Cryogenic Valve Market Size, Share & COVID-19 Impact Analysis, By Type (Gate Valve, Globe Valve, Ball Valve, Butterfly Valve, and Others), By Cryogen Type (Nitrogen, Oxygen, Argon, Liquefied Natural Gas (LNG), Hydrogen, Helium, and Others), By End-user (Oil & Gas, Metallurgy, Power Generation, Chemical & Petrochemical, Marine, Others), and Regional Forecast, 2022-2029

The global cryogenic valve market size was valued at USD 3.65 billion in 2021. The market is projected to grow from USD 3.88 billion in 2022 to USD 7.15 billion by 2029, exhibiting a CAGR of 9.1% during the forecast period. The global COVID-19 pandemic has been unprecedented and staggering, with cryogenic valve experiencing lower-than-anticipated demand across all regions compared to pre-pandemic levels. Based on our analysis, the global market exhibited a decline of -4.1% in 2020 as compared to 2019.

Cryogenic valves are used in extreme cold applications. These valves are mostly used by companies that deal in Compressed Natural Gas (CNG) and Liquefied Natural Gas (LNG). Cryogenic valves are used at temperatures of -150⁰C to -196⁰C. The major factors driving the market include growing trade for LNG and rising demand for industrial gases.

Furthermore, the development in the exploration and production activities of natural gas has led to the growing demand for liquefied natural gas. Revolution in various fields, such as automobile, pharmaceutical, power generation, and manufacturing, has led to huge industrialization and urbanization, making liquefied natural gas a vital development element. These valves are used to store and transport the cryogenic gases at high pressure such as 750 PSI and a low-temperature range of -196⁰C.

COVID-19 IMPACT

Significant Decline in Cryogenic Valve Market during COVID-19 Pandemic Owing to Shutdown of Manufacturing Plants

The emergence of COVID-19 has impeded the demand for cryogenic valves due to the shutdown of manufacturing plants in major industries. Key players operating in the market recorded a significant decline in their revenues due to the COVID-19 pandemic. As the cryogenic valve market is majorly dependent on the natural gas industry, the biggest collapse faced by the oil and gas industry in a long time has also impacted the investment in the product. The excess supply and low demand for natural gas forced leading gas companies to temporarily reduce production activities, which ultimately led to a fluctuation in natural gas prices.

LATEST TRENDS

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Increasing Investments across Nuclear and Particle Physics Research to Augment Demand

Various countries are readily focused on constructing advanced facilities to fortify the position of their national physics research infrastructure. These valves are widely installed across refrigeration systems and superconducting magnets to maintain extremely low temperatures. The growing need to refurbish the existing substructure for performing high-energy particle collision experiments with multi tera electron volts (TeV) is projected to further complement the industry outlook. These collisions are anticipated to unveil new states of matter and expand the understanding of the basic building blocks of the universe. Furthermore, as the energy for particle and nuclear research analysis increases, the total required cryogenic refrigeration capacity is set to grow significantly. In June 2020, the European Organization for Nuclear Research (CERN) announced an investment of about USD 23 billion to construct a new super-collider facility known as Future Circular Collider (FCC). The new 100-kilometer unit is projected to be completed in two stages, with the initial stage for the collision of positrons and electrons to expand the production of Higgs bosons to gather insights regarding the particles. Additionally, the subsequent stage is set to construct a 100 TeV proton-proton collider for further research and is projected to commence the building of the tunnel by 2038.

Favorable Policies Coupled with Huge Targets to Setup New Hydrogen Fueling Stations will Support the Market

Various governments have introduced short and long-term targets to substantially develop hydrogen-powered transportation and power generation alternatives to provide new potential to the industry outlook. The national objectives are further aimed at reducing the overall carbon footprint and the dependency on fossil fuels. Consequently, industry players, organizations, and regional governments have joined forces to put forward notable organizations or ventures to propel the construction of Hydrogen Refueling Stations (HRS). For instance, in February 2020, the Air Liquide Japan and JHyM (Japan H2 Mobility) launched a new hydrogen station center in Nagoya city having a capacity of more than 300 NM3/hours and 820 bar pressure.

DRIVING FACTORS

Growing Automation in Industries and Rising Demand for Valves will Benefit the Market

The demand for automation is growing as manufacturers are focusing on increasing their operational performance, which is driving the market for automation valves and outperforming traditional valves. Furthermore, the demand for high-tech valves is growing, high-tech valves require specialized casting, and working and finishing techniques will continue to grow. In addition, various countries are focusing on constructing advanced facilities to strengthen the position of their national physics research infrastructure, thereby propelling the global cryogenic valve market growth. These valves are widely installed across refrigeration systems and superconducting magnets to maintain extremely low temperatures.

