Cryogenic Equipment Market Forecasts to 2028 – Global Analysis By Cryogen (Nitrogen, Hydrogen), Equipment (Vaporizers, Tanks, Valves), Application, End User, and By Geography

Cryogenic Equipment Market Forecasts to 2028 – Global Analysis By Cryogen (Nitrogen, Hydrogen), Equipment (Vaporizers, Tanks, Valves), Application, End User, and By Geography

According to Stratistics MRC, the Global Cryogenic Equipment Market is accounted for $11.69 billion in 2021 and is expected to reach $21.11 billion by 2028 growing at a CAGR of 8.8% during the forecast period. Cryogenic equipment is deployed in very low-temperature materials or processes. A cryogenic tank is usually used to store cryogenic gases such as liquid oxygen, carbon dioxide, argon, nitrogen, and methane. Cryogenic equipment is mostly used in the oil & gas industry for transportation and storage of Liquefied Natural Gas (LNG) and industrial gases in industrial operations.

Market Dynamics:

Driver:

Increasing demand from the entire LNG value chain

Reduced gas demand because of the pandemic has added to excess supply, creating market volatility. LNG is set for stronger growth, as domestic supply in key gas markets will not keep up with demand growth. Also, according to Gas Exporting Countries Forum’s survey, the LNG bunker fuel share is likely to increase in the overall bunker fuel market. These developments across the value chain of the LNG market demand the use of cryogenic systems for storage, handling, and transport of LNG, thus driving the demand for cryogenic equipment.

Restraint:

Volatility in prices

Cryogenic equipment includes a pressure containment tube and an intermediate static support tube made from stainless steel. The efficiency of this equipment can be achieved by modifying and replacing the stainless-steel drive shaft, and the concentric static stainless-steel components with components made of a glass/epoxy composite. Stringent regulations for the emission of toxic greenhouse gases (GHGs) from the steel industry and the frequent rise and drop of crude oil supply due to demand are the major factors attributed to the volatility in steel production and prices.

Opportunity:

Rising focus on manufacturing & processing industries

The increasing investments in mining and metal, food & beverage, metallurgy, and electronics industry in the developing economies will drive the product demand. Moreover, governments are focusing on improvising industrial policies and regulations to bring a conducive environment for discovering new industries and advance sustainability amongst competitors. Strategic investment policy priorities, entry and establishment of foreign investors, and promotion and facilitation of investment policies are some of the supportive regulations which help to increase the application of industrial gases, resulting in providing ample opportunities for the market.

Threat:

Hazards and greenhouse emissions due to cryogen leakage from equipment

The rising number of modular cryogenic processing plants increases the threat of greenhouse emissions and cryogen leakages. Even after proper and periodic checks, the equipment may fail to prevent the leakage or discharge of cryogen into the atmosphere. These cryogens are not environment friendly, and if released in a closed area, they can lead to oxygen deficiency in the region. Prolonged exposure to cryogen can cause frostbite and damage to the lungs. The manufacturers need to use better leak detection equipment for sensing any leakage or emission during operations, so that appropriate actions could be taken on time.

The nitrogen segment is expected to be the largest during the forecast period

The nitrogen segment is estimated to have a lucrative growth owing to a wide variety of applications in oil & gas, metallurgy, and chemical industries and it is also used in the packing of medicines and freezing the blood in the healthcare industry, purge equipment, cryogenic tanks, and pipelines in pharmaceuticals, and food & beverage industries.

The tanks segment is expected to have the highest CAGR during the forecast period

The tanks segment is anticipated to witness the fastest CAGR growth during the forecast period due to the increasing LNG production and high demand for industrial gases. Tanks used for cryogenic purposes are generally called cryotank or cryogenic tanks. These tanks are mostly used for storage and transportation purposes. Many countries started reducing the usage of coal and increases using natural gas for energy and power generation. Gas is more comfortable to be transported in liquefied natural gas (LNG) form that includes various segments of cryogenic equipment such as tanks.

Region with highest share:

Europe is projected to hold the largest market share during the forecast period owing to substantial application across the food & beverage, healthcare and electronics industries to store materials at minimal temperature requirements. LNG fuel is favored by the European government, as it addresses environmental concerns. An enormous amount of LNG is transported to major European countries, driving the demand for tanks that store these gases.

