Sulphuric acid is a chemical we rarely see on front pages, yet it underpins everything we produce, from fertilisers and metals to paper and electronic chips. When its supply chain is disrupted, the consequences are felt far beyond chemical plants. In 2026, the European sulphuric acid market is facing exactly such a situation. The price has risen by more than forty percent since January, and the main culprits are not only demand or production capacity, but geopolitical conflicts and logistics chains that have become extremely vulnerable.
Geopolitics Is the First Driver
European sulphuric acid production relies heavily on sulphur obtained as a by-product in oil refineries and gas processing plants. A significant share of that sulphur comes from the Persian Gulf region. When tensions in the Middle East escalated and navigation through the Strait of Hormuz became uncertain, European producers faced a serious question of where to secure the raw material. Although a temporary ceasefire occurred, market participants remained sceptical. As one European trader described the situation, even if the strait reopens, vessels will pass slowly, like a trickle, leaving regional supply tight.
In parallel, China drastically reduced its sulphuric acid exports during the first half of 2026, by around sixty-five percent. China had been the so-called swing supplier for countries without their own smelters, so its absence created a gap that other countries could only partially fill. India, Peru, South Korea and Japan increased exports, but those volumes travelled on longer routes and at higher prices. European buyers were thus left competing for limited volumes on the global market.
Logistics Adds Cost to Every Tonne
Even when sulphuric acid can be sourced, transport to European plants presents a separate challenge. Highly concentrated sulphuric acid requires specialised stainless steel or high-resistance tanks. The number of such containers and tankers in Europe is limited. When additional demand arises, short-term shortages of transport capacity occur, further driving up the price.
Rail and road transport also have their limitations. The main European distribution hubs for chemicals are located in ports such as Rotterdam, Antwerp and Hamburg. Once goods are imported, time is needed for customs clearance, transhipment and dispatch to the end customer. For domestic high-purity goods, lead times are typically three to seven days, while for imported goods they can be twenty to thirty-five days. Every day of waiting means additional storage costs and tied-up capital.
A particular burden is also posed by the carbon border adjustment mechanism, known as CBAM, which became fully effective in 2026. It adds between fifteen and twenty-five euros per tonne of embedded carbon for importers. This further reduces the competitiveness of distant sources compared to European production or imports from nearby countries.
What This Means for European Buyers
For fertiliser producers, sulphuric acid is an indispensable input for phosphate fertiliser production. When the acid price rises, fertiliser prices rise too, spilling over to farmers and, ultimately, to food prices. For metal and electronic component producers, sulphuric acid is part of cleaning and etching processes, so they also feel the cost pressure.
In Serbia and the region, the situation is somewhat more favourable than in Western Europe, because a significant portion of sulphuric acid is produced in Bor as a by-product of copper processing. This gives domestic fertiliser producers a degree of supply security. However, this does not mean that prices are immune to global movements. When the world market rises, domestic producers also have room to adjust prices, and importers from the region remain exposed to risk.