Global Industrial Gases Market Overview
Industrial Gases Market Size was valued at USD 942.02 million in 2022. The Industrial Gases Market industry is projected to grow from USD 993.24 million in 2023 to USD 4,986.62 million by 2050, exhibiting a compound annual growth rate (CAGR) of 6.13% during the forecast period (2022 - 2050). The primary force behind the growth of the industrial gases market worldwide is the increasing demand from the oil & gas industry. Gases that are produced in rather large numbers for usage in a range of industrial production processes and medicinal end users are referred to as "industrial gases." Both liquid and gas versions are produced and delivered. They are delivered to clients in cylinders, as bulk liquids, or as gaseous streams through pipelines. Nitrogen, oxygen, and carbon dioxide are the main gases.
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Industrial Gases Market Trends
- Increasing demand from the oil & gas industry to fuel the industrial gases market.
Demand for industrial gases has risen due to rising crude oil prices and a greater requirement for refining, particularly in the oil and gas sector. They can also be used for coiled tubing, pipe cooling and insertion, drilling, leak testing, maintenance, spool bases in pipe construction, and other things. These elements are encouraging the market for industrial gases to increase.
Nitrogen, oxygen, and carbon dioxide are the three main gases used in this sector, and they are employed in a number of processes including purging, enhanced oil recovery (EOR), pipeline transportation, and fire suppression. This demand is rising principally because of increased oil and gas industry exploration and production activities. The need for industrial gases in the oil and gas industry is also being driven by the rising desire for cleaner energy sources like natural gas.
Industrial gases, particularly carbon dioxide, are used in EOR techniques to extract additional oil from reservoirs. Injecting carbon dioxide into oil wells helps to reduce the viscosity of crude oil, facilitating its flow and increasing the overall recovery rate.
Industrial gases like nitrogen are used for blanketing and purging operations in oil and gas storage tanks and pipelines. Nitrogen is an inert gas that helps prevent the formation of flammable mixtures by displacing oxygen and moisture, reducing the risk of explosions or corrosion. In oil production, gas lift systems use compressed gases, usually natural gas or nitrogen, to lift oil from the wellbore to the surface. Injecting gas into the wellbore reduces the hydrostatic pressure, allowing the oil to flow more easily.
Industrial Gases Market Segment Insights
Industrial Gases by Type Insights
The Industrial Gases Market segmentation, based on type has been segmented as hydrogen, oxygen, nitrogen, carbon-dioxide, and others. Among these, oxygen is projected to dominate the Industrial Gases Market revenue through the projected period. In addition to being used to gasify coal, oxygen is also employed to treat hazardous wastes and polluted water. In order to lessen pollution, the gas can also take the place of chlorine in the pulp and paper sector. There are other uses for oxygen in the medical field as well. As a result, the demand for industrial oxygen is anticipated to increase in the upcoming years due to the widespread use of oxygen in numerous sectors.
The considerable revenue share in 2021 belonged to nitrogen gas, and from 2022 to 2050, it is expected to grow at the significant rate. Due to the expanding medical and pharmaceutical industries, nitrogen gas is widely used in the healthcare industry. This is anticipated to fuel the segment's growth during the forecast years. Due to its inert qualities and capacity to replace oxygen, nitrogen is employed in a variety of processes, including food packaging, tire inflation, electronics manufacturing, and welding.
Due to an increase in the use of carbon dioxide for gas-based enhanced oil recovery in the countries, carbon dioxide is predicted to see considerable growth throughout the projected period. Additionally, there will be a considerable increase in the use of enhanced oil recovery to boost the effectiveness of oil production from oil wells due to fluctuations in crude oil prices and a growth in the number of mature wells around the world.
February 2019 BASF and Linde announced collaboration agreement for natural gas processing technology.
