United States Industrial Gases Market

United States Industrial Gases Market Size:

The United States industrial gases market size reached USD 29.7 Billion in 2024. Looking forward, IMARC Group expects the market to reach USD 40.8 Billion by 2033, exhibiting a growth rate (CAGR) of 3.42% during 2025-2033. The market is experiencing significant growth driven by rising production rates in diverse industries, the implementation of stringent standards regarding the impact of production on the environment by utilizing cleaner industrial gases, and ongoing advancements of technologies in manufacturing, storage, and delivery.

United States Industrial Gases Market Analysis:

• Major Market Drivers: The United States industrial gases market has the key drivers among which are technology, advancement in health care requirements, high standards on environmental controls, and growing manufacturing industry. These aspects increase the consumption rate of industrial gases, improving the productivity of various manufacturing processes and propagating the use of superior and eco-friendly gases.
• Key Market Trends: Some of the emerging trends in the U. S. industrial gases market include on-site gas generation, sustainability, technological developments in gas application particularly in high- technology industries, and digitalization of gas supply systems. These trends are, in fact, changing the market characteristics or creating new characteristics of it, stimulating innovation.
• Competitive Landscape: In the U.S. industrial gases market, key players are prioritizing sustainability and diversification efforts. Significant investments are being made to reduce emissions and enhance operational efficiency. For instance, there is a focus on developing net-zero energy facilities and advancing carbon capture and storage technologies.
• Challenges and Opportunities: The primary barriers within the US industrial gases market are regulations, and logistical matters, high production costs. But, on the other hand, there are potential opportunities that are in the form of technological advancement, more application of the product in new industries, and increasing demand for green gases for market expansion.

United States Industrial Gases Market Trends:

Ongoing Technological Advancements

The advancements in technology in producing, storing, and distributing industrial gases are fueling the market growth. Several advancements in cryogenic and non-cryogenic air separation technologies increase operating efficiency, decrease separation costs, and improve the quality of the resultant gases. For instance, progress in hydrogen generation by electrolysis and sequestration ability technology substantially affects the market. The United States Energy Information Administration (EIA) reported that those are vital in harnessing change in the energy sector. Advancements in and those that underpin the production of these specialized products support the growing requirement for specialty gases used in industries such as semiconductors and renewable energy.

Rapid Growth in the Healthcare Sector

The industrial gases market is significantly driven by the increasing requisites of the healthcare industry to a larger extent for medical gases such as oxygen, nitrogen, and nitrous oxide. According to the U. S. Census Bureau, the proportion of the aging population is expected to rise to 21 % by 2030, and such a population will require medical procedures and surgeries pulling the demand for medical gases forward. Further, the development of healthcare centers, improved techniques in the treatment of disorders, and progressively focused treatment of the patients’ needs help in creating this demand. The COVID-19 pandemic has stressed the importance of medical gas management in healthcare even more, which proves that it is essential to have a robust and efficient gas supply system.

Stringent Environmental Regulations

Environmental standards are a key factor in the U. S. industrial gases market as the industry must adhere to very high standards, especially in developed countries. The U. S. Environmental Protection Agency (EPA) has made policies that would encourage the use of lean industrial gases by cutting down emissions of greenhouse gases. Rules such as ones governing hydrofluorocarbons (HFCs) for instance propose the use of environmentally friendly gases such as CO2 and NH3 used in refrigeration and air conditioning. Along with this, processes to limit industrial emissions and improve energy intensity stimulate the use of gases applied in CCS technologies. These regulations integrate with the overarching national energy and climate change plan to mitigate change and enhance air quality.

United States Industrial Gases Market Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the market, along with forecasts at the country and regional levels for 2025-2033. Our report has categorized the market based on type, application, and supply mode.

Breakup by Type:

• Nitrogen
• Oxygen
• Carbon Dioxide
• Argon
• Hydrogen
• Others
   

Nitrogen accounts for the majority of the market share

The report has provided a detailed breakup and analysis of the market based on the type. This includes nitrogen, oxygen, carbon dioxide, argon, hydrogen, and others. According to the report, nitrogen represented the largest segment.

Nitrogen dominates the United States industrial gases market requirements due to its applicability in numerous industries. According to the U.S. Geological Survey (USGS), nitrogen is primarily used in the production of ammonia, which is vital for fertilizers in agriculture, with the U.S. producing 13.7 million metric tons of ammonia in 2021​. The United States industrial gases market forecast notes that nitrogen will continuously experience growth in the future due to extensive application in manufacturing and food processing industries such as inserting, blanketing, and preservation of foodstuffs. Moreover, an increased number of applications demands in the oil and gas sector such as EOR and pipeline purging of nitrogen provide another robust pillar to the nitrogen market. EIA coincides with the above applications stating that their demand and production contribute to the consistently changing nitrogen demand and production, which cements its position in the industrial gases market​.

