Inert Gas Generator System (IGGS) Market – Global Industry Size, Share, Trends, Opportunity, and Forecast, Segmented By Type (Marine IGGS Type, Aviation IGGS Type, Industrial IGGS Type), By Component (Aviation IGGS Component, Marine IGGS Component, Industrial IGSS Component), By End User (Aviation, Marine, Industrial), By Region, & Competition, 2021-2031F

Forecast Period	2027-2031
Market Size (2025)	USD 3.77 Billion
CAGR (2026-2031)	12.81%
Fastest Growing Segment	Aviation
Largest Market	North America
Market Size (2031)	USD 7.77 Billion

Market Overview

The Global Inert Gas Generator System (IGGS) Market will grow from USD 3.77 Billion in 2025 to USD 7.77 Billion by 2031 at a 12.81% CAGR. The Global Inert Gas Generator System (IGGS) Market revolves around the manufacturing of critical safety mechanisms that produce nitrogen-enriched air to displace oxygen in fuel tanks and cargo holds, effectively mitigating the risk of fire and explosions. The primary drivers supporting this market’s growth include stringent safety mandates from regulatory bodies such as the FAA and EASA requiring flammability reduction means, coupled with a sustained rise in commercial and military aircraft procurement. These regulatory imperatives and the continuous cycle of fleet modernization serve as the foundational pillars for demand, distinct from transient technological trends.

According to the General Aviation Manufacturers Association, in 2024, business jet shipments increased by 4.7% to reach 764 units, highlighting the robust delivery of new assets that necessitate these integrated safety systems. Despite this positive trajectory, a significant challenge impeding rapid market expansion is the high financial burden associated with retrofitting aging fleets and the substantial maintenance costs required to keep membrane separation technologies operational.

Key Market Drivers

Increasing procurement of commercial and military aircraft drives the Inert Gas Generator System (IGGS) market by mandating the integration of nitrogen-enriched air systems into fuel tanks to neutralize combustion risks. As aerospace manufacturers accelerate production rates to meet global demand, the installation of these safety-critical components rises proportionally with every new airframe. This momentum is quantified by recent production outputs; according to Airbus, January 2025, in the 'Airbus reports 766 commercial aircraft deliveries in 2024' update, the manufacturer delivered 766 commercial aircraft, directly fueling the demand for onboard inerting units. This high volume of immediate deliveries is supported by a historic level of future commitments. According to the International Air Transport Association (IATA), in 2024, the global backlog for new aircraft reached a record high of 17,000 units, securing a long-term deployment horizon for IGGS technology.

Expansion of global marine tanker and cargo vessel fleets creates a second critical growth avenue, as international maritime regulations require inert gas systems for vessels transporting hazardous liquid bulk. The revitalization of shipping infrastructure, particularly in the energy sector, forces shipbuilders to procure industrial-grade nitrogen generators for both new builds and complex retrofits. The scale of this marine demand is expanding rapidly; according to BIMCO, May 2024, in the 'Tanker Shipping Market Overview & Outlook' report, the order book for crude tankers increased by 160% to reach 34.3 million deadweight tonnes. This surge in vessel contracting ensures that marine applications will remain a substantial revenue contributor, balancing the market's exposure between aerospace cycles and global trade.

Download Free Sample Report

Key Market Challenges

The substantial financial burden associated with retrofitting aging fleets and the ongoing maintenance costs constitutes a primary obstacle to the growth of the Global Inert Gas Generator System Market. Integrating nitrogen-generation systems into legacy aircraft requires significant upfront capital investment, covering not only the hardware acquisition but also the labor-intensive installation process. This modification often necessitates grounding aircraft for extended periods, resulting in operational downtime and revenue loss for carriers. Consequently, operators with older fleets often delay these safety upgrades unless facing immediate regulatory pressure, thereby slowing the rate of technology adoption across the broader market.

The recurring expense of maintaining membrane separation technologies further exacerbates this economic strain. These systems demand rigorous servicing to ensure nitrogen purity levels remain effective against flammability, creating a continuous drain on operational budgets. This financial pressure is particularly acute in a high-cost operating environment. According to the International Air Transport Association, in 2024, total airline industry operating expenses were projected to reach $936 billion, leaving carriers with limited fiscal flexibility to absorb the high costs of voluntary system modernization or non-critical retrofits.

Key Market Trends

The transition from delivered liquid nitrogen to on-site gas generation models is reshaping the industrial landscape as manufacturers seek to mitigate logistics costs and supply chain vulnerabilities. This shift is characterized by the widespread adoption of Pressure Swing Adsorption (PSA) and membrane technologies, which allow facilities to produce nitrogen on-demand rather than relying on cryogenic liquid deliveries. The economic efficiency of this model is driving significant activity in the compressor and gas generation sector, as evidenced by major equipment manufacturers. According to Atlas Copco Group, January 2025, in the 'Quarterly Report Q4 2024', the revenues for its Compressor Technique business area, which encompasses industrial gas and process compressor solutions, increased to a record MSEK 20,382, highlighting the robust demand for on-site generation infrastructure.

