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Inert Gas Generator System (IGGS) Market


Aerospace & Defence
Marine/Others

The Inert Gas Generator Systems (IGGS) market is estimated to be USD 746.7 Million in 2017 and projected to reach USD 2,121.0 Million by 2022, at a CAGR of 23.22% during the forecast period. The growth of the IGGS market can be attributed to the increasing demand for new commercial aircraft & military cargo aircraft as well as retrofitting of IGGS on existing aircraft across the world. The growth of the market is also attributed to the increasing fleet size of marine cargo ships. The increasing cargo ship size due to the growing trade via sea routes has led to a rise in the demand for marine-based IGGS systems. Increasing application of inert gases in industries such as oil & gas, electronics, pharmaceuticals, metallurgy, and food & beverages is increasing the demand for IGGS system as more companies are installing N2 gas generators.

The IGGS market has been segmented based on type, component, end user, and fit. Based on type, the market has been further segmented into marine IGGS, aviation IGGS, and industrial IGGS. The industrial IGGS segment is projected to lead the market during the forecast period. The increasing installation of on-site inert gas generator systems for industrial N2 gas requirements, along with retrofitting of industrial IGGS, is driving the growth of the industrial IGGS type segment.

Based on component, the IGGS market has been segmented into aviation IGGS components, marine IGGS components, and industrial IGGS components. The industrial IGGS components segment is projected to lead the market during the forecast period owing to the increase in the demand for onsite generated N2 gas via industrial IGGS.

Based on end user, the IGGS market has been segmented into aviation, marine, and industrial. The industrial segment is projected to lead the market during the forecast period owing to the increase in spending on factory-installed nitrogen generators in existing industrial installations and new industrial installations, especially for decreasing dependence on external N2 gas supplier. On the other hand, the marine segment is projected to witness the highest CAGR during the forecast period owing to the increasing demand for new cargo ships worldwide.

Based on fit, the IGGS market has been segmented into OEM fit and retrofit. The OEM fit segment is projected to lead the market during the forecast period owing to the increasing demand for new commercial aircraft in countries such as India and China. Increasing demand for new cargo ships is also fueling the high growth of OEM fit segment.

Asia Pacific accounted for the largest share of the IGGS market in 2017, followed by Europe and North America and Rest of World. APAC’s large share can be attributed to the increasing industrialization within the region coupled with the increasing procurement of military cargo & commercial aircraft. China is estimated to be the leading market for IGGS in Asia Pacific in 2017. The reason for China’s dominance over the Asia Pacific IGGS market can be attributed to the country’s increasing development in industrial sector along with the increasing demand for aircraft and shipping cargo vessels.

Inert Gas Generator System (IGGS) Market

Major challenges faced by the manufacturers of IGGS are mostly related to the technical aspects of the IGGS. At present, manufacturing an IGGS that works optimally while completely adhering to safety standards and providing purity of nitrogen gas is a challenge for the IGGS providers.

The major players in the IGGS market include Parker Hannifin (US), Honeywell (US), and Air Liquide (France). These manufacturers are mostly focused on acquiring long-term contracts to grow in the market.

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