Expanding Turboexpander Market Predicted to Reach 8.0% Growth Rate by 2034
The global turboexpander market is witnessing significant growth, primarily driven by the increasing deployment of natural gas processing and liquefaction units, rising demand for energy-efficient gas processing technologies, and expanding use in industrial gas separation for oxygen, nitrogen, and argon production.
Turboexpanders play a crucial role in various industries, offering improved energy efficiency, reduced emissions, and enhanced performance.
Energy Sector
In LNG plants, turboexpanders enable the liquefaction process by lowering gas temperatures efficiently, supporting the global demand for cleaner fuels and natural gas infrastructure expansion. The energy sector also benefits from turboexpanders improving operational efficiency and supporting decarbonization goals amid growing power demand and technological shifts toward electrification and cleaner energy management.
Petrochemicals
In petrochemical facilities, turboexpanders assist with energy recovery and gas processing, enhancing process efficiency and reducing operational emissions. They help optimize feedstock processing and support the integration of more sustainable practices.
Industrial Gases
The production of purified gases like oxygen, nitrogen, and argon in air separation units relies heavily on turboexpanders to achieve the necessary rapid cooling and expansion, which improves the cost-efficiency and effectiveness of gas separation.
Renewables and Hydrogen
Emerging clean energy applications such as hydrogen production are also driving turboexpander demand. Innovations and investments in energy recovery systems for hydrogen and natural gas signify an expanding role of turboexpanders in renewable energy technologies and decarbonization efforts.
Radial flow turboexpanders dominated the market in 2024, capturing a 62.8% share. The Asia-Pacific region held a 43.9% share of the global turboexpander market in 2024, valued at USD 1.1 billion. Rapid industrialization, expanding natural gas infrastructure, and investments in energy-efficient technologies drive the dominance of the Asia-Pacific region in the turboexpander market.
The oil and gas sector remains the top end-user in the turboexpander market, accounting for 67.1% share. Turboexpanders are vital in separating air into gases like nitrogen, oxygen, and argon for industries such as healthcare, metallurgy, and electronics.
In gas processing plants, turboexpanders recover valuable liquids like ethane and propane from natural gas, enhancing plant productivity and profitability. Companies like Air Products have advanced their turboexpander technology for hydrogen liquefaction, enhancing efficiency in large-scale LNG and clean energy projects. Atlas Copco's NGS Turboexpander series now features improved aerodynamics for higher efficiency in natural gas processing.
The global turboexpander market is projected to reach USD 5.6 billion by 2034, growing at a CAGR of 8.0% from 2025 to 2034. This growth is expected to continue, supported by the increasing demand for cleaner energy, the expansion of natural gas infrastructure, and the need for more energy-efficient technologies.
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- The impressive growth in the global turboexpander market is partially due to its application in data-and-cloud-computing facilities, where these devices are utilized for efficient energy management, reducing emissions, and enhancing overall performance.
- In addition to the traditional oil and gas sector, the finance industry is showing increasing interest in turboexpanders, as they can help optimize operations and improve financial returns by recovering valuable liquids like ethane and propane from natural gas.
- Advancements in technology, such as the development of radial flow turboexpanders and the implementation of improved aerodynamics in series like Atlas Copco's NGS Turboexpander, are expected to foster growth in the energy, industry, manufacturing, renewables, and hydrogen sectors.
