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Acetylene Gas Market Overview
The Acetylene Gas market size is forecast to
reach US$8.2 billion by 2027, after growing
at a CAGR of 5.5% during 2022-2027. Acetylene is a highly flammable, colorless and lighter gas, widely used as fuel and a chemical building
block. Acetylene gas is unstable in pure form so usually maintain as a solution.
Acetylene is a compound of carbon and hydrogen known as hydrocarbon and is
also the simplest alkyne. Acetylene is mainly produced by the hydrocarbon pyrolysis method and is also
commercially generated by the chemical reaction between calcium carbide and water. Acetylene gas is used as an
intermediate for the manufacturing of chemicals and also in brazing, soldering,
cutting and welding functions in metal fabrication applications. It is also used
across various end-use industries, including chemical, automotive, aerospace and pharmaceutical. According to the China
Association of Automobile Manufacturers, the total production of a new
passenger car in April 2022 is around 996,000 units and commercial vehicles are
around 210,000 units. Therefore, the rise in the cars
and commercial vehicles production will eventually increase the demand for the acetylene
gas market during the forecast period. However, due to covid 19 pandemic, the
market has declined in 2020 owing to the shutdown of the manufacturing
facilities to reduce the spread of the virus. But the market is expected to
follow an increasing trend due to the growing consumption from the various
end-use sector. Therefore, the growth in the production of end-use industries
such as automotive, chemical and others will increase the demand for the acetylene
gas market during the forecast period.
Report Coverage
The “Acetylene Gas Market Report – Forecast (2022-2027)” by IndustryARC, covers an in-depth analysis of the following segments in the Acetylene Gas industry.
Key Takeaways
- The Asia-Pacific is expected to register a CAGR of 6.1% during the forecast period (2022-2027). The increasing demand for acetylene gas in the various end-use industry such as automotive, construction and chemicals among Asian countries such as China, India, Japan and South Korea is driving the acetylene gas industry.
- The rising application of acetylene gas in building materials, metallurgy and the electronic component industry will help to drive the demand for acetylene gas during the forecast period.
- Robust demand for acetylene gas in the transportation sector is expected to boost the demand for acetylene gas during the forecast period as most of the auto components are made of steel, aluminum alloy, copper alloy and others.
Acetylene Gas Market Segment Analysis – by Application
The metal fabrication segments accounted for around 10% of the Acetylene Gas market share in 2021 and are estimated to grow at a significant CAGR during the forecast period, owing to the increase in metal working activities across the world. Acetylene is used for welding, soldering, oxyacetylene cutting, heat treating and other metal fabrication. These metals find their application in various end-use industries such as automotive, building construction, industrial and others. According to the world steel organization, the amount of steel used in 1768 MT globally in 2019 and is distributed in the various end-use industry as construction 52%, automotive 12%, metal products 10%, mechanical equipment 16%, other transport 5%, appliances 3%, electric equipment 2%. Thus, the rise in the consumption of the metal with the growing end-use industries will eventually drive the acetylene gas market size during the forecast period.
Acetylene Gas Market Segment Analysis - by End-Use Industry
The transportation segment accounted for approximately 16% of the Acetylene Gas market share in 2021 and is estimated to grow at a significant CAGR during the forecast period. The rising production in the transportation sector is a growing demand for aluminum and in turn, is increasing demand for acetylene gas globally. Acetylene gas is used in various metal fabrication, the widest material used in automotive parts. According to the European Automobile Manufacturers’ Association (ACEA), the total number of new passenger cars registered in the European Union is around 684,506 units and commercial vehicles registered is around 125,034 units in April 2022. Therefore, the growing consumption of metal with growing production in the transportation sector will boost the acetylene gas market size during the forecast period.
