April 23, 2024

Global Cryogenic Tanks Market is projected to witness a CAGR of 5% growth from 2023 to 2030

Cryogenic tanks, also known as cryotanks, are specialized tanks used for storing cryogenic liquids and gases at very low temperatures. The most common cryogenic liquids stored include liquid nitrogen, liquid hydrogen, liquid helium, and liquefied natural gas (LNG). Cryogenic tanks offer protection by isolating stored cryogenic liquids from ambient thermal radiation and conduction. They have multiple layers of insulation, whether in the form of vacuum insulation panels or multilayer insulation blankets. Cryogenic tanks find widespread applications across industries such as semiconductor processing, manufacturing, healthcare, metallurgy, and energy & power.

The global cryogenic tanks market is estimated to be valued at US$ 6.51 Bn in 2024 and is expected to exhibit a CAGR of 5.0% over the forecast period from 2023 to 2030. Growing end-use industries and increasing demand for liquefied natural gas are fueling the demand for cryogenic tanks. Additionally, rising healthcare expenditure and focus on regenerative medicine are boosting the adoption of cryotanks for storing biological samples and cells.

Key Takeaways

Key players operating in the cryogenic tanks market are ArcelorMittal, China Baowu Group, Nippon Steel Corporation, POSCO, Shagang Group, Ansteel Group, Glencore, Sumitomo Metal Mining Company, Linde, INOX India Pvt., Cryofab, FIBA Technologies, Air Products and Chemicals, Inc., M1 Engineering, Chart Industries, Wessington Cryogenics, Isisan, Lapesa, Auguste Cryogenics, and Hoover Ferguson Group, Inc.

The growing demand from end-use industries such as energy & power, healthcare, metallurgy, and semiconductor processing is fueling the cryogenic tanks market. In the power sector, the adoption of LNG is increasing rapidly due to its cost-effectiveness and eco-friendly attributes, thereby driving the demand for cryogenic storage tanks.

Major players are expanding their geographical presence by strengthening distribution networks across Asia Pacific, Middle East & Africa, and South America. For instance, Chart Industries launched nine new liquefaction trains in China in 2021 to meet the increasing demand for LNG. LNGTank by Isisan, a leading Turkish manufacturer, also expanded its operations to Mexico and the US.

Market Key Trends

One major trend gaining traction in the cryogenic tanks market is the use of advanced material and vacuum technologies for improved thermal performance. Next-generation cryotanks incorporate multilayer insulation (MLI) blankets, vacuum panels, superinsulation, and phase change materials to achieve ultra-low heat influx. This enhances tank efficiency, reduces the risk of boil-off losses, and allows for smaller storage sizes.

Additionally, sustainable liquefaction and hybrid energy solutions are emerging as key areas of focus. Major players are investing in the development of innovative cryogenic storage and transport offerings to facilitate the adoption of cleaner fuels. For example, Air Products developed Cryomobil, a mobile LNG refueling concept for long-haul trucks. Cryogenic tank manufacturers are well-positioned to capitalize on growing clean energy demand.

Porter’s Analysis

  • Threat of new entrants: Low start-up costs to enter the cryogenic tank market, however established players have strong brand recognition and economies of scale.
  • Bargaining power of buyers: Many buyers in industries such as healthcare and metallurgy results in moderate buyer power. Buyers can negotiate on price and demand high quality products.
  • Bargaining power of suppliers: Few specialized suppliers for cryogenic materials, valves and equipment results in high supplier power. Suppliers can influence prices.
  • Threat of new substitutes: No close substitutes exist for cryogenic storage owing to unique extreme low temperature requirements.
  • Competitive rivalry: Intense competition amongst major players to gain market share through product innovation, partnerships and expansion into new regions.

Geographical Regions

North America accounts for the largest share of the cryogenic tanks market in terms of value due to wide applications in healthcare, metallurgy and energy industries. Rising LNG trade and demand for medical gases supports market growth.

Asia Pacific is poised to grow at the fastest pace till 2030owing to increasing industrialization, rapid infrastructure development and government initiatives to upgrade gas pipeline networks in China, India and Southeast Asia. Expanding healthcare facilities and metal manufacturing in the region drives the need for cryogenic storage.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it