PUBLISHER: AnalystView Market Insights | PRODUCT CODE: 1836275
PUBLISHER: AnalystView Market Insights | PRODUCT CODE: 1836275
The Selective Catalytic Reduction Market size was valued at US$ 13,987.12 Million in 2024, expanding at a CAGR of 5.6% from 2025 to 2032.
Selective Catalytic Reduction (SCR) is a key emissions control technology widely used to reduce nitrogen oxides (NOx) produced during combustion in diesel engines, marine engines, and industrial boilers. With global environmental regulations tightening, such as Euro VI, Bharat Stage VI (BS VI), U.S. EPA standards, and IMO Tier III marine norms, Selective Catalytic Reduction (SCR) has become essential in automotive, power generation, and industrial applications. While full electrification is growing, diesel and hybrid powertrains still dominate heavy-duty vehicles, ships, and industrial engines. A key trend is miniaturized SCR systems compatible with hybrid architectures, improving fuel efficiency and reducing system weight. Moreover, advanced zeolite catalysts and ammonia slip sensors are being adopted to optimize NOx conversion at lower exhaust temperatures, making SCR viable for new-generation engines. SCR systems involve complex components such as catalysts, dosing injectors, control units, and sensors which raise the initial cost of vehicles and industrial systems.
Selective Catalytic Reduction Market- Market Dynamics
Accelerating Pace of Industrialization and Power Generation
Rapid industrial growth leads to the establishment of numerous factories, manufacturing plants, and heavy industries, all of which significantly contribute to atmospheric NOx emissions. As industries expand, governments impose stringent environmental regulations aimed at reducing these harmful emissions to improve air quality and public health. For instance, in July 2025, the U.S. Environmental Protection Agency (EPA) moved to repeal its 2009 "endangerment finding", the legal foundation for regulating greenhouse gases under the Clean Air Act. If finalized, emissions standards for power plants, vehicles, and other industrial sources would be dismantled. To comply with these regulations, industrial facilities are increasingly adopting SCR systems, which are among the most effective technologies to reduce NOx levels by converting them into nitrogen and water vapor through catalytic reactions using reductants like ammonia or urea. The continued demand for electricity fueled by population growth, urbanization, and economic development has led to the expansion of power generation capacity in many regions. This growth necessitates the adoption of cleaner technologies to reduce the environmental impact of energy production. Thus, the accelerating pace of industrialization and power generation is significantly driving the demand for Selective Catalytic Reduction (SCR) systems worldwide.
Selective Catalytic Reduction Market- Key Insights
As per the analysis shared by our research analyst, the global market is estimated to grow annually at a CAGR of around 5.6% over the forecast period (2025-2032)
Based on Catalyst Type segmentation, Vanadium-based Catalyst was predicted to show maximum market share in the year 2024
Based on Fuel Type segmentation, Diesel Engines were the leading Fuel Type in 2024
Based on End-use Industry segmentation, Automotive was the leading Fuel Type in 2024
Based on region, the Asia Pacific was the leading revenue generator in 2024
The Global Selective Catalytic Reduction Market is segmented on the basis of Catalyst Type, Fuel Type, End-use Industry, and Region.
The market is divided into four categories based on Catalyst Type: Vanadium-based Catalyst, Zeolite-based Catalyst, Titanium-based Catalyst, and Others. In the Selective Catalytic Reduction (SCR) market, vanadium-based catalysts are widely used in industrial settings. Zeolite-based catalysts, particularly copper-exchanged forms, offer superior low-temperature NOx reduction and higher thermal stability. On the other hand, Titanium-based catalysts typically serve as supports rather than active catalysts, providing durability and structural stability.
The market is divided into three categories based on Fuel Type: Diesel Engines, Natural Gas Engines, and Dual Fuel / Alternative Fuel Engines. Diesel engines dominate due to widespread use in commercial vehicles and stringent emission regulations, while natural gas and alternative fuel engines are growing with increasing focus on cleaner energy sources and fuel efficiency across transportation and industrial sectors
Selective Catalytic Reduction Market- Geographical Insights
The Selective Catalytic Reduction (SCR) market is geographically diverse, with key regions driving distinct growth patterns. Asia Pacific leads the market, driven by rapid vehicle production, especially in China and India, and stringent emission standards that encourage SCR adoption. The region's expanding commercial vehicle sector significantly contributes to demand, supported by government regulations aimed at reducing NOx emissions. Japan also shows strong growth due to increasing adoption in passenger cars. North America holds a substantial market share due to strict EPA regulations, widespread use in power generation, and heavy-duty vehicle sectors, with significant investments in clean technologies. Europe maintains a solid presence, led by countries like Germany, where SCR systems are standard in diesel vehicles to comply with Euro 6 emission norms. The region's focus on environmental sustainability and automotive manufacturing supports steady growth. Emerging markets in Latin America and the Middle East & Africa are expected to see increased SCR adoption as environmental policies tighten.
The Selective Catalytic Reduction (SCR) market is highly competitive, driven by stringent emission regulations globally and technological innovation in catalyst and system design. Key players dominate distinct segments such as automotive, power generation, and marine emissions control, continuously advancing their product portfolios to meet evolving environmental standards and customer requirements. BASF SE is one of the leaders known for its advanced SCR catalysts, delivering efficiency improvements and environmental compliance solutions across industries. Their portfolio includes innovative vanadium- and zeolite-based catalysts aimed at enhancing low-temperature NOx reduction and durability. Cummins Inc. specializes in heavy-duty diesel engine systems, providing SCR solutions optimized for stringent emission norms in commercial vehicles. As a major engine manufacturer, Cummins integrates SCR technology with engine control systems, improving overall fuel efficiency and emissions reduction. Faurecia, part of the Forvia Group, is a global automotive technology leader with a significant share in SCR system integration. Their expertise focuses on clean mobility solutions, integrating SCR catalysts and components into comprehensive emission control systems for OEMs worldwide. For instance, in June 2022, Faurecia unveiled a new integrated SCR system designed for hybrid vehicles.
In May 2025, Johnson Matthey announced it to sell its Catalyst Technologies division to Honeywell for £1.8 billion, a move that allows the company to focus on its core areas, including pollution filters for vehicles and platinum group metal processing. Prior to the sale, Johnson Matthey introduced its SCARF technology, designed to enhance NOx and particulate matter reduction in diesel vehicles.
In March 2021, Tenneco Inc. partnered with Eaton to produce a new integrated exhaust thermal management system, enhancing the efficiency of Selective Catalytic Reduction systems.