Acetylene Gas Market Segment Analysis - by Geography
Asia-Pacific region held the largest portion of the Acetylene Gas market share in 2021 up to 45%, owing to the growing industrial, automotive, residential, commercial and large infrastructure projects, in developing countries like China, India, Indonesia and others. The major factor responsible for the growth of acetylene gas is a type of welding process that uses heat in combination with oxygen, to melt and weld the metal parts. The heat produced by the combustion of acetylene gas is enough to melt any metal. Also, the growing production and investment and expansion of the metal industry are boosting the demand for acetylene gas which is widely used in various end-use industries. According to India Brand Equity Foundation, the production of crude steel and finished steel stood a 98.39 MT and 92.82 MT as of January 2022 and crude steel production is expected to reach 112-114 MT (million tonnes), an increase of 8-9% YoY in the year 2022. In FY22, steel demand is expected to increase by 17% to 110 million tonnes, driven by rising construction activities. In October 2021, Tata Steel planned to set up more scrap-based facilities that will have a capacity of at least a billion tonnes by 2025 and JSW Steel invested US$ 19.9 million to build a steel plant in Jammu and Kashmir to boost manufacturing in the region. Therefore, the growing production of metals that are widely used in the various end-use sector such as transportation, electronics, building material and other sectors are boosting the demand for the acetylene gas market during the forecast period.
Acetylene Gas Market Drivers:
The growing chemical industry is driving the acetylene gas market
In the
chemical industry, Acetylene Gas is being used for a wide range of applications
such as chemical synthesis for the production of various chemicals such as acetic
acid, acetaldehyde and acetic anhydride. These products are widely used during
the manufacturing of plastics, pharmaceutical products and others. For
instance, the global production of plastic as per the European Union
Association is around 376 metric tons in 2021. Various products of plastics are
used for fabricating various household and other products. Moreover, acetylene
gas helps in applications for the synthesis of certain vitamins like Vitamin A
and E. Also, acetylene gas is used in the production of certain components of
perfumes, solvents, acetic acid, 1, 4-butanediol (BDO), several acetylenes,
alcohols and others. These products are widely used in various end-use
industries. Thus, the growing end-use industries will eventually drive the chemical
industry and in turn, will boost the acetylene gas market.
Rapid Industrialization across the globe is boosting the demand for acetylene gas
Acetylene Gas Market Challenges:
Growing Environment concerns and Human Hazards due to excessive exposure to acetylene gas
Environmental concern has always been a major
challenge in the global Acetylene Gas market. The harmful emission of particulate
matter during the manufacturing of acetylene gas is impacting the environment
but also living things. Particles in the air affect both the quality
of the air and visibility. The particulate matter affects the aesthetics and
utility of areas through visibility reduction and may affect buildings and
vegetation. Excessive exposure to acetylene gas causes skin & respiratory
tract irritation, asthma and dermatitis, which is restraining the acetylene
gas market during the forecast period.
Acetylene Gas Market Industry Outlook
Technology launches, acquisitions and R&D
activities are key strategies adopted by players in the acetylene gas market. Global Acetylene Gas market's top 10 companies include:
- BASF SE
- Airgas
- Gulf Cyro
- China Petroleum and Chemical Corporation
- Linde Group
- SINOPEC
- Praxair Technology Inc.
- Dow Chemical Company
- Toho Acetylene
- Sichuan Vinylon
Recent Developments
- In May 2022, Orion Engineered Carbons S.A. (Luxembourg) announced plans to build the only plant in the U.S. producing acetylene-based conductive additives, a critical link in the value chain for lithium-ion batteries, high-voltage cables and other products powering the global transition to electrification and renewable energy.
- As of February 2022, the verified engineering Oxy acetylene gas unit at its Feruka plant, Mutare is under construction and is expected to be commissioned by the end of 2022. The gas unit will provide the stimulus for local industry growth.
Relevant Reports
Acetylene Market - Industry Analysis, Market
Size, Share, Trends, Application Analysis, Growth, And Forecast 2022 - 2027
Report Code:
CMR 44698
China Industrial Gas Market
– Forecast (2022 - 2027)
Report Code: CMR 1034
Report Code: CMR 72093
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