Industrial Nitrogen Market: Introduction
- Nitrogen gas is used in a wide range of applications in diverse industries. Industrial usage of nitrogen has gained widespread traction across the globe due to its cost effectiveness. Improvements in process have made industrial nitrogen an affordable solution for a wide range of industries.
- Key application industries of industrial nitrogen include pharmaceutical, food packaging, metal manufacturing, petroleum, materials, and chemical plants. The characteristic of nitrogen gas to displace oxygen or eliminate oxygen, most notably in mining, food packaging, and chemical plants is driving the market. Nitrogen can be produced for industrial usage through numerous methods such as fractional distillation, polymeric membrane, and pressure swing adsorption. Industry players are striving to increase the efficiency of these processes, thereby helping in the steady evolution of the industrial nitrogen market.
Drivers of Industrial Nitrogen Market
- The global industrial nitrogen market is propelled by the rise in application of nitrogen in the food & beverages industry. Rapid strides made in this end-use industry in various parts of the world is boosting the market. Increase in usage of nitrogen in the health care industry and drug making in developing and developed regions is a notable trend that is anticipated to play a pivotal role in the growth dynamics of the market. However, various factors may hinder the steady expansion of the global market. In several regions, structural and regulatory frameworks are not conducive for the production of nitrogen. Furthermore, several parts of developing economies still grapple with high cost of production of nitrogen. This is likely to hamper the industrial nitrogen market.
- On the other hand, rise in demand for industrial nitrogen in the chemical industry is expected to offer opportunities to the global market over the next few years. Furthermore, constant advances made in cryogenic fraction distillation technology are estimated to drive the market. Rise in demand for better food preservation technology is also projected to boost the market during the forecast period.
Restraints of Industrial Nitrogen Market
- Dearth of universal directives pertaining to applications of industrial nitrogen is expected to restrain the market during forecast period. Every country has different directives pertaining to applications of industrial nitrogen. Companies find it difficult to deal with these county wise regulations. This, in turn, is discouraging investments in the industrial nitrogen market, thereby restraining the market.
COVID-19 impact on Industrial Nitrogen Market
- The COVID-19 outbreak is hampering the demand for industrial nitrogen in many applications. Many governments across the globe have enforced lockdown as a measure to curb the spread of the coronavirus. This has resulted in the slowdown and halt in manufacturing operations, restrictions on supply and transport, and infrastructure slowdown, thereby hampering the demand for industrial nitrogen.
- Key players operating in the industrial nitrogen market are primarily tier I and tier II manufacturers and suppliers. Manufacture and supply chain facilities of these manufacturers are spread across various countries in Asia Pacific, Europe, North America, Latin America, and Middle East & Africa. Many of these players have halted their production output over the last few months due to the COVID-19 pandemic. The pandemic has negatively impacted the demand and supply chain of industrial nitrogen.
Asia Pacific to Hold Major Share of Industrial Nitrogen Market
- In terms of geography, the global industrial nitrogen market can be segmented into North America, Asia Pacific, Europe, Middle East & Africa, and Latin America
- Asia Pacific is expected to hold large share of the global market in the next few years. The growth in the regional market is expected to be propelled by the swift pace of industrialization, especially the growth in end-use industries such as in food & beverages. The adoption of better methods of nitrogen production also reinforces the prospects of the market in the region.
- Developed markets such as those in North America and Europe are likely to witness maturing demand for industrial nitrogen. Thus, these regions may offer unattractive incremental opportunities during the forecast period.
Industrial Nitrogen Market: Key Players
Major players operating in the industrial nitrogen market are adopting various organic and inorganic growth strategies such as joint ventures, mergers & acquisitions, expansion, collaborations, new product launches, strategic alliances, and research and development to increase their regional presence and business operations. Key players operating in the market include
- Nexair LLC
- Messer Group
- Taiyo Nippon Sanso
- Air Liquide
- Praxair India Private Limited
- Air Products and Chemicals
- Linde
- Messer Group
- Nexair LLC
- Gulf Cryo
Global Industrial Nitrogen Market, by Form
- Compressed Gas
- Liquid Nitrogen
Global Industrial Nitrogen Market, by End-user
- Metal Manufacturing & Fabrication
- Oil & Gas
- Petrochemical
- Pharmaceutical & Health Care
- Chemical
- Food & Beverages
- Electronics
- Others
Global Industrial Nitrogen Market, by Region
- North America
- Europe
- Germany
- U.K.
- France
- Italy
- Spain
- Russia & CIS
- Rest of Europe
- Asia Pacific
- China
- India
- Japan
- ASEAN
- Rest of Asia Pacific
- Latin America
- Brazil
- Mexico
- Rest of Latin America
- Middle East & Africa
- GCC
- South Africa
- Rest of Middle East & Africa
