Air Separation Plant Market to Surpass USD 10.5 Billion by 2034 with Steady 4.9% CAGR

The air separation plant market is on the cusp of significant growth, currently valued at USD 6,515.40 million in 2024. With a projected Compound Annual Growth Rate (CAGR) of 4.90%, the market is expected to reach an impressive USD 10,512.26 million by 2034. This growth trajectory is largely driven by the increasing demand for air separation plants within the healthcare sector, a key trend poised to accelerate global market expansion.

Future Market Insights (FMI) provides critical insights into the market’s growth prospects through detailed half-yearly comparative analyses. Their comprehensive report sheds light on recent developments that are profoundly shaping the market’s future outlook.

Key Takeaways from Air Separation Plant Market Study:

The U.S. is anticipated to account for the lion’s share in North America market, owing to the increasing shell gas exploration activities across the country.
China is expected to register robust growth in the air separation plant market, on the back of growing adoption in production of chemicals and iron & steel.
India is forecast to emerge as a highly attractive market in South Asia & Pacific, driven by the upsurge in trend of industrialization in the country.
The U.K. and Germany are estimated to collectively account for the largest share in Europe market, favored by increasing applications across the food & beverage industry.
In terms of end use industry, the chemical industry segment is projected to exhibit steady growth, accounting for around 20% of the overall sales through 2034.

Exhaustive Market Report: A Complete Study

Key Drivers:

Surging demand for medical oxygen and equipment such as continuous positive airway pressure (CPAP) devices and infusion pumps in hospitals for patient treatments is expected to increase the sales of air separation plants across the healthcare segment.
Increasing use of argon gas in casting and welding industries, especially, in manufacturing of specialty alloys and titanium is a primary factor propelling the demand across the argon segment.

Key Restraints:

Extravagant cost of installation, component assemble, operation, and maintenance of air separation plants is hindering the sales in the market.
High energy consumption for cryogenic separation plants as compared to non-cryogenic plants is a factor restraining the growth in the cryogenic separation plant segment.

Competitive Landscape:

Key manufacturers of air separation plants are focusing on mergers and acquisitions to strengthen their global footprint and establish their business different countries. Apart from this, some of the players are aiming at expanding their production capacity to cater to demand for industrial gasses.

For instance,

In November 2021, Nippon Gases, a leading Japanese industrial and medical gases provider, announced signing an agreement with a renowned Italian stainless steel manufacturer, Cogne Acciai Speciali. As per the agreement, Nippon Gases will assist the latter company to modernize its air separation unit to increase its efficiency and reduce energy consumption in production.
In April 2020, CryopAL, a subsidiary of Air Liquide, announced increasing its production of liquid oxygen for medical use to three times of its current production to meet the increasing demand and supply oxygen to patients suffering from respiratory insufficiency.

Key Players Operating in the Market: