LNG Storage Tank Market Size
| Study Period | 2020 - 2029 |
| Base Year For Estimation | 2023 |
| CAGR | > 5.00 % |
| Fastest Growing Market | Asia-Pacific |
| Largest Market | Asia-Pacific |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Need a report that reflects how COVID-19 has impacted this market and its growth?
LNG Storage Tank Market Analysis
The LNG Storage Tank Market is estimated to grow at a CAGR of greater than 5% during the forecast period.
The COVID-19 pandemic led to a pause in production at end users in the LNG storage tank industry because of the global lockdown. This has hampered the growth of the market in the year 2020 and is likely to continue through 2022. The pandemic COVID-19 has also affected the sales of LNG storage tanks since the second quarter of 2020 because of the steep decline in demand for LNG and is anticipated to cause a negative impact on the market growth in the first half of 2022.
Developing and emerging countries like India, China, Japan, and South Korea are witnessing a high demand for LNG storage tanks. The growth in the APAC region can be attributed to significant developments in power, energy, and technologies plus the growing trade of LNG, which is expected to drive the LNG storage tank market in the region. Moreover, APAC being the largest producer of steel and availability of raw materials, for instance, iron ore, and cost-effective labor will also drive the demand during the forecast period.
The global liquefied natural gas (LNG) tanker fleet encompassed a total of 700 vessels at the end of 2021. Between 2010 and 2021, figures steadily increased. With LNG trade volumes reaching 488 billion cubic meters in 2020, greater number of tankers are paramount to satisfying growing consumer demand. LNG tankers vary in sizes, with the largest being able to carry up to 266,000 cubic meters.
Japan had the world's largest liquefied natural gas (LNG) storage tank capacity in 2021, at 18.2 million cubic meters. This was followed by neighboring South Korea and China, with a tank capacity of 12.4 million and 11.3 million cubic meters, respectively. All three countries also had the largest LNG regasification capacity.
LNG Storage Tank Market Trends
This section covers the major market trends shaping the LNG storage Tank Market according to our research experts:
Increasing demand for LNG
Current investments in better LNG infrastructure in the year 2021 are expected to fuel greater demand for crude material in the coming years. Demand is set to see greater year-on-year growth from 2021 onwards, with the Middle East expected to become an LNG consumer.
The recent growth in the liquefied natural gas market, including new proposals for both production and receiving facilities, as well as increased LNG shipbuilding, indicate that liquefied natural gas will most certainly play an important role in the future global energy market.
Vessel owners are increasingly considering LNG as a replacement fuel for marine diesel and heavy fuel oil, also called bunker fuel. The demand for natural gas has significantly increased in industries like the power sector, and fertilizer sector, where it is also used as feedstock for the petrochemical industry. Thus, the demand from different industries will boost the LNG carriers' market growth.
Global demand for liquefied natural gas (LNG) increased to 360 million tonnes in 2020, according to Shell's latest annual LNG Outlook - despite the unprecedented volatility caused by the COVID-19 pandemic, which resulted in lockdowns around the world.
Rise in global fuel demands, surge in population, and growth of industries have boosted the demand for LNG. LNG is expected to be used extensively in various industrial applications. For safe transportation of gas, its volume is reduced by change in its state. These factors have increased the demand for LNG storage tanks. Factors such as availability of plenty of natural gas reserves, efficiency, and low carbon footprint have further increased the use of LNG, thereby creating a demand for LNG storage tanks. Furthermore, the use of LNG in vehicles is increasing.
With an increasing number of buyers and suppliers, the industry has evolved to offer a wider choice of commercial structures to meet changing needs. Against a backdrop of increasing Net Zero Emissions (NZE) targets, the industry will need to further innovate to offer cleaner energy supply.
Growing Trade of LNG is driving the market
At present, the US is the largest producer of natural gas across the world. In the US, natural gas supplies nearly one-third of the primary energy and is one of the key heating fuels for almost half of US households. A large volume of LNG is transported through the sea route, where LNG is loaded onto double-hulled ships and the gas is off-loaded to well-insulated storage tanks. Later it is re-gasified for admission into the pipeline distribution network.
Moreover, LNG is also shipped in smaller quantities, generally for shorter ocean distances. The growing LNG trade in small-scale shipments is commonly transported in the same containers used on trucks for international trade, particularly outfitted with cryogenic tanks. Further, Shell announced that the Asian requirement for LNG was anticipated to drive the growth of the market in 2021, as the LNG trade is expected to recover from the COVID-19 impact. According to the outlook, the LNG trade growth would reach around 12 Mt in 2022 and ~15 Mt in 2023. Therefore, this rise in the international LNG trade is driving the growth of the LNG storage tanks market.
In 2020, the pandemic and resulting economic fallout resulted in a much lower increase in LNG trade. Figures reached their peak at an estimated 39 million metric tons per annum delivered ex-ship in 2019. The total trade volume in 2020 was 360 million metric tons. In 2021, global liquefied natural gas trade volume amounted to 516 billion cubic meters. Between 1970 and 2021, figures increased by 513 billion cubic meters.
In 2021, Australia was the world's major LNG exporting country, with and export volume of 108 billion cubic meters. At that same time, China was the major LNG importing country, with figures over 109 billion cubic meters. Most of the growth is forecast to be driven by demand in emerging Asian countries, led by China and India, as they switch from coal. Outside of China, industrialization is seen as supporting natural gas consumption.
LNG Storage Tank Industry Overview
The market is relatively fragmented, with a large number of local and International players like Linde Plc, Wärtsilä, Cimc Enric, Chart Industries, IHI Corporation, McDermott International Inc., ISISAN ISI SAN. VE TİC.A. Ş, Colour SA, Corban Energy Group, and Trans Tech Energy LLC are the major player in the LNG storage tank market. The major players are adopting many growth strategies like product launches, acquisitions, and collaborations, contributing to growing the LNG storage tank market globally. The demand for LNG storage tanks is mainly driven by the increasing demand for LNG in various sectors like power, energy, and steel end-use industries.