Industrial Gases Market by End User Insights
The Industrial Gases Market segmentation, based on end user, the market is segmented as industry, transportation, agriculture, energy, and others. Out of which the industry segment dominated the base year market and is also projected to be holding a dominating share in the forecasted period as well. Due to the expanding manufacturing sectors in Serbia, Romania, Greece and Hungary, the need for industrial gases like nitrogen, oxygen, carbon dioxide, and hydrogen is expected to increase significantly in developing nations. The electronic industry's expanding need for innovative industrial gases is anticipated to further fuel the segment's expansion.
Over the projection period, the healthcare application category is anticipated to grow at the fastest rate. Further boosting the demand for medical-grade industrial gases, particularly oxygen, is the ongoing COVID-19 pandemic. A rise in global healthcare spending is giving this sector a significant opportunity for expansion.
Industrial gases are utilized in the food and beverage sector for a variety of purposes. Industrial gases are used in the food business for a variety of purposes, such as modified atmospheric packing (MAP), chilling and freezing, and regulating the temperature of goods during transit and storage. It is mostly used to preserve food goods' quality and lengthen their shelf lives. Additionally, it serves as an indicator for determining food quality while being processed and stored. In order to create carbonated beverages, carbon dioxide is employed in the beverage business. Depending on the level of carbonation, a crucial component of carbonated beverages is food-grade liquid carbon dioxide, which helps prevent mould growth and inhibits the growth of germs.
November 2022 Linde Plc started green hydrogen production in Greece. Green hydrogen is made from water by electrolysis using renewable wind and solar power.
Industrial Gases Market Country Insights
By Country, the study segments the Industrial Gases market into Serbia, Hungary, Romania, and Greece. The sizable industrial gases industry in Romania is likely to make the region the largest expanding global market for industrial gases. Due to the expanding industrial sector and greater investment in infrastructure, Romania has seen a rise in the demand for industrial gases in recent years. Future market growth is anticipated to be fueled by factors such as rising consumer demand for environmentally friendly and energy-efficient technologies, as well as rising industrial gas consumption in new sectors like the automotive, pharmaceutical, and chemical industries.
The economy of Romania is significantly influenced by the petrochemical sector. The manufacture of chemicals, polymers, and petroleum products is its main focus. Petrom, Romgaz, and Rompetrol are some of the major petrochemical businesses present in Romania. Natural gas reserves in the nation, which are plentiful and offer a cheap and dependable source of raw materials for petrochemical manufacture, support the industry. By providing tax breaks and other perks, the government has additionally promoted investment in industry. Growing petrochemical industry in the country is likely to support the demand for industrial gas in the country.
October 2022 Taiyo Nippon Sanso Corporation and Shinsei Co., Ltd merged and the company name was changed to Taiyo Nippon Sanso Medical Site Co., Ltd.
Industrial Gases Market Key Players & Competitive Insights
Major market players are spending a lot of money on R&D to increase their product lines, which will help the Industrial Gases Market grow even more. Market participants are also taking a range of strategic initiatives to grow their worldwide footprint, including new product launches, contractual agreements, mergers and acquisitions, increased investments, and collaboration with other organizations. Competitors in the industrial gases market industry must offer cost-effective products to expand and survive in an increasingly competitive and rising market environment.
One of the primary business strategies adopted by manufacturers in the global industrial gases Market to benefit clients and expand the industrial gases market sector is partnerships and acquisitions. The industrial gases market is recognized as being extremely competitive and fragmented. The market for industrial gases offers considerable potential opportunities for domestic and unorganized companies. Some of the key players operating in the Industrial Gases Market are Linde PLC (Ireland), Air Liquide (France), BASF SE (Germany), Air Products and Chemicals Inc. (US), Messer Group GmbH (Germany), Iwatani Corporation (Japan), SOL Group (Italy), Matheson Tri-gas Inc. (US), Taiyo Nippon Sanso Corporation (Japan), and Elliniki Gases S.A. (Greece). To increase their global reach and client base, key firms are concentrating on acquisitions and product innovation.
