Noble Gas Market

Noble Gas Market: Overview

The Noble Gas Market is valued at USD 12.4 Bn in 2026 and is projected to reach USD 20.3 Bn, growing at a CAGR of 7% by 2033. Noble gases (historically also known as inert gases; sometimes known as aerogens) are a class of chemical elements with comparable features; under standard conditions, they are all odorless, colorless, monatomic gases with minimal chemical reactivity. Rising demand for noble gases in the healthcare and industrial sectors and favorable government policies are likely to drive market expansion. The helium gas sector is expected to lead the market throughout the forecast period due to rising demand from various end-use industries such as manufacturing, aerospace, and healthcare, as well as helium gas, expanding application scope in cryogenics analytical applications. The rising demand for noble gases from the manufacturing and electronics industries is expected to fuel growth. Noble gases are primarily created through a pressured separation process in which different gases in the air are separated based on physical qualities such as boiling point and critical pressure. These gas separation units separate and generate gases such as nitrogen, oxygen, inert gases, and even carbon dioxide.

On the other hand, the separation units are set to separate the desired gas from the mixture. As the oxygen demand skyrocketed during the epidemic, many gas companies fine-tuned their air separation divisions to create oxygen rather than rare, inert gases. For example, on April 2021, the Colombian Chamber of Industrial and Medical Gases published an advisory emphasizing the strain on gas companies to meet oxygen demand. Total consumption, on the other hand, climbed by 74% between February 2020 and April 2021, from 330 to 575 tonnes per day. The market was significantly affected as a result of this transition. Furthermore, many important end-use industries, including electronics, lighting, aeronautics, and healthcare, encountered manufacturing process restrictions due to lockdowns, limiting the noble gases market's development potential.

Noble Gas Market: COVID-19 Impact

The COVID-19  has increased the demand for noble gases widely used in the healthcare industry. To fulfill the demand during this period, industry manufacturers are establishing additional noble gas manufacturing facilities to boost the capacity production of noble gases. The COVID-19 virus destroying a patient's lungs has resulted in many critical patients worldwide requiring respiratory care, boosting the demand for noble gases in the industry. However, demand from commercial end-users and industrial is expected to fall significantly in 2020 due to the global lockdown implemented in most countries.

Noble Gas Market: Drivers

Growing Need for Steel to Drive Market Growth

With an increase in construction and car manufacturing following Covid-19, demand for steel and steel products will likely skyrocket in the next years. Global crude steel production increased by 1.75% year on year, from 1,814 million tonnes in 2018 to 1,878 million tonnes in 2020, according to the World Steel Association. Argon is employed in a variety of steel manufacturing processes. It is blasted under high pressure to homogenize the liquid steel mixture and dissipate unwanted gases such as N2, H2, and CO. In a similar vein, argon is often employed as a protective gas in welding and vacuum induction applications. Many steel-making materials, such as magnesium, chromium, titanium, and molybdenum, cannot tolerate the presence of oxygen and nitrogen because they quickly form oxides or nitrides. As a result, Argon protects the melted metals from deterioration.

However, in practise, low-pressure carburizing in a vacuum furnace followed by high-pressure gas quenching has become common for producing case-hardened steels. To cool the carburized components from 940-980 C to room temperature, gas combinations with high thermal conductivity, such as helium + nitrogen or argon, are used. As a result of the importance of these inert gases in steel manufacture, an increase in steel production activities supports market growth.

 Expanding Research to Create a Chemical Driving Market Growth

Noble gases are mostly unreactive because they are hesitant to share electrons from their filled outer electron shells. Furthermore, extreme circumstances such as highly reactive chemicals, low temperatures, and high pressure are required to synthesize these gas compounds. These chemicals, however, are either too volatile for practical usage. However, scientists worldwide have taken up the challenge of eliciting reactivity from these elements. McMaster University, for example, has been exploring the reactivity of xenon and krypton for many years. As a result, they were able to create stable chemicals such as XeF2, which can etch silicon, and KrF2, a powerful oxidizing agent.

Noble Gas Market: Restraints

Production Cost Fluctuation to Hamper Market Growth

The variable costs of these gases in the worldwide marketplace are a major factor limiting market expansion. Except for Helium, all inert gas pricing is individually negotiated between the user and the manufacturer. Regional competitiveness, contract duration, energy costs, air separation unit operational duration, and transportation distance are all factors that influence product costs. Helium auction pricing in the United States varied between USD 4.29/m3 in July 2017, USD 10.09/m3 in August 2018, and USD 6.31/m3 in September 2018. Similarly, in the fiscal year 2017-2018, argon prices ranged from USD 8.80 to USD 19.10/m3. Similar tendencies may be seen in the prices of various gases, which impact the worldwide market's growth prospects. Price changes, combined with increased energy costs, are undermining rare-earth element supply networks. This makes it challenging for manufacturers to offer high-quality products while remaining profitable.