Simultaneously, the market is witnessing a distinct shift toward modular and skid-mounted industrial design configurations, particularly within the marine and offshore sectors. Shipbuilders and industrial plant operators are increasingly favoring pre-engineered, containerized inert gas systems that minimize installation time and footprint compared to traditional stick-built layouts. This trend toward integrated, flexible solutions has created a substantial value pool for specialized system integrators who can deliver lifecycle-supported gas handling units. The scale of this niche market segment was underscored recently; according to Wärtsilä, December 2025, in the 'Wärtsilä to divest its Gas Solutions business to Mutares SE & Co. KGaA' press release, the Gas Solutions division, which specializes in inert gas systems and maritime gas handling, generated annual revenues of EUR 300 million in 2024, validating the commercial significance of these specialized modular configurations.

Segmental Insights

The aviation sector represents the fastest growing segment within the Global Inert Gas Generator System market due to increasingly stringent safety regulations mandated by the Federal Aviation Administration and the European Union Aviation Safety Agency. These authorities enforce strict rules regarding fuel tank flammability reduction to prevent potential in-flight explosions, necessitating the widespread integration of nitrogen generation technology in commercial aircraft. Consequently, as manufacturers and fleet operators prioritize compliance with these critical safety standards to ensure passenger protection, the demand for onboard inerting systems continues to rise rapidly throughout the global aerospace industry.

Regional Insights

North America maintains a dominant position in the Global Inert Gas Generator System (IGGS) Market, primarily driven by the region's extensive aviation and aerospace industries. This leadership is reinforced by stringent safety mandates from the Federal Aviation Administration (FAA), which enforce strict fuel tank flammability reduction standards for both commercial and military aircraft. Additionally, the presence of major original equipment manufacturers (OEMs) in the United States facilitates the seamless integration of compliant inerting technologies. Consequently, continuous fleet modernization efforts and unwavering adherence to safety regulations firmly establish the region as the central hub for market expansion.

Recent Developments

• In July 2024, a global leader in motion and control technologies announced an agreement to divest its North America Composites and Fuel Containment Division to a private investment firm. This division, which specializes in manufacturing composites, fuel tanks, and bladders for the aerospace and defense sectors, generated annual sales of approximately $350 million. The divestiture aligns with the corporation's strategy to optimize its portfolio and focus on businesses with aligned growth potential in its core markets. The transaction includes multiple manufacturing locations and reflects the company's ongoing efforts to streamline its operations while ensuring the divested business continues to serve its customers in the fuel systems ecosystem under new ownership.
• In March 2024, a major intelligent power management company demonstrated a significant upgrade to the Power and Thermal Management System (PTMS) used on the F-35 aircraft. The company successfully increased the system's cooling capacity to 80 kilowatts, exceeding current operational requirements. This integrated system is responsible for multiple critical functions, including auxiliary power, environmental control, and inert gas generation for fuel tank safety. By utilizing a digital twin and data from thousands of flight hours, the company proved it could enhance the system's performance within the existing architecture. This development ensures the platform can support future mission systems and modernization needs without requiring invasive redesigns.
• In March 2024, a prominent provider of power management solutions received approval from the Federal Aviation Administration (FAA) for its nitrogen generation system (NGS) oxygen sensor. This newly approved component serves as a direct, form-fit replacement for the original equipment manufacturer's sensor on Boeing 737 Next Generation and 737 MAX aircraft. The sensor is designed to help operators reduce maintenance costs and improve system reliability by providing accurate oxygen sensing for the fuel tank inerting system. This regulatory approval allows airlines to replace legacy components with a solution that meets stringent safety requirements while minimizing aircraft downtime, supporting the company's strong presence in the commercial aviation aftermarket.
• In February 2024, a leading French aerospace company finalized the acquisition of the aeronautical oxygen and nitrogen activities from a global industrial gas supplier. This strategic transaction, which was initially announced in the previous year, enabled the acquiring company to significantly expand its portfolio in fluid management and safety systems. The acquired business includes the design and manufacture of on-board oxygen and nitrogen generation systems, which are critical for aircraft fuel tank safety and crew support. By integrating these advanced technologies, the company aims to strengthen its position as a comprehensive systems supplier for both civil and military aviation markets, complementing its existing capabilities in evacuation and flotation equipment.

Key Market Players

• Honeywell International Inc.
• Cobham Limited
• Eaton Corporation plc
• Parker-Hannifin Corporation
• L'Air Liquide S.A.
• On Site Gas Systems, Inc.
• Wärtsilä Corporation
• Coldharbour Marine Limited
• Novair SAS
• Alfa Laval AB

By Type	By Component	By End User	By Region
Marine IGGS Type Aviation IGGS Type Industrial IGGS Type	Aviation IGGS Component Marine IGGS Component Industrial IGSS Component	Aviation Marine Industrial	North America Europe Asia Pacific South America Middle East & Africa

Report Scope:

In this report, the Global Inert Gas Generator System (IGGS) Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

• Inert Gas Generator System (IGGS) Market, By Type:

• Marine IGGS Type
• Aviation IGGS Type
• Industrial IGGS Type

• Inert Gas Generator System (IGGS) Market, By Component:

• Aviation IGGS Component
• Marine IGGS Component
• Industrial IGSS Component

• Inert Gas Generator System (IGGS) Market, By End User:

• Aviation
• Marine
• Industrial

• Inert Gas Generator System (IGGS) Market, By Region:

• North America
• United States
• Canada
• Mexico
• Europe
• France
• United Kingdom
• Italy
• Germany
• Spain
• Asia Pacific
• China
• India
• Japan
• Australia
• South Korea
• South America
• Brazil
• Argentina
• Colombia
• Middle East & Africa
• South Africa
• Saudi Arabia
• UAE