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South East Asia Industrial Gases Market Size to Grow at a CAGR of 5.0% During the Forecast Period 2021-2026

(, October 20, 2021 ) The South East Asia Industrial Gases market value was $3.1 billion in 2020 and is expected to grow at a CAGR of 5.0% for the period 2021-2026. Growth of the SEA Industrial Gases market can be attributed to improving economies of SEA countries’ economies, growing energy demand, and healthcare needs. The growing need for alternate sources of energy sources leads to investments in gasification plants that require high amount of gases which is set to drive industrial gases market. Gases used for various industrial and manufacturing processes are known as industrial gases. Most of these gases are manufactured relatively in large quantities and are found in all three states of matter that is solid, liquid and gas. These gases are supplied to customers in the form of liquid or gas via cryogenic cylinders, gas cylinders, or glass bottles/ampules and are used in a variety of industries according to their physical and chemical properties. Industrial gases such as liquid nitrogen, carbon dioxide, oxygen and argon welding gas have majority of applications in metal, polymer as well as food industries.

South East Asia Industrial Gases Market Segment Analysis – By End User Industry

Industrial gases in food & beverage industry of South East Asia is projected to grow at faster rate with a CAGR of 7.0% during 2020-2026. Increasing food demand and less productivity of soil has led to more emphasis on food preservation. In Food & Beverage industry, industrial gases are used to chill, grind, and package variety of food products including bakery and diary items, beverages, fish and sea food, fruits and vegetables, meat and poultry, prepared meals and others. Nitrogen plays a crucial role in this industry as it acts as cryogenic agent in cooling, chilling, and food freezing. It also helps in reducing spoilage of food, discoloration and off flavors, gives strength to retail packaging. Growing consumption of packaged foods and increasing consumer demand for packaged food of better quality is driving the SEA industrial gases market in food and beverage industry.

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South East Asia Industrial Gases Market Segment Analysis - By Type of Gas

The type of gases used are Argon, Hydrogen, Oxygen, Nitrogen, Carbon Dioxide, Helium, specialty gases, cutting and welding gases, gas mixtures and so on. In MAP (modified atmosphere packaging), oxygen is replaced by nitrogen which increases the shelf life of food or drug products. Also, carbon dioxide is witnessing high growth in natural refrigerants during the forecast period. Hydrogen gas is considered a potential replacement to fossil fuel in automotive sectors. Despite this, oxygen dominates the market share at 28% in 2020 and is project to continue to account for significant share throughout the forecast period.

South East Asia Industrial Gases Market Segment Analysis – By Geography

Indonesia is poised to emerge as the largest country in South East Asia for the Industrial Gases Market with a revenue share of 20.5% in 2020. However Construction of new gas plants in Thailand is driving the Industrial gases market in South East Aisa. In 2019, Bangkok Industrial Gas (BIG), a joint venture between Thai investors and Air products and Chemicals Inc, had planned to develop a second hydrogen (H2) plant in Map Ta Phut, Rayong, in line with the Thailand government to encourage the use of Hydrogen as an alternative energy to fossil fuels. This set up of gas plants is poised to drive the industrial gases market in Thailand.

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South East Asia Industrial Gases Market Drivers

High usage of industrial gases in end user industries such as medicine & pharmaceuticals, food & beverage, metal working industries

Industrial gases play a crucial role in the hospital applications. In healthcare facilities, the industrial gases are used for providing respiration, oxygenation and ventilation during anesthetics, Magnetic Resonance (MR) imaging, diagnostics, respiration tests and other applications. In Pharmaceutical industry and food and beverage industry, industrial gases are used in freezing and drying of valuable biologicals and food products. In metal working industries, industrial gases are used in welding process, metal reaction processes and other applications. High usage of industrial gases in these industries is set to drive the market.

Fast Growing Construction Sector

With the rise in industrial activities, the manufacturing units are increasing to produce different types of industrial gases to various application industries. This drives the market of Industrial gases in developing and developed countries. Fast growing Infrastructure and Construction activities in developing countries drives the market of Industrial gases like cutting and welding gases such as argon welding gas and oxy acetylene in metal working and welding applications in this sector. Not only gases, the companies are producing gas handling equipment for safe use of Industrial gases at required places.

South East Asia Industrial Gases Market Challenges

Global Warming and Safety Risks

Processing of industrial gases results in emission of greenhouse gases into the atmosphere which contributes to the global warming and ozone layer depletion. Compressed gases can be toxic, and flammable that can lead to hazardous conditions. The storage of industrial gases is a risky task. Emission of these gases due to gas leakages leads to fire accidents and high cost associated with the storage and transportation of industrial gases is a major barrier to the growth of the industrial gases market in SEA. Manufacturers have to maintain certain parameters such as temperature, pressure and quality of containers in order to ensure safe storage of industrial gases which is a major challenge for industrial gases market. In addition to these, the set of gas plants involves high capital investment which is set to restrict the players entering into this market.

South East Asia Industrial Gases Market Landscape

As of 2020, the market for SEA Industrial Gases remained moderately consolidated with the top five players accounting for 55% of the market share. Major players in the SEA Industrial Gases market include Linde-Praxair, BASF, Air Liquide, Messer Group, Taiyo Nippon Sanso Corporation, and others. Acquisitions, partnerships and expansions of the companies are key strategies adopted by players in the SEA Industrial Gases market.


In April, 2019, The Asian Development Bank (ADB) announced to provide funds of $305 million for Jawa-1 which is Indonesia’s largest gas turbine power plant. This project is expected to help Indonesia in avoiding 1.77 million tons of carbon dioxide emissions. This leads to the reducing emissions of industrial gases and helps in driving the market.

In March 2019, Air Liquide had planned to double its investment in Vietnam to improve its industrial gas supply capacity, serving the country’s demand for industrialization, modernization, clean energy development, and environmental protection. Growing investments and expanding the industrial gases business across South East Asian countries is set to drive the Industrial Gases market.

Key Takeaways

The SEA Industrial Gases market is a moderately consolidated market with top five players accounting for a market share of 55% in 2020.

The SEA Industrial Gases market have a fastest growth rate in food and beverage applications owing to high usage of industrial gases in food preservation and packaging.

Indonesia market holds major share in SEA Industrial Gases market owing to high investments in setup of gasification plants in the country.

Related Reports:

A. Industrial Gases for Plastic and Rubber Market

B. Industrial Coatings Market

For more Chemicals and Materials Market reports, please click here

About IndustryARC: IndustryARC primarily focuses on Cutting Edge Technologies and Newer Applications market research. Our Custom Research Services are designed to provide insights on the constant flux in the global supply-demand gap of markets. Our strong team of analysts enables us to meet the client research needs at a rapid speed, with a variety of options for your business. Any other custom requirements can be discussed with our team, drop an e-mail to to discuss more about our consulting services.


Venkat Reddy

(+1) 970-236-3677

Source: EmailWire.Com

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