Middle East Industrial Gases Market
Description
Middle East Industrial Gases Market Overview
The Middle East Industrial Gases Market is valued at USD 9.9 billion, based on a five-year historical analysis. Growth is primarily driven by increasing demand from sectors such as oil and gas, healthcare, petrochemicals, and food and beverage, alongside the region’s ongoing industrialization, urbanization, and large-scale infrastructure projects. The market is further supported by rising investments in hydrogen production, carbon capture initiatives, and the expansion of medical infrastructure, especially in the wake of heightened healthcare needs and energy transition strategies .
Key players in this market include Saudi Arabia, the United Arab Emirates, and Qatar. These countries dominate the market due to robust industrial sectors, significant investments in infrastructure, and a strategic focus on diversifying their economies through petrochemical expansion, hydrogen projects, and advanced manufacturing .
The UAE’s Cabinet Resolution No. 37 of 2023, issued by the Ministry of Industry and Advanced Technology, established mandatory requirements for industrial facilities to implement energy management systems and adopt energy-efficient technologies. This regulation aims to reduce carbon emissions and enhance sustainability in industrial operations, directly impacting the use and management of industrial gases in new and existing facilities .
Middle East Industrial Gases Market Segmentation
By Type:
The market is segmented into various types of industrial gases, including Oxygen, Nitrogen, Argon, Carbon Dioxide, Hydrogen, Specialty Gases, and Others. Among these, Oxygen and Nitrogen are the most widely used gases, primarily due to their extensive applications in healthcare (medical oxygen), metal fa
ication, oil refining, and chemical processing. The demand for Specialty Gases is rising, driven by technological advancements in electronics, semiconductors, and environmental monitoring .
By End-User:
The industrial gases market is further segmented by end-user industries, including Oil & Gas, Healthcare, Food and Beverage, Metal Fa
ication & Steel, Chemical & Petrochemical, Electronics & Semiconductors, Water Treatment, and Others. The Oil & Gas sector is the largest consumer, driven by enhanced oil recovery, refining, and hydrogen production projects. Healthcare is a significant segment due to the critical role of medical oxygen and specialty gases in hospitals and clinics. Demand from electronics and water treatment is also rising, reflecting the region’s diversification and infrastructure upgrades .
Middle East Industrial Gases Market Competitive Landscape
The Middle East Industrial Gases Market is characterized by a dynamic mix of regional and international players. Leading participants such as Air Products and Chemicals, Inc., Linde plc, Air Liquide S.A., Messer Group GmbH, Gulf Cryo, National Industrial Gas Plants (NIGP), Buzwair Industrial Gases Factories, Emirates Industrial Gases Co. LLC, Abdullah Hashim Industrial Gases & Equipment Co. Ltd., Al Waha Gas (Oman Oil Company Group), Al Ghaith Industries, Arabian Industrial Gases Co. LLC, Air Products Qudra, Al Khaleej Gases, and National Gas Company SAOG (Oman) contribute to innovation, geographic expansion, and service delivery in this space .
Air Products and Chemicals, Inc.
1940
Allentown, Pennsylvania, USA
Linde plc
1879
Dublin, Ireland
Air Liquide S.A.
1902
Paris, France
Messer Group GmbH
1898
Bad Soden, Germany
Gulf Cryo
1953
Kuwait City, Kuwait
Company
Establishment Year
Headquarters
Group Size (Large, Medium, or Small as per industry convention)
Revenue (USD Million)
Revenue Growth Rate (%)
Market Share (%)
Market Penetration Rate (Number of Countries/Facilities in Middle East)
Customer Retention Rate (%)
Middle East Industrial Gases Market Industry Analysis
Growth Drivers
Increasing Demand from Oil & Gas Sector:
The oil and gas sector in the Middle East is projected to contribute approximately $1.7 trillion to the regional economy in future. This growth is driven by rising global energy demands, leading to increased production activities. Industrial gases, such as nitrogen and oxygen, are essential for various processes, including enhanced oil recovery and refining. The sector's expansion is expected to boost the industrial gases market significantly, with demand anticipated to rise by 8% annually.
Expansion of Manufacturing Industries:
The manufacturing sector in the Middle East is expected to grow to $350 billion in future, driven by diversification efforts and increased local production. This expansion is fostering a higher demand for industrial gases, which are critical for processes like welding, cutting, and chemical manufacturing. The growth in manufacturing is also supported by government initiatives aimed at enhancing industrial capabilities, further propelling the industrial gases market in the region.
Rising Investments in Infrastructure Development:
The Middle East is witnessing a surge in infrastructure investments, projected to reach $1.2 trillion in future. Major projects include transportation, energy, and urban development, all of which require industrial gases for construction and operational processes. This influx of capital is expected to create substantial demand for gases like argon and carbon dioxide, essential for various applications, thereby driving market growth in the industrial gases sector.