Breakup by Application:

• Manufacturing
• Metallurgy
• Energy
• Chemicals
• Healthcare
• Others
   

Manufacturing holds the largest share of the industry

A detailed breakup and analysis of the market based on the application have also been provided in the report. This includes manufacturing, metallurgy, energy, chemicals, healthcare, and others. According to the report, manufacturing accounted for the largest market share.

Manufacturing industries remain the dominant consumer of industrial gases in the United States. This is mainly because oxygen, nitrogen, and argon, which are the most popular industrial gases, are used in many industries such as manufacturing and fabrication of metals, chemicals, and electronics. According to the National Institute of Standards and Technology (NIST), the manufacturing sector contributes significantly to the U.S. economy, with over 11.4 million jobs and substantial energy consumption​ (NIST)​​. The expectation of improved efficiency and next-generation material use in the sector has ensured the relevance of industrial gases. Moreover, the Department of Energy emphasized the decarbonization of manufacturing, in which the utilization of industrial gases enhances effective and efficient processes​ (Energy. gov)​. These constant requirements for production and carbon reduction aim to further guarantee that the sector will continue to be a crucial player in the industrial gases industry.

Breakup by Supply Mode:

• Packaged
• Bulk
• On-Site
   

Packaged represents the leading market segment

The report has provided a detailed breakup and analysis of the market based on the supply mode. This includes packaged, bulk, and on-site. According to the report, packaged represented the largest segment.

Packaged dominates the US industrial gases market through its extensive infrastructure, comprehensive product range, and strategic market positioning. According to recent data from the US Bureau of Economic Analysis, Packaged holds a significant 28% market share, making it a key player in the industry. The company's success is bolstered by its robust distribution network, which ensures timely delivery of compressed and specialty gases to diverse sectors including manufacturing, healthcare, and electronics. Packaged emphasis on innovation and stringent quality standards further enhances its competitive edge, allowing it to meet the precise needs of its customers reliably. By continuously investing in technology and customer service, packaged maintains its leadership position and also sets benchmarks for excellence in the industrial gases sector nationwide.

Breakup by Region:

• Northeast
• Midwest
• South
• West
   

The report has also provided a comprehensive analysis of all the major markets in the country, which include Northeast, Midwest, South, and West.

In the Northeast, the manufacturing sector is well-developed with strong additional bases in the pharmaceuticals and research segments and, therefore, the demand for industrial gases is due to the manufacturing industry. This region that specializes in large industries and farming uses more gases for construction, food processing, and power. In the South, intense industrialization particularly in Texas and Florida means that there is sufficient demand from manufacturing segments for things such as petrochemicals, autos, and aerospace. However, in this regard, the West is privileged to possess various technology-savvy industries out of California and relevant semiconductor manufacturing states such as Arizona.

Competitive Landscape:

• The market research report has also provided a comprehensive analysis of the competitive landscape in the market. Detailed profiles of all major companies have been provided. 
• Companies in the U.S. industrial gases market are concentrating on business sustainability and diversification. They are also making a lot of efforts to cut their emissions and improve the efficiency of their operations. For instance, Air Products has planned to spend more than $4 billion on a new net-zero hydrogen energy processing facility in Texas, where low-carbon hydrogen will be generated in the industrial and transportation segments. Along with this, Linde is enhancing the development of carbon capture and storage techniques to reach emission decrease goals. As per the US Department of Energy the key role of industrial decarbonization, such as low carbon fuels, advanced reactors, and other avenues of industrial energy efficiency for achieving the net zero emissions targets. These companies including the companies in New York State are supported by the DOE where they provided funding for applied research and development projects.

United States Industrial Gases Market News:

• In July 2023, Biden administration targeted the use of climate-warming industrial gases through stringent regulations and promoting the adoption of sustainable technologies, aiming to curb emissions and meet climate goals. This includes reducing hydrofluorocarbons (HFCs) and enhancing energy efficiency.
• In May 2024, Linde doubled the capacity at its La Porte facility to meet the rising demand for industrial gases in the U.S. Gulf Coast. This expansion supports increased supply for manufacturing, healthcare, and energy sectors​.

United States Industrial Gases Market Report Scope:

Key Benefits for Stakeholders:

• IMARC’s industry report offers a comprehensive quantitative analysis of various market segments, historical and current market trends, market forecasts, and dynamics of the United States industrial gases market from 2019-2033.
• The research report provides the latest information on the market drivers, challenges, and opportunities in the United States industrial gases market.
• Porter's five forces analysis assists stakeholders in assessing the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. It helps stakeholders to analyze the level of competition within the United States industrial gases industry and its attractiveness.
• The competitive landscape allows stakeholders to understand their competitive environment and provides insight into the current positions of key players in the market.