Material Insights · Understanding the Material World

Nitrogen gas: Overview

Blanketing tanks, freezing food and feeding ammonia plants

What this tab covers What the chemical is, how big its market is, what it is used for (with shares, volumes, why it wins and what could replace it), and its chain from raw material to end user. Ends with three things to remember.

Nitrogen makes up 78% of air by volume. Industrial nitrogen is separated from air by cryogenic distillation, pressure swing adsorption or membranes. It is valued because it does not react: it blankets tanks, purges pipelines, freezes food, keeps chip fabs oxygen-free and pressurises oil wells. A far larger tonnage is consumed as feedstock: about 157 Mt of nitrogen a year ends up in ammonia (stoichiometry on IFA 2024). Power is the main cost and the main source of emissions.

Volume not published for industrial (inert) nitrogen; about 157 Mt a year of N2 is fixed into ammonia (2024) Market value not published for nitrogen alone; whole industrial gases market about $94-100 billion (2024) Growth industrial gases about 5% a year to 2030 (MarketsandMarkets); electronics and LNG grow fastest (indicative) IFA via DTN (Dec 2025, 190.5 Mt NH3) x 0.823 t N2 per t NH3; MarketsandMarkets (2024); Thunder Said Energy (2023)

Key uses

UseShareAnnual volumeWhy this commodityAlternatives
Ammonia synthesis (feedstock nitrogen)n/a about 157 Mt N2 a yearbasis Haber-Bosch needs one nitrogen molecule for every three of hydrogen. Gas-based plants usually get it by burning air in a secondary reformer; coal and green ammonia plants use an air separation unit. IFA via DTN (Dec 2025); stoichiometry None: air is the only source of nitrogen at scale
Chemicals and refining: blanketing, purging, inertingn/a not publishedbasis Nitrogen displaces oxygen in tanks, reactors and pipelines so that flammable or oxygen-sensitive products cannot burn or degrade. It is the cheapest inert gas. industry practice (indicative) Argon (costlier)
CO2 in some cases
Electronics and semiconductorsn/a not published; a large fab can use tens of thousands of Nm3 an hour (indicative)basis Ultra-high purity nitrogen is the bulk carrier and purge gas in fabs. Gas companies build dedicated on-site plants for each fab, and Linde names semiconductor and AI demand as a growth driver. Linde 2025 Annual Report None for bulk purge
Food and beverages: freezing, chilling, modified-atmosphere packagingn/a not publishedbasis Liquid nitrogen at -196 C freezes food fast with small ice crystals; gaseous nitrogen in packs keeps snacks and coffee from going stale. industry practice (indicative) Mechanical refrigeration
CO2 (dry ice)
Oil and gas: well stimulation, pressure maintenance, LNGn/a not published; Cantarell in Mexico has injected over 1 billion cubic feet of nitrogen a day (indicative)basis Nitrogen is injected to maintain reservoir pressure, lift fluids and purge pipelines. LNG and gas plants use it as a refrigerant component and for purging. indicative CO2 injection
Water flooding
Metals, glass and heat treatment; cryogenics and laser cuttingn/a not publishedbasis Controlled atmospheres stop oxidation in annealing and float glass, and nitrogen is the assist gas in laser cutting of stainless steel. industry practice (indicative) Argon
Hydrogen blends
No public split of inert nitrogen by use was found. The ammonia row is a feedstock tonnage, not merchant sales, and dwarfs the rest. US data on argon (welding 66%) and helium exist, but USGS does not publish industrial nitrogen gas statistics.

From raw material to user

  1. Air compression Air is 75.5% nitrogen by mass, so about 1.3 t of air gives 1 t of nitrogen.
  2. Separation Cryogenic ASUs make nitrogen as a co-product with oxygen; on-site PSA and membrane units make 95-99.99% nitrogen for one user.
  3. Pipeline or on-site supply Large chemical and electronics sites take gas by pipe from an on-site plant.
  4. Liquefaction and bulk Liquid nitrogen at -196 C is trucked to food, pharma and metals users.
  5. Cylinders Small users buy cylinders from distributors; India's commercial gas market was $1.82 billion in 2024 (gasworld).

Three things to know

  • About 157 Mt of nitrogen a year is fixed into ammonia, far more than any industrial gas use (stoichiometry on IFA 2024).
  • In India, contract nitrogen was about 5.7 US cents per Nm3 (about $45/t) ex-works in June 2023 (Intratec).
  • Its footprint is almost all electricity, roughly 0.05-0.15 t CO2 per t on today's grids (indicative).

Read the tabs

Production routeProductionFeedstocksCyclesTradingMovementRegulationCharacteristicsEmissions