China’s liquefied air separation gas market size is nearly 20 billion yuan

Liquefied air separation gas refers to a company that uses its own air separation equipment to produce liquid gas, and delivers it to customers through dedicated tankers or packaging in Dewar bottles, and then stores it in storage tanks at customers or directly for their use. Liquefied air separation gases mainly include oxygen, nitrogen, argon, etc.

Liquefied oxygen, liquefied nitrogen and liquefied argon have specific physical and chemical properties. They are important basic raw materials for modern industry and are widely used in various fields of the national economy. Among them, metallurgy and chemical industry are the most important downstream users of liquefied air separation gas. The rapid development of new energy, semiconductor, electronic information, biomedicine, new materials and other industries has also greatly expanded the application fields of air separation gas, and the market space is very broad. According to the “2023-2027 Liquefied Air Separation Gas Industry In-depth Market Research and Investment Strategy Suggestions Report released by the Industrial Research Center, In 2021, China’s liquefied air separation gas market size will reach about 20 billion yuan.

The transportation radius of liquefied air separation gas is usually about 200 kilometers. Due to the limitation of transportation radius, the industry shows very strong regional characteristics, that is, the sales scope of liquefied air separation gas is concentrated within the surrounding 200 kilometers. From a nationwide perspective, there are a large number of liquefied air separation gas companies in various regions across the country. The companies mainly serve companies within 200 kilometers of the surrounding area. The market concentration of the entire industry in the country is low.

Industry analysts said that my country’s liquefied air separation gas industry has developed relatively late, and there is still a large gap compared with Western developed countries. The gap and low maturity are mainly reflected in the following aspects:

First, due to factors such as backward equipment, a relative lack of high-end professionals, and backward basic technology levels, there is a large gap between China’s liquefied air separation gas production technology and foreign countries. For example, my country has fully realized the localization of static equipment for medium and large air separation projects, but static equipment for large and extra-large air separation projects still mainly relies on imports. In terms of dynamic equipment, due to deficiencies in domestic equipment performance and operational stability, domestic air separation plants are still mainly imported.

Second, because the gas is flammable, explosive, and prone to suffocation, the Chinese government has regulated liquefied air separation gas as a hazardous chemical. There are strict regulations on its production, filling, storage, transportation, and operation, and there are obvious problems. Barriers to entry have resulted in the current small number of large-scale enterprises in the domestic liquefied air separation gas industry.