Funder America, Inc Linde Plc (Linde) is an engineering and industrial gas company. Its products include industrial, process, and specialty gases. Atmospheric gases such as oxygen, nitrogen, and argon are produced by the company, as are process gases such as carbon dioxide, helium, hydrogen, electronic gases, and acetylene. Linde also designs, engineers, and builds equipment for producing gases for internal use, and it provides a variety of gas production and processing services. Healthcare, petroleum refining, manufacturing, food, beverage carbonation, fibre optics, steel making, aerospace, chemicals and energy, electronics, and water treatment are just a few of the industries it serves. Across APAC, EMEA, and the Americas, it operates cryogenic air separation plants, hydrogen plants, and carbon dioxide plants.
Wilsonart LLC Air Liquide is a gas, technology, and service provider for the industrial and health care sectors. The company manufactures oxygen, nitrogen, and hydrogen, as well as argon and other rare gases. These gases are supplied to customers in a variety of industries, including steel, food and pharmaceuticals, chemicals, electronics, automotive, and manufacturing. In addition, the company designs and builds processing facilities and related infrastructure. Skin disinfectants, antiseptics, and medical instrument disinfectants are all available from Air Liquide. The company's products are delivered via on-site facilities, tanker trucks, and cylinders. It operates in Asia, the Americas, Europe, Africa, and the Middle East.
Key Companies in the Industrial Gases Market includes
- Linde PLC (Ireland)
- Air Liquide (France)
- BASF SE (Germany)
- Air Products and Chemicals Inc. (US)
- Messer Group GmbH (Germany)
- Iwatani Corporation (Japan)
- SOL Group (Italy)
- Matheson Tri-gas Inc. (US)
- Taiyo Nippon Sanso Corporation (Japan)
- Elliniki Gases S.A. (Greece)
Industrial Gases Industry Developments
January 2023 Linde announced that it had acquired the remaining interests of nexAir, LLC. Linde's wholly owned subsidiary Linde Gas & Equipment Inc. (LG&E) has held a minority interest in nexAir since 2012. LG&E has now purchased the remaining 77.2%.
January 2023 Air Liquide signed a record 52 new contracts for the on-site production of gases for its Industrial Merchant business line in 2022.
June 2021 Air Products and Chemicals Inc. announced the signing of a long-term supply agreement with Indian Oil Corporation Limited (IOCL), India’s flagship national oil company. Air Products will build, own and operate (BOO) a new industrial gases complex supplying hydrogen, nitrogen and steam to IOCL’s Barauni Refinery in Bihar, India.
Industrial Gases Market Segmentation
Industrial Gases Type Outlook
Industrial Gases End User Outlook
Industrial Gases Country Outlook
Market Size 2022
USD 942.02 million
Market Size 2023
USD 993.24 million
Market Size 2050
USD 4,986.62 million
Compound Annual Growth Rate (CAGR)
6.13 % (2023-2050)
2018 to 2021
Value (USD Million)
Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
Type, End User and Country
Serbia, Hungary, Romania, and Greece
Key Companies Profiled
Linde PLC (Ireland), Air Liquide (France), BASF SE (Germany), Air Products and Chemicals Inc. (US), Messer Group GmbH (Germany), Iwatani Corporation (Japan), SOL Group (Italy), Matheson Tri-gas Inc. (US), Taiyo Nippon Sanso Corporation (Japan), and Elliniki Gases S.A. (Greece)
Key Market Opportunities
Digitalization in industrial gases sector.
Key Market Drivers
Increasing demand from oil & gas industry.
Frequently Asked Questions (FAQ) :
Industrial Gases Market was US$ 942.02 Mn in 2022
Growth rate of the Industrial Gases Market was 6.13% from 2023 - 2050
Romania held the largest market share in the Industrial Gases Market
Key players in industrial gases market included Linde PLC (Ireland), Air Liquide (France), BASF SE (Germany), Air Products and Chemicals Inc. (US), Messer Group GmbH (Germany), Iwatani Corporation (Japan), SOL Group (Italy), Matheson Tri-gas Inc. (US), Taiyo Nippon Sanso Corporation (Japan), and Elliniki Gases S.A. (Greece)
Oxygen led the Industrial Gases Market
Industry had the largest market share in the Industrial Gases Market
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