Increasing focus on gas-based generation and growing demand for medical gases are expected to drive the cryogenic pump market, according to a report on Cryogenic Pumps by the Research and Markets group.

Cryogenic pumps are employed to create, withstand, and operate in temperatures which are in the range of -120°C or below. They are used for refrigeration by using cryogenic gases such as nitrogen, helium, and argon among others. By end-user, the energy and power segment is expected to lead the market during the forecast period (2016 to 2021).

The cryogenic pump market is expected to reach $1.96bn by 2021, at a CAGR of 3.28% from 2016 to 2021. The growth of this market is attributed to increasing demand for LNG from sectors such as power generation and domestic & commercial fuel and demand for medical gases in healthcare facilities Moreover, the global cryogenic pump market is projected to witness high growth on account of rising power generation from renewables, which would result in reduction of carbon emissions.

Among various applications for which cryogenic pumps are employed, the energy and power segment is expected to be the largest market. Cryogenic pumps are generally used to handle, transfer, and supply liquefied gases such as oxygen, nitrogen, LNG, and argon, among others. Increasing deployment of cryogenic pumps in the energy and power industry is likely to drive the cryogenic pump market in the energy and power application market.

Positive displacement cryogenic pump is projected to be the highest growing segment on the basis of type of cryogenic pumps from 2016 to 2021, due to the increasing use of positive displacement pumps in end-use industries such as energy and power, shipbuilding, food and beverage, and healthcare, given its compact size. Asia-Pacific is the largest market for positive displacement cryogenic pumps, due to increasing energy demand in the region.

On the basis of cryogenic gases, LNG is projected to be the fastest growing market segment during the forecast period. This growth is attributed to increasing use of LNG for power generation in the energy and power industry and growing usage of oil tankers for transportation in the shipbuilding industry. The LNG market is expected to witness maximum growth in the Middle East region. Moreover, increasing focus on renewable generation is likely to boost the electronics segment.

Asia-Pacific region held the majority of market share in 2014, followed by Europe and North America. In terms of individual countries, Qatar and India are expected to show high growth potential in 2016. This growth can be attributed to increasing investments in the infrastructure sector in Qatar and growing focus towards renewable-based electricity generation in India. Asia-Pacific houses major LNG importers such as China, India, and Japan along with some of the key importers of natural gas. Hence, the region is expected to dominate the global demand for cryogenic pumps during the forecast period.

Steel production is decreasing due to over-capacity, economic slowdown in China, and declining oil and gas prices. This has led to dwindling investments in the steel industry, which is expected to restrict investments in new steel plants. In the steel industry, cryogenic gases are used to create homogenous and durable steel structures. The decrease in global production of steel could impact the demand for cryogenic pumps, which are used for transporting cryogenic gases.

The leading players in the industry, based on their recent developments and other strategic industrial activities, include Sumitomo Heavy Industries Ltd. (Japan), Ebara Corporation (Japan), Flowserve Corporation (US), Fives S.A. (France), and Brooks Automation Inc. (US). Contracts and agreements was the most commonly used strategy by top players in the market, constituting half of the total developments share. It was followed by expansions and mergers and acquisitions.