PUBLISHER: Acute Market Reports | PRODUCT CODE: 1510316
PUBLISHER: Acute Market Reports | PRODUCT CODE: 1510316
The helium market refers to the global industry centered around the production, distribution, and sale of helium, a colorless, odorless, non-toxic, and inert gas that is the second lightest and second most abundant element in the observable universe. Known for its low boiling point and unique properties, helium is a critical component in various industrial, medical, scientific, and technological applications. The helium market is estimated to grow at a CAGR of 6.5% from 2024 to 2032.
In the medical field, helium is vital for cooling the magnets in MRI (Magnetic Resonance Imaging) machines. Its low boiling point makes it essential for cryogenics, where it is used to achieve extremely low temperatures required in scientific research, particularly in superconducting magnets. In the aerospace industry, helium is utilized as a protective gas for purging and pressurizing fuel tanks in rockets and spacecraft. It also finds use in welding, as a leak detection gas due to its ability to quickly diffuse through the smallest leaks, and in the manufacturing of fiber optics and semiconductors. The market is influenced by factors such as the limited availability of helium sources, as it is most commonly extracted from natural gas reserves, and geopolitical factors that affect its production and supply. The helium market has faced challenges due to supply constraints and rising demands, leading to fluctuations in pricing and availability. Efforts towards the exploration of new helium sources, advancements in helium extraction technologies, and recycling methods are key areas of focus within the market. The future of the helium market is closely tied to the balance between these supply challenges and the growing demand in high-tech industries.
Growing Demand in Healthcare and Technology
One of the primary drivers of the helium market is the growing demand in the healthcare and technology sectors. In healthcare, helium is crucial for the operation of MRI machines, which are increasingly used worldwide for diagnostic imaging. The expanding healthcare infrastructure, especially in developing countries, and the rising prevalence of chronic diseases necessitating advanced diagnostic methods contribute significantly to the demand for helium. In the technology sector, helium plays a vital role in the manufacturing of fiber optics and semiconductors, which are foundational components of the digital economy. The rapid growth of the telecommunications industry and the surge in demand for consumer electronics have further propelled the need for helium. This dual-sector demand underpins the steady growth of the helium market, making it a critical resource in these key industries.
Expansion of Space Exploration Programs
A significant opportunity in the helium market is the expansion of space exploration programs. With the resurgence of interest in space exploration and travel, exemplified by initiatives from both government space agencies like NASA and private companies like SpaceX, the demand for helium has increased. Helium is used extensively in space missions for pressurizing fuel tanks and as a coolant in various space applications. The burgeoning space tourism industry and ambitious plans for Mars exploration and beyond are expected to drive the demand for helium, offering substantial growth opportunities for the market.
Supply Shortages Due to Limited Natural Reserves
A major restraint in the helium market is the supply shortage arising from limited natural reserves. Helium is primarily extracted from natural gas, and its production is contingent on the availability and extraction of these gas reserves. With only a few regions globally having significant helium-producing natural gas fields, the market faces a supply constraint. This limitation is compounded by geopolitical factors affecting production and export in key helium-producing countries, leading to fluctuations in availability and price. The challenge for the helium industry is to manage these supply limitations while meeting the growing global demand.
Recycling and Conservation Challenges
The helium market faces a significant challenge in recycling and conservation. Unlike other resources, helium, once released into the atmosphere, cannot be practically recaptured due to its lightness and abundance in the upper layers of the atmosphere. The non-renewable nature of helium necessitates effective recycling and conservation strategies to ensure sustainable use. However, developing efficient recycling technologies is complex and costly. The challenge lies in innovating and implementing methods to capture and reuse helium, particularly in industries where it is extensively used. This is crucial for maintaining a balance between demand and the limited supply of this invaluable resource.
Market Segmentation by Phase
In the market segmentation by Phase (Gas, Liquid), the helium market exhibits distinct characteristics in terms of revenue generation and growth rate. The gas phase of helium holds the highest share in revenue, primarily due to its widespread use across various industries. Gaseous helium is integral in applications like leak detection, pressurizing and purging in aerospace and diving, and as a carrier gas in gas chromatography. Its ease of handling in the gaseous form, along with its extensive application range, contributes to its dominant revenue position. On the other hand, liquid helium, although smaller in market share, is experiencing a higher Compound Annual Growth Rate (CAGR). This growth can be attributed to its critical role in cryogenics, particularly in the cooling of superconducting magnets in medical MRI machines and in scientific research, where extremely low temperatures are required. The increasing demand for MRI diagnostics and research in fields requiring ultra-low temperatures are driving the demand for liquid helium.