Region with highest CAGR:

Asia Pacific is projected to have the highest CAGR over the forecast period due to the rapidly changing consumer behavior, supportive policies to achieve sustainable development, investment in industrial infrastructure, the significant increase in power demand, and the growing awareness of renewable power generation propelling the need for gas-based power plants. Development in Asian countries has led to increased investment in LNG transportation as an energy and fuel source, thereby driving the demand.

Key players in the market

Some of the key players profiled in the Cryogenic Equipment Market include Wessington Cryogenics, Taylor-Wharton, Sulzer Ltd, Air Liquide, Shell-n-Tube, PHPK Technologies, Air Products Inc, Nikkiso Co., Linde plc, INOX India Pvt Ltd, Flowserve Corporation, Chart Industries, Emerson Electric Co., Cryofab, Beijing Tianhai Cryogenic Equipment Co., Ltd., Fives SAS, PARKER HANNIFIN CORP, Acme Cryo and SHI Cryogenics Group.
Key Developments:

In Feb 2022, Linde has signed a long-term agreement with BASF for the supply of hydrogen and steam. Linde will design, build, own and operate a new hydrogen production facility at Chalampé, France, effectively doubling Linde's current capacity in the Chalampé chemical park where it already has one production facility.

In Feb 2022, Air Liquide partnered with Airbus, Korean Air and Incheon to develop the first hydrogen usage roadmap at and around Incheon airport and support the development of hydrogen ecosystem. This partnership reflects a shared ambition to drive the emergence of an innovative aviation sector dedicated to supporting the Korean government's goal of carbon neutrality by 2050.

In Dec 2021, Chart Industries collaborated with Howden for advanced hydrogen solutions, incorporating Howden gas compression systems into Chart hydrogen offerings. This relationship will result in more cost-effective standardised solutions within an integrated and optimised service offering.

Cryogens Covered:
• Oxygen
• Nitrogen
• Liquefied Natural Gas (LNG)
• Hydrogen
• Helium
• Argon

System Types Covered:
• Supply Systems
• Storage System
• Handling System

Equipments Covered:
• Vaporizers
• Bayonet Connection
• Tanks
• Vacuum Jacketed Piping (VJP)
• Pumps
• Valves
• Actuator
• Other Equipments

Applications Covered:
• Distribution
• Storage
• Regasification
• Processing
• Liquefaction

End Users Covered:
• Transportation
• Shipping
• Rubber & Plastics
• Oil & Gas
• Metallurgy
• Food and Beverages
• Energy & Power
• Electronics
• Chemical & Petrochemical
• Marine and Aerospace
• Biomedical and Healthcare
• Agriculture, Forestry & Fishing

Regions Covered:
• North America
US
Canada
Mexico
• Europe
Germany
UK
Italy
France
Spain
Rest of Europe
• Asia Pacific
Japan
China
India
Australia
New Zealand
South Korea
Rest of Asia Pacific
• South America
Argentina
Brazil
Chile
Rest of South America
• Middle East & Africa
Saudi Arabia
UAE
Qatar
South Africa
Rest of Middle East & Africa

What our report offers:
- Market share assessments for the regional and country-level segments
- Strategic recommendations for the new entrants
- Covers Market data for the years 2020, 2021, 2022, 2025, and 2028
- Market Trends (Drivers, Constraints, Opportunities, Threats, Challenges, Investment Opportunities, and recommendations)
- Strategic recommendations in key business segments based on the market estimations
- Competitive landscaping mapping the key common trends
- Company profiling with detailed strategies, financials, and recent developments
- Supply chain trends mapping the latest technological advancements

Free Customization Offerings:
All the customers of this report will be entitled to receive one of the following free customization options:
• Company Profiling
Comprehensive profiling of additional market players (up to 3)
SWOT Analysis of key players (up to 3)
• Regional Segmentation
Market estimations, Forecasts and CAGR of any prominent country as per the client's interest (Note: Depends on feasibility check)
• Competitive Benchmarking
Benchmarking of key players based on product portfolio, geographical presence, and strategic alliances