Market Challenges
Fluctuating Raw Material Prices:
The industrial gases market faces challenges due to the volatility of raw material prices, particularly natural gas and crude oil. In recent times, natural gas prices fluctuated between $2.80 and $4.50 per MMBtu, impacting production costs for gas manufacturers. This unpredictability can lead to increased operational costs and reduced profit margins, posing a significant challenge for companies in the industrial gases sector.
Stringent Environmental Regulations:
The Middle East is implementing stricter environmental regulations to combat pollution and promote sustainability. For instance, the UAE's National Climate Change Plan aims to reduce greenhouse gas emissions by 23% in future. Compliance with these regulations often requires significant investments in cleaner technologies and processes, which can strain the financial resources of industrial gas companies, hindering their growth potential in the market.
Middle East Industrial Gases Market Future Outlook
The future of the Middle East industrial gases market appears promising, driven by ongoing technological advancements and a shift towards sustainable practices. Companies are increasingly adopting digital solutions to enhance supply chain efficiency and reduce costs. Additionally, the growing emphasis on green technologies is likely to create new avenues for growth, particularly in sectors such as healthcare and food preservation. As the region continues to diversify its economy, the industrial gases market is expected to adapt and thrive in this evolving landscape.
Market Opportunities
Growth in Healthcare Sector:
The healthcare sector in the Middle East is projected to reach $120 billion in future, creating significant demand for medical gases. These gases are essential for various applications, including anesthesia and respiratory therapies. The increasing focus on healthcare infrastructure development presents a lucrative opportunity for industrial gas suppliers to expand their offerings in this vital sector.
Development of Green Technologies:
The push for sustainable solutions is driving the development of green technologies, such as hydrogen production and carbon capture. The Middle East is investing heavily in these technologies, with funding expected to exceed $60 billion in future. This trend presents a unique opportunity for industrial gas companies to innovate and provide essential gases for emerging green applications, enhancing their market position.
Please Note: It will take 5-7 business days to complete the report upon order confirmation.
The Middle East Industrial Gases Market is valued at USD 9.9 billion, based on a five-year historical analysis. Growth is primarily driven by increasing demand from sectors such as oil and gas, healthcare, petrochemicals, and food and beverage, alongside the region’s ongoing industrialization, urbanization, and large-scale infrastructure projects. The market is further supported by rising investments in hydrogen production, carbon capture initiatives, and the expansion of medical infrastructure, especially in the wake of heightened healthcare needs and energy transition strategies .
Key players in this market include Saudi Arabia, the United Arab Emirates, and Qatar. These countries dominate the market due to robust industrial sectors, significant investments in infrastructure, and a strategic focus on diversifying their economies through petrochemical expansion, hydrogen projects, and advanced manufacturing .
The UAE’s Cabinet Resolution No. 37 of 2023, issued by the Ministry of Industry and Advanced Technology, established mandatory requirements for industrial facilities to implement energy management systems and adopt energy-efficient technologies. This regulation aims to reduce carbon emissions and enhance sustainability in industrial operations, directly impacting the use and management of industrial gases in new and existing facilities .
Middle East Industrial Gases Market Segmentation
By Type:
The market is segmented into various types of industrial gases, including Oxygen, Nitrogen, Argon, Carbon Dioxide, Hydrogen, Specialty Gases, and Others. Among these, Oxygen and Nitrogen are the most widely used gases, primarily due to their extensive applications in healthcare (medical oxygen), metal fa
ication, oil refining, and chemical processing. The demand for Specialty Gases is rising, driven by technological advancements in electronics, semiconductors, and environmental monitoring .
By End-User:
The industrial gases market is further segmented by end-user industries, including Oil & Gas, Healthcare, Food and Beverage, Metal Fa
ication & Steel, Chemical & Petrochemical, Electronics & Semiconductors, Water Treatment, and Others. The Oil & Gas sector is the largest consumer, driven by enhanced oil recovery, refining, and hydrogen production projects. Healthcare is a significant segment due to the critical role of medical oxygen and specialty gases in hospitals and clinics. Demand from electronics and water treatment is also rising, reflecting the region’s diversification and infrastructure upgrades .
Middle East Industrial Gases Market Competitive Landscape
The Middle East Industrial Gases Market is characterized by a dynamic mix of regional and international players. Leading participants such as Air Products and Chemicals, Inc., Linde plc, Air Liquide S.A., Messer Group GmbH, Gulf Cryo, National Industrial Gas Plants (NIGP), Buzwair Industrial Gases Factories, Emirates Industrial Gases Co. LLC, Abdullah Hashim Industrial Gases & Equipment Co. Ltd., Al Waha Gas (Oman Oil Company Group), Al Ghaith Industries, Arabian Industrial Gases Co. LLC, Air Products Qudra, Al Khaleej Gases, and National Gas Company SAOG (Oman) contribute to innovation, geographic expansion, and service delivery in this space .
