What are the future trends in the industrial gas industry?

2025-08-08 16:00

The market size is steadily growing: The global industrial gases market is projected to expand from US$135 billion in 2025 to US$182 billion by 2030, with a compound annual growth rate of 6.1%. Among them, the Asia-Pacific region will account for over 45% of the incremental demand, and the Chinese market will lead the way with a growth rate of 7.8%.

In the future, the industrial gas industry will exhibit trends such as expanding market size, continuous technological innovation, and green industrial development, as detailed below:
  • The market size is steadily growing. The global industrial gas market is projected to grow from US$135 billion in 2025 to US$182 billion by 2030, with a compound annual growth rate (CAGR) of 6.1%. Among these, the Asia-Pacific region will account for more than 45% of the incremental demand, and the Chinese market will lead the way with a growth rate of 7.8%. Demand for specialty gases used in semiconductor manufacturing is expected to grow significantly faster than the industry average, with an annual growth rate forecast to exceed 8%. The market size for gases used in the hydrogen energy value chain is also poised for rapid expansion, at a CAGR of 12%.
  • Domestic substitution is accelerating. In the high-end electronic specialty gases sector, domestic Chinese companies are accelerating their efforts to catch up with foreign giants. For instance, Nanjing University Optoelectronics has achieved a breakthrough in the purification technology for hexafluoroethane used in KrF photoresists, and China Shipbuilding Special Gas is planning to build a project focused on high-purity electronic gases. The rate of domestic substitution for photovoltaic-grade nitrogen trifluoride and tungsten hexafluoride, among other products, is steadily increasing, and the capability for technological self-reliance has significantly strengthened.
  • Technological innovation continues to achieve breakthroughs. Green hydrogen production technologies—such as water electrolysis and photocatalysis—are set to accelerate their commercialization, and the cost of proton exchange membrane electrolyzers is expected to decline further. Meanwhile, carbon capture and technologies for repurposing industrial exhaust gases will see broader adoption; by 2030, the market size for related gas treatment equipment is projected to reach US$12 billion. In addition, intelligent gas monitoring systems, integrating IoT and AI algorithms, are expected to cover 85% of industrial applications by 2030.
  • The industry is shifting toward green development. Under the backdrop of the dual-carbon goals, the industrial gas industry will place greater emphasis on sustainable development. Companies will reduce energy consumption and lower greenhouse gas emissions by developing new gas separation technologies and improving the efficiency of existing processes. Investment in clean energy sources such as hydrogen and biogas will increase to support decarbonization targets.
  • The competitive landscape has become more diversified. The global industrial gas market is highly concentrated, with international giants dominating the landscape. However, Chinese domestic enterprises are narrowing the gap through technological upgrades and capacity expansion, gradually forming a competitive structure led by Gas Power and Hangyang Shares, supplemented by companies such as Jinhong Gas and Huater Gas, and engaging in fierce competition with foreign-invested firms.
  • The service model is becoming more flexible. The adoption rate of long-term gas supply agreements (under the BOT model) will continue to rise. Meanwhile, digital distribution channels in the retail gas market will further develop, and companies will offer more customized gas solutions tailored to customer needs, thereby meeting the specific requirements of various industries and different customers.