Growing Demand for Industrial Gases Coupled with Expanding Applications Boosts the Adoption

Rapidly increasing demand for various cryogenic fluids, such as nitrogen, oxygen, hydrogen, argon, helium, and many others for different industrial operations, primarily among the emerging economies, will boost the adoption of cryogenic valves across the globe. Furthermore, a growing focus on expanding the usage of liquefied gases in numerous industry verticals is also likely to encourage industry growth positively. The escalating usage potential is leading to a significant increase in the deployment of customized on-site liquefaction plants to produce, transfer, and store cryogenic effectively. For instance, in March 2020, Japan-based Kawasaki Heavy Industries declared to equip a marine vessel with a liquefied hydrogen storage tank for low emission propulsion. The company further stated to perform other outfitting operations such as piping installations by October 2020. The plan is in line with its hydrogen liquefaction, transfer, storage, and the offloading terminal project called Hydrogen Energy Supply Chain (HESC) project.

RESTRAINING FACTORS

Operational Design and Performance Parameters to Restrain Market Growth

Apart from a wide range of beneficial features of these products, susceptibilities toward operational problems, including leakages, replacement, and design of various valve parts may obstruct the market pace. The products are widely accepted in the extended bonnet or extended stem designs, which need significant space for installation leading to the undesirable outlay of time and space. Additionally, the orientations are considerably vulnerable to deformation or bending due to length miscalculations or actuator movements. These valves are designed for handling fluids at extremely low temperatures from about – 50 °C to around absolute zero. The transition of operating fluid temperature may lead to warping bends the sealing surface leading to internal leakages. Furthermore, flanged and gasket connections may also result in external leakages between the valve and pipelines. Thus, it is more feasible to change the flanged type to a welded connection to mitigate leakages at low temperatures.

SEGMENTATION

By Type Analysis

Gate Valves Dominated the Market Owing to their Significant Use in Start or Stop Flow Operations

Based on type, the global market is segmented into gate valve, globe valve, ball valve, butterfly valve, and others. The gate valve segment dominated the global market owing to its preliminary design for starting or stopping the flow; furthermore, it can also be used with slurries or viscous liquids. The ball valves also accounted for a significant share, owing to their high flow rate and easy operations when compared to other valve types. 

By Cryogen Type Analysis

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Growing Demand for LNG from Industrial Sector Will Propel the Market Growth

Based on cryogen type, the global market is fragmented into nitrogen, oxygen, argon, liquefied natural gas, hydrogen, helium, and others. The rising demand for LNG from gas-based power plants, gas-powered automobiles, and stringent regulations for emissions propels the demand in the coming years. Furthermore, hydrogen gas is also growing owing to rising investments by various public and private establishments to enhance hydrogen-based mobility in the region. Additionally, the presence of numerous large-scale research facilities with innovative infrastructure, along with supporting funding by the government to help scientists set up the necessary equipment, is likely to boost the helium segment.

By End-user Analysis

Growing Demand for LNG in Oil & Gas Sector Will Create a Huge Opportunity for Valves

Based on end-user, the global market is distributed into oil & gas, metallurgy, power generation, chemical & petrochemical, marine, and others. The oil & gas segment dominated the market owing to increasing demand for LNG from the oil & gas industry for transportation, fueling, storage, and processing application. The increasing investment in shipping and storing of LNG from developing economies and the emerging need for appropriate infrastructure for transportation of LNG help leverage the demand for the product in the coming years. The market for the chemical & petrochemical segment holds the second largest market size, owing to the growing application of LNG in oil & gas, chemical & petrochemical, and the healthcare industry for industrial applications.

REGIONAL INSIGHTS

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The market has been evaluated across major regions, including North America, Asia Pacific, Europe, Latin America, and the Middle East & Africa.

The global cryogenic valve market is dominated by Asia Pacific. Increasing energy demand from gas-based power plants, owing to depleting energy resources and stringent regulations for emissions fuels the demand for the valves in the region. China has been the undisputed leader in the region in both owing to enormous hydrogen infrastructure development strategies, setup of advanced air separation plants, and continuous construction of new research facilities. For example, in September 2019, the construction of a new support facility called China Spallation Neutron Source (CSNS) to serve the Southern Advanced Photon Source (SAPS) R&D facility in the same year. The nation’s maiden pulsed spallation neutron source to back the high-energy physics research project is set to witness total funding of about USD 83 million with a projected completion date of 2021.

