Cryocooler Market to Generate Revenue Worth $4.45 Billion by 2030

The global cryocooler market size is projected to reach $4.45 billion by 2030, advancing at a CAGR of 6.6% during 2021–2030. The market growth has been spurred by the surging need for medical and healthcare services in developing economies and the increasing demand for cryocoolers in proton therapies, MRI systems, cryosurgeries, and liquefaction of oxygen in hospitals.

The transportation category is expected to register decent growth during the forecast period. For use as a motor vehicle fuel, LNG is stored in a manner that does not need massive tanks, reduces evaporative loss, and decreases refrigeration energy consumption. LNG presents a rich field for cryogenic engineering. The optimization of liquefaction plants is a continuous effort, frequently using mixed gas, given the amount of LNG transported. Moreover, the conversion of LNG back to 300 K gas is often carried out by heat exchange with ambient air or seawater, but work has been carried out to use the cold LNG to assist in air separation, production of dry ice, and freezing of food, thus improving the overall efficiency of LNG systems.

As an emerging fuel in heavy road and rail transport, LNG’s demand is growing rapidly. The cryogenic fuel is characterized by a boiling temperature of about 120 K (–153 °C). LNG necessitates the special construction of cryogenic mobile installations to fulfill conflicting requirements, such as strong mechanical construction and a low number of heat leaks to colder parts of the system under high safety standards.

The trend of the rising demand for LNG in transport can be viewed from the documented data of the preceding years and forecasts of the world’s major exporters, such as Russia and the U.S. The second indicator suggests that in China, over the period 2012–2018, the increase was almost 8 times from 50,000 to almost 400,000. Whereas as per NGVA 2020 analysis, in Europe, almost 5000 LNG-powered vehicles were registered at the end of 2018. By 2025, the increase is expected from 10 times to even 100 times.

APAC Market To Witness Highest Growth Rate

The APAC cryocooler market is expected to register the fastest growth, advancing at a CAGR of 7.8%, during the forecast period. This can be attributed to the rising adoption of multiple cryocoolers, such as PT, GM, JT, Stirling, and Brayton, for providing very low temperatures needed in many applications across sectors, such as medical, space, environmental, transport, commercial, and energy. Furthermore, the development of the regional market is attributed to the increasing demand for healthcare services, the rising need for the shortage of helium gas, the growing production of liquefied natural gas, and the surging penetration of cryocoolers across the semiconductor industry.

The rapidly increasing manufacturing facilities, growing industrial base, and favorable government policies in nations such as China, Japan, and India are some other factors driving the market. According to the National Bureau of Statistics, despite the pandemic, China’s manufacturing activity expanded in October 2020 for the eight-straight month. In addition, the economy grew 4.9% in the three months ending in September 2020, the second straight quarter of growth.

Amongst emerging economies of the region, India showcases measures to boost its healthcare infrastructure substantially. For example, in India, the Union Finance Minister declared measures to enhance healthcare infrastructure, and the government allocated about INR 700 billion (the Union Budget 2020–2021) for the healthcare sector. Also, the budget announced the scaling up of the Ayushman Bharat initiative, expansion of the Jan Ausadhi program, and anti-TB campaign by 2025. This is also helping the cryocooler market demand to grow in the country.

Major players operating in the market include Sumitomo Heavy Industries Ltd., Chart Industries Inc., Sunpower Inc. (AMETEK Inc.), Cryomech Inc., Northrop Grumman Corporation, Advanced Research Systems Inc., RICOR, Superconductor Technologies Inc., and L’AIR LIQUIDE S.A.