Air Products and Chemicals, Inc.
1940
Allentown, Pennsylvania, USA
Linde plc
1879
Dublin, Ireland
Air Liquide S.A.
1902
Paris, France
Messer Group GmbH
1898
Bad Soden, Germany
Gulf Cryo
1953
Kuwait City, Kuwait
Company
Establishment Year
Headquarters
Group Size (Large, Medium, or Small as per industry convention)
Revenue (USD Million)
Revenue Growth Rate (%)
Market Share (%)
Market Penetration Rate (Number of Countries/Facilities in Middle East)
Customer Retention Rate (%)
Middle East Industrial Gases Market Industry Analysis
Growth Drivers
Increasing Demand from Oil & Gas Sector:
The oil and gas sector in the Middle East is projected to contribute approximately $1.7 trillion to the regional economy in future. This growth is driven by rising global energy demands, leading to increased production activities. Industrial gases, such as nitrogen and oxygen, are essential for various processes, including enhanced oil recovery and refining. The sector's expansion is expected to boost the industrial gases market significantly, with demand anticipated to rise by 8% annually.
Expansion of Manufacturing Industries:
The manufacturing sector in the Middle East is expected to grow to $350 billion in future, driven by diversification efforts and increased local production. This expansion is fostering a higher demand for industrial gases, which are critical for processes like welding, cutting, and chemical manufacturing. The growth in manufacturing is also supported by government initiatives aimed at enhancing industrial capabilities, further propelling the industrial gases market in the region.
Rising Investments in Infrastructure Development:
The Middle East is witnessing a surge in infrastructure investments, projected to reach $1.2 trillion in future. Major projects include transportation, energy, and urban development, all of which require industrial gases for construction and operational processes. This influx of capital is expected to create substantial demand for gases like argon and carbon dioxide, essential for various applications, thereby driving market growth in the industrial gases sector.
Market Challenges
Fluctuating Raw Material Prices:
The industrial gases market faces challenges due to the volatility of raw material prices, particularly natural gas and crude oil. In recent times, natural gas prices fluctuated between $2.80 and $4.50 per MMBtu, impacting production costs for gas manufacturers. This unpredictability can lead to increased operational costs and reduced profit margins, posing a significant challenge for companies in the industrial gases sector.
Stringent Environmental Regulations:
The Middle East is implementing stricter environmental regulations to combat pollution and promote sustainability. For instance, the UAE's National Climate Change Plan aims to reduce greenhouse gas emissions by 23% in future. Compliance with these regulations often requires significant investments in cleaner technologies and processes, which can strain the financial resources of industrial gas companies, hindering their growth potential in the market.
Middle East Industrial Gases Market Future Outlook
The future of the Middle East industrial gases market appears promising, driven by ongoing technological advancements and a shift towards sustainable practices. Companies are increasingly adopting digital solutions to enhance supply chain efficiency and reduce costs. Additionally, the growing emphasis on green technologies is likely to create new avenues for growth, particularly in sectors such as healthcare and food preservation. As the region continues to diversify its economy, the industrial gases market is expected to adapt and thrive in this evolving landscape.
Market Opportunities
Growth in Healthcare Sector:
The healthcare sector in the Middle East is projected to reach $120 billion in future, creating significant demand for medical gases. These gases are essential for various applications, including anesthesia and respiratory therapies. The increasing focus on healthcare infrastructure development presents a lucrative opportunity for industrial gas suppliers to expand their offerings in this vital sector.
Development of Green Technologies:
The push for sustainable solutions is driving the development of green technologies, such as hydrogen production and carbon capture. The Middle East is investing heavily in these technologies, with funding expected to exceed $60 billion in future. This trend presents a unique opportunity for industrial gas companies to innovate and provide essential gases for emerging green applications, enhancing their market position.
Please Note: It will take 5-7 business days to complete the report upon order confirmation.
