by Cryogenic Tanks Market is gaining momentum fueled by Rapid Industrialization Trends
The cryogenic tanks market has witnessed significant growth in recent years owing to increasing demand from industries such as chemicals and petrochemicals, metallurgy, energy & power, electronics, shipping and other manufacturing industries. Cryogenic tanks are specialized vessels used for storing liquefied gases such as oxygen, nitrogen, argon, liquefied natural gas and other industrial gas at very low temperatures. They are made of sophisticated materials such as stainless steel, aluminum, nickel alloys and others to maintain extremely low cryogenic temperatures during transportation and storage.
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. Increasing demand from healthcare sector for storing biological samples, rising consumption of LNG as transportation fuel and rapid industrialization are the key factors expected to drive the demand for cryogenic tanks over the coming years.
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 growing demand from chemical and petrochemical industries for transporting and storing industrial gases is a major factor propelling the cryogenic tanks market. Cryogenic tanks help chemical companies efficiently handle liquefied gases without contaminations during various industrial procedures.
The market is also witnessing increased opportunities in Asia Pacific and Middle East regions. Countries like China, India, Indonesia, Saudi Arabia and UAE are investing heavily in setting up new petrochemical complexes, natural gas pipelines and LNG import facilities which will drive the demand for cryogenic storage and transportation vessels in these developing economies.
Market Key Trends
One of the key trends gaining traction in the cryogenic tanks market is the increasing demand for vacuum insulated tanks. Vacuum insulation helps reduce heat transfer and maintain cryogenic temperatures for longer duration. Leading manufacturers are extensively utilizing advanced composite materials along with vacuum insulation technology to develop more efficient cryogenic tanks with reduced product lifecycle costs. Equipment efficiency along with reduced product carbon footprint are fundamental characteristics driving the vacuum insulated cryogenic tanks segment.
Porter’s Analysis
Threat of new entrants: New players find it difficult to enter the market and gain market share due to high capital requirements and established brand names of existing players.
Bargaining power of buyers: Buyers have moderate bargaining power due to availability of substitutes however established relationships give buyers less incentives to switch.
Bargaining power of suppliers: A few large suppliers exist for key raw materials which gives them strong bargaining power over players.
Threat of new substitutes: No major substitute threatens Cryogenic Tanks as of now due to their unique properties however research in materials science can bring new substitution threats.
Competitive rivalry: Intense competition exists among major players to gain market share and reduce costs however differentiation and customer loyalty offsets price wars.
Geographical Regions
North America leads in terms of value share mainly attributed to developed industrial sector and presence of global players. Growing end use industries are expected to boost demand further in the region during the forecast period.
Asia Pacific is the fastest growing region for Cryogenic Tanks market supported by increasing manufacturing activity, foreign investments and demand from energy & power sector especially in China and India. Rapid industrialization will continue driving the regional market.
*Note:
1.Source: Coherent Market Insights, Public sources, Desk research
2.We have leveraged AI tools to mine information and compile it
