialized knowledge. The Human Capability Development Program notes a shortage of professionals trained in catalyst design and process optimization, particularly for emerging applications like CCS. Compliance with SEPA’s stringent standards demands continuous R&D, straining smaller firms’ resources. The complexity of integrating new catalyst technologies into existing infrastructure further complicates adoption. Addressing this requires investment in training and partnerships with global firms, which may delay market expansion.

Key Market Trends

Adoption of Regenerative and Sustainable Catalysts

The adoption of regenerative and sustainable catalysts is a key trend, driven by environmental and cost-efficiency goals. These catalysts, designed for multiple regeneration cycles, reduce waste and operational costs in refining and petrochemical processes. The Saudi Green Initiative supports this trend, with companies like SABIC exploring bio-based catalysts derived from renewable feedstocks. Collaborations with KACST focus on sustainable catalyst formulations, enhancing compliance with SEPA regulations. This trend strengthens the Kingdom’s position in global markets by offering eco-friendly solutions.

Integration of Nanotechnology in Catalyst Design

Nanotechnology integration is transforming the catalysts market, offering enhanced activity and selectivity. Nano-engineered catalysts, such as those with optimized pore structures, improve efficiency in hydroprocessing and polymerization. Research from KACST supports nanomaterial development for CCS and hydrogen production, aligning with Vision 2030’s innovation goals. This trend enables higher yields and reduced energy consumption, as seen in Saudi Aramco’s refining upgrades. It also enhances competitiveness in export markets by meeting stringent quality standards.

Segmental Insights

Type Insights

Based on type, the heterogeneous catalysts segment dominated the Saudi Arabia catalyst market in 2024 and is expected to maintain its leadership throughout the forecast period. This dominance is driven by their extensive use in key industries such as petrochemicals, oil refining, and chemical manufacturing, which are central to Saudi Arabia’s economy. Heterogeneous catalysts are preferred for their durability, ease of separation from reaction mixtures, and ability to function under harsh industrial conditions. The ongoing expansion of refining and petrochemical facilities under Vision 2030, along with increased focus on efficiency and sustainability, continues to fuel demand for advanced catalytic technologies. These factors solidify the position of heterogeneous catalysts as the leading segment in Saudi Arabia’s catalyst market.

Material Insights

Based on material, the additives segment has emerged as the fastest-growing segment in the Saudi Arabia catalyst market in 2024 and is expected to maintain its strong growth momentum throughout the forecast period. This growth is primarily driven by the increasing demand for performance-enhancing materials in refining and petrochemical processes. Additives play a critical role in improving catalyst efficiency, selectivity, and lifespan, which is essential for optimizing operations and reducing costs in large-scale industrial facilities. Saudi Arabia's strategic investments in upgrading refinery capabilities and expanding petrochemical output, aligned with Vision 2030, further contribute to the rising use of catalyst additives. Growing environmental regulations and the need for cleaner production processes are pushing industries to adopt advanced additive technologies, supporting sustained market growth.

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Regional Insights

Based on region, the Northern & Central region emerged as the largest market in the Saudi Arabia catalyst industry, driven by the presence of major industrial hubs, including Riyadh, and ongoing investments in refining, petrochemical, and chemical manufacturing sectors. This region benefits from well-established infrastructure, government-backed industrial zones, and proximity to key energy projects, all of which contribute to a high demand for catalysts in various processes such as hydrocracking, reforming, and emissions control. Additionally, the Northern & Central region is a focal point for many Vision 2030 initiatives aimed at diversifying the economy and enhancing local production, further accelerating the need for efficient catalytic technologies. These factors collectively position the region as the leading market for catalysts in Saudi Arabia.

Recent Development

• In 2025, Axens has expanded its Axens Catalyst Arabia Limited (ACAL) facility in Saudi Arabia, becoming the first in the Middle East to produce Tail Gas Treatment (TGT) catalysts. This expansion supports the production of hydrogenation catalysts, enhancing local sulfur recovery capabilities for the oil and gas industry. The upgraded site now offers advanced, low-temperature TGT catalysts that can achieve high sulfur recovery rates (up to 99.9%) and minimize SOx emissions.
• In January 2022, Honeywell has announced the opening of a new production facility for oil and gas projects in Saudi Arabia. To provide a cutting-edge infrastructure for the manufacturing and assembly of natural gas and liquid fuel solutions, the facility has been established as a part of a Joint Venture (JV) agreement with Gas Arabian Services. This initiative expands on the commitments made in the memorandum of understanding (MOU) between Honeywell and Saudi Aramco, which was signed in May 2017. As part of that agreement, Honeywell agreed to make commercial efforts to support Saudi Aramco in attaining the objectives of the In-Kingdom Total Value Add (IKTVA) Program. In-Kingdom Total Value Add (IKTVA) wants to promote Saudi Vision 2030 by achieving 70% localization of production and employment. Also, Honeywell invested in Dhahran, Saudi Arabia on new catalytic processes for producing paraxylene.
• In January 2019, A Joint Development and Cooperation Agreement (JDCA) was signed by Saudi Aramco Technologies, Axens, and TechnipFMC to hasten the development and commercialization of the Catalytic Crude to Chemicals (CC2C) technology. By converting more than 60% of a barrel of crude oil into chemicals, CC2C technology has the potential to greatly improve the yield and efficiency of the manufacturing of chemicals. Members of the FCC catalyst technology Alliance include Saudi Aramco, Axens, and TechnipFMC. Axens and TechnipFMC are two of the top suppliers of technology and infrastructure for the energy sector and the sole licensors of the FCC catalyst technology. The IEA estimates that to meet the demand, an additional 4 Mbpd of crude oil must be transformed into petrochemicals by 2035. The development of CC2C technology offers a rare chance to purchase cutting-edge equipment that will be highly valued by the market to produce petrochemicals from crude oil.

Key Market Players

• BASF Saudi Arabia Co. Ltd.
• Honeywell UOP
• Axens Catalyst Arabia Ltd (ACAL)
• Sinopec Catalyst Co. Ltd.
• Shell plc (Shell Catalysts & Technologies)
• SABIC Industrial Catalyst Company
• Arkema Chemicals Saudi Arabia
• Haldor Topsoe Middle East
• Clariant Ali Al Abdullah Al Tamimi Company Ltd
• AFI Group

Report Scope:

In this report, Saudi Arabia Catalyst Market has been segmented into following categories, in addition to the industry trends which have also been detailed below:

•  Saudi Arabia Catalyst Market, By Type:
• Homogeneous Catalysts

o    Heterogeneous Catalyst

•          Saudi Arabia Catalyst Market, By Material:
• Zeolites
• Metals
• Additives
• Chemical Compounds
•         Saudi Arabia Catalyst Market, By Region:
• Eastern
• Northern & Central
• Western
• Southern

Competitive Landscape

Company Profiles: Detailed analysis of the major companies present in Saudi Arabia Catalyst Market.

Available Customizations:

With the given market data, TechSci Research offers customizations according to a company’s specific needs. The following customization options are available for the report:

Company Information

• Detailed analysis and profiling of additional market players (up to five).

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