LNG Storage Tank Market Leaders
Linde Plc
Wärtsilä
Cimc Enric
Chart Industries
IHI Corporation
*Disclaimer: Major Players sorted in no particular order
LNG Storage Tank Market News
- On 13 April 2022, Linde announced that it is expanding its La Porte, Texas, facility, effectively doubling the facility's merchant liquid production capacity. The increased capacity will help Linde to meet growing demand from the petrochemicals, clean energy, manufacturing, food and aerospace sectors in the U.S. Gulf Coast and is estimated to start by 2024. The expansion will also supply Linde's existing Gulf Coast pipeline system, which includes nitrogen and oxygen pipelines extending from the Houston ship channel south to Freeport, Texas.
- On 19 May 2022, CIMC Enric successfully develops the first domestic liquid helium storage tank container of 40 feet representing China's first large-scale liquid helium storage and transportation equipment from localized high-end manufacturing. Designed and manufactured in accordance with the ASME standard, it has passed various stringent tests such as the liquid helium cryogenic type test and the road transportation test conducted by the BV Classification Society.
LNG Storage Tank Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Deliverables
1.2 Study Assumptions
1.3 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
4.1 Market Overview
4.2 Market Drivers
4.3 Market Restraints
4.4 Value Chain / Supply Chain Analysis
4.5 Porters 5 Force Analysis
4.5.1 Threat of New Entrants
4.5.2 Bargaining Power of Buyers/Consumers
4.5.3 Bargaining Power of Suppliers
4.5.4 Threat of Substitute Products
4.5.5 Intensity of Competitive Rivalry
4.6 PESTLE Analysis
4.7 Technological Advancements in the Market
4.8 Impact of Covid -19 on the Market
5. MARKET SEGMENTATION
5.1 By Product Type
5.1.1 Self-Supporting Tanks
5.1.2 Non-Self Supporting Tanks
5.2 By Material Type
5.2.1 Steel
5.2.2 9% Nickel Steel
5.2.3 Aluminium Alloys
5.2.4 Other
5.3 Geography
5.3.1 North America
5.3.1.1 US
5.3.1.2 Canada
5.3.1.3 Mexico
5.3.2 Europe
5.3.2.1 Germany
5.3.2.2 UK
5.3.2.3 France
5.3.2.4 Russia
5.3.2.5 Spain
5.3.2.6 Rest of Europe
5.3.3 Asia Pacific
5.3.3.1 India
5.3.3.2 China
5.3.3.3 Japan
5.3.3.4 Singapore
5.3.3.5 Malaysia
5.3.3.6 South Korea
5.3.3.7 Australia
5.3.3.8 Rest of Asia Pacific
5.3.4 South America
5.3.4.1 Brazil
5.3.4.2 Argentina
5.3.4.3 Rest of South America
5.3.5 Middle East & South Africa
5.3.5.1 UAE
5.3.5.2 Saudi Arabia
5.3.5.3 South Africa
5.3.5.4 Rest of Middle East & South Africa
6. COMPETITIVE LANDSCAPE
6.1 Vendor Market Share
6.2 Mergers & Acquisitions
6.3 Company Profiles
6.3.1 Linde Plc
6.3.2 Wärtsilä
6.3.3 Cimc Enric
6.3.4 Chart Industries
6.3.5 IHI Corporation
6.3.6 Mcdermott International Inc
6.3.7 Air Water Inc.
6.3.8 Isisan A.S.
6.3.9 Cryolor
6.3.10 Inox India*
- *List Not Exhaustive
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
LNG Storage Tank Industry Segmentation
A liquefied natural gas storage tank or LNG storage tank is a specialized type of storage tank used for the storage of Liquefied Natural Gas. LNG storage tanks can be found on the ground, above ground, or in LNG carriers. LNG storage tanks have double containers, where the inner contains LNG and the outer container contains insulation materials. The LNG Storage Tank Market is segmented By Product Type (Self-supporting and Non-Self-supporting Tanks), By Material Type (Steel, 9% Nickel Steel, Aluminum Alloys, and Others), and By Geography ( (North America, Europe, Asia-Pacific, Latin America, Middle East, and Africa). The report offers market size and forecasts for LNG Storage Tank Market in value ( USD Billion ) for all the above segments.
| By Product Type | |
| Self-Supporting Tanks | |
| Non-Self Supporting Tanks |
| By Material Type | |
| Steel | |
| 9% Nickel Steel | |
| Aluminium Alloys | |
| Other |
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LNG Storage Tank Market Research FAQs
What is the current Lng Storage Tank Market size?
The Lng Storage Tank Market is projected to register a CAGR of greater than 5% during the forecast period (2024-2029)
Who are the key players in Lng Storage Tank Market?
Linde Plc, Wärtsilä, Cimc Enric, Chart Industries and IHI Corporation are the major companies operating in the Lng Storage Tank Market.
Which is the fastest growing region in Lng Storage Tank Market?
Asia-Pacific is estimated to grow at the highest CAGR over the forecast period (2024-2029).
Which region has the biggest share in Lng Storage Tank Market?
In 2024, the Asia-Pacific accounts for the largest market share in Lng Storage Tank Market.
What years does this Lng Storage Tank Market cover?
The report covers the Lng Storage Tank Market historical market size for years: 2020, 2021, 2022 and 2023. The report also forecasts the Lng Storage Tank Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
LNG Storage Tank Industry Report
Statistics for the 2024 LNG Storage Tank market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. LNG Storage Tank analysis includes a market forecast outlook 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