Table of Contents
81 Pages
- 1. Middle East Industrial Gases Market Overview
- 1.1. Definition and Scope
- 1.2. Market Taxonomy
- 1.3. Market Growth Rate
- 1.4. Market Segmentation Overview
- 2. Middle East Industrial Gases Market Size (in USD Bn), 2019–2024
- 2.1. Historical Market Size
- 2.2. Year-on-Year Growth Analysis
- 2.3. Key Market Developments and Milestones
- 3. Middle East Industrial Gases Market Analysis
- 3.1. Growth Drivers
- 3.1.1. Increasing Demand from Oil & Gas Sector
- 3.1.2. Expansion of Manufacturing Industries
- 3.1.3. Rising Investments in Infrastructure Development
- 3.1.4. Technological Advancements in Gas Production
- 3.2. Restraints
- 3.2.1. Fluctuating Raw Material Prices
- 3.2.2. Stringent Environmental Regulations
- 3.2.3. High Capital Investment Requirements
- 3.2.4. Competition from Alternative Energy Sources
- 3.3. Opportunities
- 3.3.1. Growth in Healthcare Sector
- 3.3.2. Development of Green Technologies
- 3.3.3. Increasing Demand for Specialty Gases
- 3.3.4. Expansion into Emerging Markets
- 3.4. Trends
- 3.4.1. Shift Towards Sustainable Practices
- 3.4.2. Digitalization in Gas Supply Chain
- 3.4.3. Increasing Use of Gases in Food Preservation
- 3.4.4. Growth of On-Site Gas Generation Systems
- 3.5. Government Regulation
- 3.5.1. Emission Control Regulations
- 3.5.2. Safety Standards for Gas Handling
- 3.5.3. Incentives for Clean Technology Adoption
- 3.5.4. Regulations on Gas Storage and Transportation
- 3.6. SWOT Analysis
- 3.7. Stakeholder Ecosystem
- 3.8. Competition Ecosystem
- 4. Middle East Industrial Gases Market Segmentation, 2024
- 4.1. By Type (in Value %)
- 4.1.1. Oxygen
- 4.1.2. Nitrogen
- 4.1.3. Argon
- 4.1.4. Carbon Dioxide
- 4.1.5. Hydrogen
- 4.1.6. Specialty Gases
- 4.1.7. Others
- 4.2. By End-User (in Value %)
- 4.2.1. Oil & Gas
- 4.2.2. Healthcare
- 4.2.3. Food and Beverage
- 4.2.4. Metal Fabrication & Steel
- 4.2.5. Chemical & Petrochemical
- 4.2.6. Electronics & Semiconductors
- 4.2.7. Water Treatment
- 4.2.8. Others
- 4.3. By Application (in Value %)
- 4.3.1. Welding and Cutting
- 4.3.2. Chemical Processing
- 4.3.3. Medical Applications
- 4.3.4. Food Preservation
- 4.3.5. Electronics Manufacturing
- 4.3.6. Enhanced Oil Recovery
- 4.3.7. Water Treatment
- 4.3.8. Others
- 4.4. By Distribution Channel (in Value %)
- 4.4.1. Direct Sales
- 4.4.2. Distributors
- 4.4.3. On-site Generation
- 4.4.4. Online Sales
- 4.4.5. Retail Outlets
- 4.4.6. Others
- 4.5. By Pricing Strategy (in Value %)
- 4.5.1. Premium Pricing
- 4.5.2. Competitive Pricing
- 4.5.3. Value-Based Pricing
- 4.5.4. Others
- 4.6. By Region (in Value %)
- 4.6.1. GCC Countries (Saudi Arabia, UAE, Qatar, Kuwait, Oman, Bahrain)
- 4.6.2. Levant Region (Jordan, Lebanon, Syria, Iraq)
- 4.6.3. North Africa (Egypt, Libya, Algeria, Morocco, Tunisia)
- 4.6.4. Others
- 5. Middle East Industrial Gases Market Cross Comparison
- 5.1. Detailed Profiles of Major Companies
- 5.1.1. Air Products and Chemicals, Inc.
- 5.1.2. Linde plc
- 5.1.3. Air Liquide S.A.
- 5.1.4. Messer Group GmbH
- 5.1.5. Gulf Cryo
- 5.2. Cross Comparison Parameters
- 5.2.1. Revenue (USD Million)
- 5.2.2. Market Share (%)
- 5.2.3. Number of Employees
- 5.2.4. Production Capacity
- 5.2.5. Geographic Presence
- 6. Middle East Industrial Gases Market Regulatory Framework
- 6.1. Industry Standards
- 6.2. Compliance Requirements and Audits
- 6.3. Certification Processes
- 7. Middle East Industrial Gases Market Future Size (in USD Bn), 2025–2030
- 7.1. Future Market Size Projections
- 7.2. Key Factors Driving Future Market Growth
- 8. Middle East Industrial Gases Market Future Segmentation, 2030
- 8.1. By Type (in Value %)
- 8.2. By End-User (in Value %)
- 8.3. By Application (in Value %)
- 8.4. By Distribution Channel (in Value %)
- 8.5. By Pricing Strategy (in Value %)
- 8.6. By Region (in Value %)
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