Market Segmentation by Application
Regarding the segmentation by Application (Breathing Mixes, Cryogenics, Leak Detection, Pressurizing & Purging, Welding, Controlled Atmosphere, Other Applications), cryogenics represents the segment with the highest revenue. The essential use of helium in cryogenics, especially in the healthcare sector for MRI machines and in scientific research, establishes its dominance in the market. The reliability and effectiveness of helium in achieving the ultra-low temperatures necessary for these applications underpin its significant revenue contribution. Meanwhile, the sector witnessing the highest CAGR is the application of helium in controlled atmospheres, such as in the manufacture of fiber optics and semiconductors. This growth is propelled by the booming electronics and telecommunications industries, where the demand for precision manufacturing environments is continuously rising. Other applications, including welding, pressurizing and purging in aerospace, and leak detection, also contribute notably to the market, driven by their respective industry demands. The diversity of these applications illustrates the versatility of helium and its critical role in various key sectors of the global economy.
Regional Insights
In the helium market's geographic segmentation, diverse trends emerge across different regions, with North America historically leading in revenue. This dominance is attributed to the region's advanced healthcare and technology sectors, particularly in the United States, which have a high demand for helium, especially in medical imaging and manufacturing industries. North America's established infrastructure for helium production and distribution also contributes to its significant market share. In contrast, the Asia-Pacific region exhibits the highest Compound Annual Growth Rate (CAGR). This growth is driven by rapid industrialization, expanding healthcare services, and increasing technological advancements in countries like China, India, and Japan. The rising demand in these emerging economies, coupled with ongoing development in industries requiring helium, such as electronics manufacturing and scientific research, positions the Asia-Pacific region as a rapidly growing market for helium.
Competitive Trends
Regarding competitive trends and key players in the helium market, as of 2023, the market was characterized by the presence of several leading companies, including Air Liquide, Linde Group, Air Products and Chemicals, Praxair Technology, Gazprom, Messer Group, Taiyo Nippon Sanso India, MESA Specialty Gases & Equipment, Matheson Tri-Gas Inc., Iwatani Corporation, Gulf Cryo S.A.L., and IACX Energy. These companies, with their extensive distribution networks and robust production capacities, dominated the market. Their strategies primarily focused on expanding production capabilities, securing supply contracts, and investing in new extraction technologies to meet the rising global demand. For the forecast period of 2024 to 2032, these companies are expected to continue their focus on innovation, particularly in developing more efficient extraction and recycling methods. The market is also anticipated to witness strategic alliances and partnerships, as companies aim to strengthen their global presence and tap into emerging markets. Additionally, new entrants, particularly from regions with untapped helium resources, are expected to join the market, increasing competition and potentially influencing global supply dynamics. The focus on sustainability and environmental considerations is also likely to shape the strategies of these companies, as they navigate the challenges of helium's non-renewable nature and the need for responsible management of this critical resource.
Historical & Forecast Period
This study report represents an analysis of each segment from 2022 to 2032 considering 2023 as the base year. Compounded Annual Growth Rate (CAGR) for each of the respective segments estimated for the forecast period of 2024 to 2032.
The current report comprises quantitative market estimations for each micro market for every geographical region and qualitative market analysis such as micro and macro environment analysis, market trends, competitive intelligence, segment analysis, porters five force model, top winning strategies, top investment markets, emerging trends & technological analysis, case studies, strategic conclusions and recommendations and other key market insights.
Research Methodology
The complete research study was conducted in three phases, namely: secondary research, primary research, and expert panel review. The key data points that enable the estimation of Helium market are as follows:
Research and development budgets of manufacturers and government spending
Revenues of key companies in the market segment
Number of end users & consumption volume, price, and value.
Geographical revenues generated by countries considered in the report
Micro and macro environment factors that are currently influencing the Helium market and their expected impact during the forecast period.
Market forecast was performed through proprietary software that analyzes various qualitative and quantitative factors. Growth rate and CAGR were estimated through intensive secondary and primary research. Data triangulation across various data points provides accuracy across various analyzed market segments in the report. Application of both top-down and bottom-up approach for validation of market estimation assures logical, methodical, and mathematical consistency of the quantitative data.
Market Segmentation
Phase
Application
End-Use
Region Segment (2022-2032; US$ Million)
North America
U.S.
Canada
Rest of North America
UK and European Union
UK
Germany
Spain
Italy
France
Rest of Europe
Asia Pacific
China
Japan
India
Australia
South Korea
Rest of Asia Pacific
Latin America
Brazil
Mexico
Rest of Latin America
Middle East and Africa
GCC
Africa
Rest of Middle East and Africa
Key questions answered in this report
What are the key micro and macro environmental factors that are impacting the growth of Helium market?
What are the key investment pockets concerning product segments and geographies currently and during the forecast period?
Estimated forecast and market projections up to 2032.
Which segment accounts for the fastest CAGR during the forecast period?
Which market segment holds a larger market share and why?
Are low and middle-income economies investing in the Helium market?
Which is the largest regional market for Helium market?
What are the market trends and dynamics in emerging markets such as Asia Pacific, Latin America, and Middle East & Africa?
Which are the key trends driving Helium market growth?
Who are the key competitors and what are their key strategies to enhance their market presence in the Helium market worldwide?
FIG. 10Market Positioning of Key Helium Market Players, 2023
FIG. 11Global Helium Market - Tier Analysis - Percentage of Revenues by Tier Level, 2023 Versus 2032