Noble Gas Market: Segment Overview

Helium to Dominate Market due to Increased Demand from End User

The increased demand for use in healthcare, aerospace, automotive, deep-sea exploration, and manufacturing applications. Unlike other noble gases, Helium cannot be extracted from the atmosphere due to its low concentration. It is created as a byproduct of natural gas extraction. After natural gas is removed from the soil, the accumulated vent gas is kept in gas rejection units. This gas is subsequently processed to produce high-quality Helium. Helium has numerous applications in healthcare; for example, liquid Helium is utilized in MRI equipment to cool superconductive magnets. It is utilized in helium-neon eye operations. Helium is also utilized as a breathing gas.

With Increased Demand for Various Medical Equipment, Hospital Category Dominated Market

In the forecast period, the Hospital segment held the largest market share. Noble gases are used in a variety of applications. They are in significant demand in the medical sector because they are used to cool superconducting magnets in magnetic resonance imaging (MRI) scanners. Helium is beneficial in several respiratory disorders, including upper airway blockage, asthma exacerbation, and post-extubation strido. Microscopy has opened up new avenues for using helium gas in cutting-edge medical applications. Other noble gases, such as argon and xenon, are also employed in medicine. Argon is employed as an anesthetic and neuroprotective drug, and xenon is effective in neuroprotection and anesthesia.

Furthermore, countries such as China, the United States, Japan, and others are key contributors to the healthcare sector's revenue. Rising health concerns and a concentration on the medical sector in developing nations, particularly in Asia-Pacific, have resulted in high demand for such gases. In the predicted period, such good growth in the health care business is likely to raise demand for a noble gas.

Noble Gas Market: Regional Landscape

North America to Dominate Market due to Rising Demand in End User

it is anticipated that the North American market will account for the largest revenue share. North America has the biggest revenue market share due to rising demand for consumer and investment goods, particularly in the United States. Because of the region's large-scale production of these gases, North America is one of the world's most important markets for a noble gas. Massive expenditures in developing air separation techniques and production technologies in North America are expected to increase the region's demand for a noble gas. The noble gas market in the U.S. is expected to rise steadily, owing to growing demand from aerospace, oil & gas, health, and laser applications. The presence of big industrial businesses connected with construction, healthcare, autos, and semiconductors is likely to promote the expansion of the country's noble gases industry. Noble gas is frequently employed for crude oil exploration and production in the oil and gas sector. The noble gas data provide a realistic depiction of the complicated natural and technical processes involved in discovering and extracting oil and gas. The U.S. is the world's largest producer of crude oil. According to BP, crude production in the United States has recently averaged 15,311 thousand barrels per day. According to the EIA, crude oil production in the United States is expected to increase by 4% by 2024. Because of the considerations above, demand for noble gases is likely to rise in various industries over the forecast period.

Global Noble Gas Market: Competitive Landscape

In September 2020, Air Liquide announced a USD 63 million investment in China's Lingang Economic District of the Tianjin Port Free Trade Zone. The new ASU is planned to be operational by 2022 and will create more than 2,000 tonnes of a mixture of oxygen, nitrogen, and argon gases. Moreover, in December 2020, Messer Group said in a statement the installation of a new air separation unit in Adel, Georgia, with an expenditure of more than USD 40 million. The new plant is anticipated to deliver industrial gases to customers in the healthcare, metal, and welding industries in the Southeast United States.

A few of the Noble Gas Market players include:

• Air Products and Chemicals, Inc.
• Linde plc
• Air Liquide S.A.
• The Messer Group GmbH
• Taiyo Nippon Sanso Corporation
• The BOC Group (part of Linde)
• Praxair Technology, Inc. (part of Linde/Air Products)
• Messer Industries GmbH
• MATHESON (a division of Taiyo Nippon Sanso)
• Compass Gases & Equipment Ltd.
• Air Water Inc.
• Messer Canada Inc.
• Kobelco Gas & Engineering
• HALO (Helium & Allied Products)
• Noble Gas Solutions LLC 

The Global Noble Gas Market is Segmented as Below:

By Type
• Helium
• Neon
• Argon
• Krypton
• Xenon

By Application
• Helium
• Neon
• Argon
• Krypton
• Xenon

By Geography
• North America
• Europe
• Asia Pacific
• Latin America
• Middle East & Africa