Hydrofluoroolefins

Researchers at the University of Bristol have pinpointed eastern Asia as the source of a large proportion of emissions of an ozone-depleting precursor used in the production of refrigerants.

The study finds that the market has slowly recovered from past years of lackluster performance. In 2016, the China market for blowing agent is valued at RMB 6.3 Bn and around 400,000 tons of blowing agents are sold. The domestic market is expected to maintain stable growth rates through to 2021. Because of the Montreal Protocol, China will be reducing its HCFC production and consumption to 35% of baseline level in 2020. This will mean that many downstream users in the building materials market especially those making PU and XPS foams will have to switch to other blowing agents by then. This change is by no means a small one, as HCFC is still the second largest segment in 2016. With the phase out of HCFC, there will be more users switching to hydrocarbon (HC), HFC and HFO blowing agents. Through a comprehensive study of the market, this report will identify the possible opportunities available for existing and potential players looking to capitalize on this development.

Efforts by the Asian giant to reduce HCFC and HFC consumption will move the global HVAC&R market, according to the European Commission.

In October, almost 200 nations agreed to an amendment of the Montreal Protocol that will see the emissions of hydrofluorocarbons (HFCs), a type of greenhouse gas used in fridges, air conditioning units and aerosols, phased out. This one action is expected to reduce global temperature rise by the end of the century by 0.5°C, a third of the 1.5°C cap agreed under the Paris Agreement.