This report describes and evaluates the global industrial gas market. It covers two five-year periods, 2014 to 2018, termed the historic period, and 2018 through 2022, the forecast period.
Industrial Gas Market Characteristics
The industrial gases manufacturing market consists of the sales of industrial gases by entities (organizations, sole traders or partnerships) that produce industrial organic and inorganic gases in compressed, liquid, and solid forms.
The industrial gas market was the 11th largest segment in the global chemicals market in 2018, accounting for nearly 3% of the chemicals market. The industrial gas market size is expected to gain the most global annual sales in China.
Competitive Landscape of the Industrial Gas Market
Major players in the global industrial gas market include Air Liquide, The Linde Group, Praxair, Inc., Air Products and Chemicals Inc, Mitsubishi Chemical Holdings Corp, Sinopec.
Industrial Gas Market Size
The global industrial gas market is expected to reach higher than $85 billion by 2022, growing by less than 5% CAGR in the forecast period. The growth in the industrial gas industry is mainly due to the emerging markets growth, technology development and applications of industrial gas in healthcare industry.
However, the global industrial gas market is expected to face restraints due to several factors which include an increased number of regulations on industrial gas safety, frequent changes in the regulations and increasing interest rates.
Industrial Gas Market Segmentation
The global industrial gases market is segmented by type of gas and by geography.
By Type- The industrial gas market is segmented by type into hydrogen, oxygen, carbon dioxide, nitrogen, and others. The nitrogen market was the largest segment of the industrial gas market in 2018 at above 25% of the global total. The oxygen market is expected to be the fastest-growing segment going forward at a high CAGR of 6.60%.
The industrial gas market is also segmented by end-use industry into chemicals, metallurgy, manufacturing, food and beverages, healthcare, and others. Manufacturing was the largest segment of the industrial gas market by end-use industry in 2018.
By Geography- The industrial gas market is segmented into North America, South America, Western Europe, Eastern Europe, Asia Pacific, Middle East and Africa. Asia-Pacific is the largest market for industrial gases, accounting for almost 40% of the global market. It was followed by North America, Western Europe and then the other regions. Going forward, the Middle East and Africa will be the fastest growing regions in this market, where growth will be at CAGRs of 10.9% and 9.8% respectively. These will be followed by Eastern Europe and Asia-Pacific. The USA was the largest country in the global industrial gas market with more than 20% of the market.
Industrial Gas Market Trends
Several trends witnessed in the industrial gas market include industrial gases applications in food and beverage, adoption of advanced technology such as IoT by industrial gas manufacturers and consolidation in the industrial gas market.
Industrial gas market trend-based strategies include increasing the production capacities for food grade industrial gases, adopting IoT technologies to increase operational efficiencies and reduce production costs, and acquiring smaller companies to gain market share.
Potential Opportunities In The Industrial Gas Market
With increasing economic growth, and the implementation of advanced technology and applications of industrial gasses in various industries such as food and beverage and healthcare, the overall potential and scope for the global industrial gas market is expected to increase significantly in the forecast period.
To take advantage of the opportunities, industrial gas manufacturing companies are considering strategies such as adopting new on-site gas generation technologies, increasing emphasis on safe packaging, adopting value-based pricing, expanding into new markets through acquisitions, increasing reach through social media, and adopting eco-friendly methods of production.