Liquid Nitrogen Market Analysis

Liquid Nitrogen Market Analysis

On-site production accounted for the largest liquid nitrogen market share in 2017 as key end-user sectors requires bulk liquid nitrogen on daily operations. It is cost effective and environment friendly process, owing to which it shall grow with a highest CAGR during the forecast period. Bulk liquid nitrogen demand is anticipated to grow with a prominent CAGR in near future. It is the most effective transportation mode to supply liquid nitrogen across the region. However, increasing transportation prices may restrict the growth of this segment at some extent during the forecast period.

Automotive and healthcare industry will have the highest CAGR in the market over the forecast period. Increasing usage of electronic devices in the healthcare industry has been propelling the market growth in the past few years. Moreover, increasing automobile manufacturing across the globe will subsequently drive industry growth. For instance, the global commercial and passenger vehicle manufacturing in 2009 was close to 65 million units and surpassed 95 million units in 2017.

Europe has registered highest share in liquid nitrogen market in 2017 and generated revenue close to USD 2.6 billion in the same year. High product usage in the food & beverage was the major factor attributing product demand in the region. Liquid nitrogen is used for cooling and food preservation. In addition, gigantic chemical industry in the region have created the highest liquid nitrogen demand in the region from past few years. Product is used in the chemical industry to reduce the heat generated while chemical manufacturing. However, the region is expected to exhibit sluggish growth during the forecast timeframe owing to shift in the manufacturing facility towards regions with easy raw material availability and low labor cost.

Asia Pacific shall experience the highest CAGR during the forecast timespan. This can be attributed to the rapidly growing end-use industries in the region, such as rubber & plastic, automotive, pharmaceutical and metal fabrication. For example, more than 60% of global automotive are manufactured in the Asia Pacific. Moreover, significantly growing pharmaceutical industry in India and China shall fuel the product demand over the forecast period.