by Cryogenic Tanks Market Estimated to Witness High Growth Owing to Rising Demand in Healthcare Sector
Cryogenic tanks are vacuum insulated vessels used for storing liquefied gases such as oxygen, nitrogen, argon, and natural gases at very low temperatures. These tanks find widespread application in healthcare, metallurgy, energy & power, shipping, chemicals, and other industries due to their ability to maintain cryogenic liquids in their liquid state. The increasing demand for medical gases like oxygen and argon in hospitals and healthcare facilities is expected to drive the demand for cryogenic tanks over the forecast period. The Global Cryogenic Tanks Market is estimated to be valued at US$ 6.51 Bn in 2024 and is expected to exhibit a CAGR of 5.0% over the forecast period 2023 to 2030.
Key Takeaways
Key players operating in the Cryogenic Tanks market are ArcelorMittal, China Baowu Group, Nippon Steel Corporation, POSCO, Shagang Group, Ansteel Group, Glencore, Sumitomo Metal Mining Company, Linde, INOX India Pvt., Cryofab, FIBA Technologies, Air Products and Chemicals, Inc., M1 Engineering, Chart Industries, Wessington Cryogenics, Isisan, Lapesa, Auguste Cryogenics, and Hoover Ferguson Group, Inc.
The rising demand from healthcare and metallurgical industries has opened lucrative growth opportunities for cryogenic tank manufacturers. Furthermore, technological advancements like improved vacuum insulation and cryogenic valves offer improved efficiency and safety.
Technological advancements like advanced insulation materials and valves have improved the efficiency and safety of cryogenic tanks. Vacuum insulation technology maintains cryogenic liquids in their liquid state for extended periods. Additionally, advanced valves prevent pressure build-up and enable controlled filling and emptying.
Market Drivers
The key drivers contributing to the growth of the cryogenic tanks market are rising demand from the healthcare industry for medical gases, increased spending on LNG trade and transportation infrastructure, and thriving manufacturing sector in developing nations. Additionally, rapid industrialization in emerging economies of Asia Pacific will continue driving the market over the forecast period.
Current challenges in Cryogenic Tanks Market
The cryogenic tanks market faces various challenges such as high costs associated with the production and maintenance of cryogenic tanks. Production of cryogenic tanks requires specialized equipment and materials that drives up costs. Due to low temperatures involved, cryogenic tanks have complex designs involving multilayer insulation and vacuum chamber which makes production and maintenance expensive. Cryogenic tanks also need specialized skilled workforce to handle operations and safety which leads to higher operational costs. Transportation of gases enclosed in cryogenic tanks poses challenges due to stringent transportation regulations for hazardous materials. Risk of leakage during transportation can be catastrophic requiring robust safety designs and protocols.
SWOT Analysis
Strength: Cryogenic tanks have applications in diverse industries like healthcare, energy, chemicals, metals leading to robust demand. Cryogenic storage helps preserve perishable goods and industrial gases in their liquid state at extremely low temperatures.
Weakness: High costs associated with production, transportation and maintenance of cryogenic tanks. Risk of leakage and equipment malfunctions at low cryogenic temperatures pose safety hazards.
Opportunity: Growing demand for LNG as automotive and industrial fuel drives the need for safe storage and transportation infrastructure including cryogenic tanks. Increasing research in cryogenic engineering can help develop advanced and affordable tank designs.
Threats: Stringent regulations around transportation of hazardous cryogenic liquids increase compliance costs. Substitution threat from alternative technologies for industrial gas storage can impact demand.
Geographical Regions
North America accounts for the largest share of the global cryogenic tanks market in terms of value currently led by the United States. Presence of major industrial gas producers and robust healthcare sector drives cryogenic tank demand. Asia Pacific is expected to be the fastest growing region for cryogenic tanks market over the forecast period led by China, India, Japan and South Korea. Expanding manufacturing industry and increasing LNG usage in various applications supports the demand growth in Asia Pacific region. Western Europe is another major geographical region concentrated with cryogenic tank customers across industries like healthcare, chemicals, metals and energy.
*Note:
1.Source: Coherent Market Insights, Public sources, Desk research
2.We have leveraged AI tools to mine information and compile it
