Asia-Pacific Air Separation Unit Market – Overview, Size, Share, Growth, Trends and Forecasts (2017 - 2022)
The Asia-Pacific air separation unit market, estimated to be USD XX million in 2016, is projected to reach USD XX million by 2022, registering a CAGR of XX% during 2017-2022 (the forecast period). The growing demand for industrial & specialty gases in oil & gas industry and increased purity level of gases, owing to technological advancements in distillation and filtration capabilities, are some of the factors driving the air separation unit market.
A typical air separation unit/plant divides the atmospheric air into the three pure gaseous components of nitrogen (N2), oxygen (O2) and argon (Ar). Moreover, the plant separates other rare inert gases (krypton, xenon, helium, neon) through cryogenic rectification of air.
The air separation techniques used, around the world, are constantly being re-engineered. The ongoing optimization efforts are aimed at raising the overall operating efficiencies and increasing the production capacity that is possible with a single air separation unit, to reduce the energy consumption and high capital costs associated the oxygen and nitrogen production. The active R&D activities are being carried out to increase distillation and filtration capabilities.
There are two types of plants involved in the process of separating air into various components, i.e. cryogenic air separation units and non-cryogenic air separation units. The cryogenic air separation processes are used in medium to large scale plants to produce nitrogen, oxygen, argon and other atmospheric gases in liquid or gaseous form. It is the most typical and largest process segment of air separation unit market. The primary factors for the selection of cryogenic process, over other process technology, are low capital and operating expenditure, ease of operation, low maintenance cost, plant and component reliability, process control features and relatively higher capacity.
The Asia-Pacific air separation market, based on the type of gases, is segmented into nitrogen, oxygen, argon and others. Nitrogen used to improve oil & gas recovery. One of the drivers for nitrogen demand is the expansion of planned LNG terminals in the region. Nitrogen has heavy usage at every stage of LNG supply chain, which involves purging, chilling and liquefaction of natural gas; and inerting the LNG during shipboard transportation. The increased demand for nitrogen in the food & beverage industry, for cooling, chilling, freezing and preserving purposes in a wide variety of applications, is expected to be one of the major factors driving the growth of the air separation unit market in the region. The largest oxygen end-user industry is the steel industry, which consumes approximately half of the oxygen output. With such high usage, demand for steel is clearly the primary driver for the growth of air separation unit market. Moreover, developments in the Oxyfuel Combustion process are expected to drive demand for tonnage oxygen, during 2017-2022 (the forecast period). The efficiency of combustion processes is essential all through the production of iron & steel, oil & gas, non-ferrous metals, brick & concrete and glass.
The Asia-Pacific air separation unit market, based on the end-users, is divided into Oil & Gas Industry, Steel Industry, Chemical Industry, Food & Beverage Industry, Health Care Industry and Other. Among all, the steel industry is one of the biggest contributors to the growth of the air separation unit market. Asia-Pacific is witnessing an infrastructural development, which, in turn, is boosting the demand for steel. Moreover, these industries use a large amount of oxygen for primary steel making processes, thus, driving the market for air separation unit. China is dominating the world chemical market sales, with a three-time share increase from 2005 to till date. The growth in the chemical industry is driving the demand for industrial gases, which is further, accelerating the growth of air separation unit market. The increasing consumption of chemicals & fertilizers, expansion of petrochemical complexes and rising use of enhanced oil recovery techniques in oilfields are also anticipated to boost demand for industrial gases in the region, during 2017-2022 (the forecast period).
The market, based on the geographic area, is segmented into Japan, China and India. China accounted for the largest share of the Asia-Pacific air separation unit market, owing to the growing demand from industries such as chemical & petrochemical, metal, refinery, electronics & semiconductors, automobile & metal fabrication and food & beverages. Increasing steel production in China is also expected to drive the demand for air separation units in the country, during 2017-2022 (the forecast period). Growing demand from various end-user industries such as petrochemicals and metallurgy, coupled with the implementation of supportive government policies to support manufacturing sector, are expected to fuel the growth in air separation unit market in India. With the new iron and steel plants getting operational over the forecast period, the demand for air separation units is projected to increase at a robust pace.
The market for air separation unit is expanding at a rapid pace, however, it is facing some obstacles. Some of the factors that hinder the growth of air separation unit market are high energy consumption, high capital costs, stringent regulatory requirements on gases used in the food & beverage industry, among others.
The Key Players Active in the Asia-Pacific Air Separation Unit Market are:
Air Liquide S.A. Air Products and Chemicals, Inc. Ellenbarrie Industrial Gases Ltd. Inox Air Products Iwatani Corporation Linde AG Messer Group GmbH Praxair, Inc. Shanghai Chinllenge Gases Co., Ltd. Sichuan Air Separation Group Taiyo Nippon Sanso Corporation Yingde Gases Group Company Limited Key Deliverables in the Study
Market overview - market analysis and identification of key drivers, restraints and opportunities Major trends and economic outlook Value chain analysis Porter’s five force analysis Comprehensive summary on the industry sectors and regions poised for the fastest growth Asia-Pacific air separation unit market analysis by process type, gases type, country and industries served Future outlook of the market Extensively researched competitive landscape section with profiles of major companies