Sumitomo Corp., a Tokyo-based trading and investment company, has entered a joint venture with NFC Public Company Ltd., a Bangkok-based tank terminal operator, to launch a sulfuric acid terminal business in Thailand. The partnership marks a strategic move by Sumitomo to enhance logistics reliability and operational safety in Southeast Asia while expanding its regional presence.

The joint venture centers on a strategically located terminal at Map Ta Phut Port in Rayong Province, eastern Thailand. This area is home to numerous petrochemical facilities and demonstrates strong demand for sulfuric acid. The port location offers convenient access and benefits from NFC’s proven operational experience in managing chemical tank terminals.

Sulfuric acid is one of the most widely used industrial chemicals, vital for agriculture, mining, textiles, and other industries. It is mainly produced through sulfur combustion and as a byproduct of nonferrous metal smelting. Global demand for sulfuric acid stood at about 290 million metric tons in 2023 and is expected to grow to roughly 330 million metric tons by 2029. This increase is driven primarily by fertilizer production and the rising global need for copper, lithium, and rare earth metals.

Asia leads the global sulfuric acid market, accounting for nearly 50% of demand. Regional supply is expected to grow with new sulfur-burning and copper-smelting facilities coming online in countries such as China and Indonesia. This growth will place additional pressure on marine trade networks and regional logistics systems, particularly for small-lot distribution.

Thailand currently imports about 600,000 metric tons of sulfuric acid annually. The chemical is used in a range of sectors including petrochemicals, bioplastics, and food additives. Demand in the country is projected to remain stable over the medium to long term.

NFC, originally founded in 1982 as a fertilizer producer through a public-private partnership, has since transitioned into logistics. The company now specializes in warehousing, tank terminal operations for chemicals such as sulfuric acid, ammonia and gasoline, and ammonia distribution.

Sumitomo oversees the Interacid Group, a major global trader of sulfuric acid with operations in 16 countries. Interacid handles approximately 30% of the world’s marine sulfuric acid trade and owns a number of storage terminals, providing flexibility in supply chain services.

The new joint venture strengthens Sumitomo’s logistics infrastructure in Thailand and supports its broader strategy of expanding sulfuric acid terminal operations across Asia. Backed by Interacid’s expertise, the company aims to enhance regional services and deepen relationships with suppliers across the continent.