North America also contributes a significant cryogenic valve market share, owing to increasing demand for LNG based power plants. The gas demand is projected to increase due to growth in the industrial and power sectors, as 70 GW of new gas-based power plants were proposed in 2020. Hence, an increase in demand for valves will grow owing to growth in the power industry. Increasing investments in the oil & gas industry, which include gas production & exports are the major revenue-driven sectors propelling the need for cryogenic valves & equipment in the forecast period.

Europe witnessed a significant expansion in long-term nuclear and fusion research programs in Physics over the years. The trend is set to follow during the forecast timeframe owing to the construction of new particle accelerator projects in the region.

Additionally, significant research organizations, such as CERN, GSI, ITER Organization, and many others, in the region have positively propelled the product adoption across Europe.

The availability of large spaces to set up large research and observation facilities without harming the ecological balance of nature is projected to complement the Middle East & Africa valve industry. For instance, a collection of eight African nations, including Kenya, Mozambique, Ghana, Mauritius, South Africa, Namibia, Madagascar, Zambia, and Botswana were selected to set up various hosting components of the Square Kilometer Array (SKA) project owing to the desert places with required radio noiseless backdrop. Under the project, South Africa is currently accommodating the MeerKAT telescope array and KAT7 telescope array equipped with 200 dishes and 64 dishes systems, respectively.

Latin America holds potential growth opportunities owing to rising demand to mitigate the carbon emissions from various sources coupled with investments from numerous public and private establishments striving to promote carbon negative technologies, further propelling the regional industry size.

KEY INDUSTRY PLAYERS

Emerson Electric Company, Bray International, and Neles Corporation are the Leading Players in the Market

Some of the major companies that are present in the market are Baker Hughes, Emerson Electric CO., Flowserve Corp., Neles Corp, KITZ Corporation, Cryostar GmbH, Herose GmbH, Schlumberger, Cryocomp, Bray International, ACME Cryogenics, and Phpk Technologies.

LIST OF KEY COMPANIES PROFILED:

• Schlumberger (U.S.)


• Flowserve Corp. (U.S.)


• Baker Hughes (U.S.)


• Emerson Electric Co. (U.S.)


• Neles Corp. (Finland)


• KITZ Corporation (Japan)


• Cryostar GmbH (France)


• Bray International (U.S.)


• HEROSE GmbH (Germany)


• Cryocomp (U.S.)


• Velan Inc (Canada)


• Phpk Technologies (U.S.)


• ACME Cryogenics (U.S.)

KEY INDUSTRY DEVELOPMENTS:

• October 2021 –Flowserve Corporation, one of the largest suppliers of industrial and environmental machinery, launched the Valtek Multi Z Anti cavitation control valve to eliminate cavitation in high-pressure drop conditions.


• March 2020 – Switzerland-based valve manufacturer Weka AG confirmed to ink an agreement with Toshniwal Hyvac Pvt. Ltd. situated in India. The company targets to license its product manufacturing in the country and expand sales & marketing locally in the region. Weka’s sales partnership will include the production and supply of different products, such as special valves, cryo components, and level measurement technology, that were achieved after a two-year search and evaluation phase with the company.


• June 2020 – Flowserve Corporation introduced a new range of butterfly control valves called Valtek Valdisk. The advanced product offering is fabricated to deliver low-pressure loss, high capacity, high-performance throttling, and lower maintenance costs. It is designed to operate in a temperature ranging between -268°C to 427°C and can be deployed in various configurations & applications, including air separation, Pressure Swing Adsorption (PSA), oil & gas, chemical refining, and many more.


• November 2019 – LESER GmbH announced plans to develop a new facility to enable the company to perform cryogenic testing of safety valves under actual operational conditions. Its new test concept includes a liquid nitrogen-filled 1,000 liters’ cryogenic cylinder with a testing temperature of -196°C. The cryogenic safety valves are examined for three consecutive opening and closing cycles with a test pressure of 16 bar to check the integrity of the products.


• April 2019 – RAYS Flow Control, Inc. declared to sign an industry-university-research partnership agreement with the Hefei Institutes of Physical Science under the Chinese Academy of Sciences (CAS). The key focus areas of the collaboration include R&D of new cryogenic valve materials, research on associated science and technology projects, and development & functioning of valve technology.

REPORT COVERAGE

An Infographic Representation of Cryogenic Valve Market

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The global cryogenic valves market research report highlights leading regions worldwide to offer a better understanding of the user. Furthermore, the report provides insights into the latest market trends and analyzes technologies deployed rapidly at a global level. It further highlights some growth-stimulating factors and restraints, helping the reader gain in-depth knowledge about the industry.

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