Argon market in Portugal

Earlier Report Observations

The Portuguese argon market entered a period of transformation starting in 2018 with the entry of new players like Argon Group and Acail Gás, which expanded supply and distribution networks. Simultaneously, Air Liquide Portugal began producing argon using renewable electricity, aligning with broader sustainability trends. These developments established a foundation that persisted into 2019. The onset of the COVID-19 pandemic in 2020 introduced significant challenges to supply chains and production, yet industry adaptations to maintain operations coincided with the beginning of market growth.

Market expansion accelerated notably from 2021, primarily driven by a sharp increase in argon imports, reflecting heightened domestic demand or inventory replenishment. This period also saw companies actively promoting their presence through technical events and training. In 2022, global disruptions in argon production, transportation, and storage led to price increases, but the concurrent recovery of industrial activity and supply chains supported further market growth. The following year, a substantial 37% rise in average import prices helped stabilize the market's total value, even as underlying volumes may have adjusted.

A shift occurred in 2024 with the publication of Decreto-Lei n.º 4/2024, establishing a voluntary carbon market in Portugal. This regulatory change indirectly influenced the industrial gases sector by incentivizing emissions reduction and energy efficiency. Concurrently, a 5.2% decrease in average import prices contributed to a reduction in the overall market value, marking a correction after the previous years of growth.

Production argon in Portugal

In value, 2018-2021, K $ US

Portugal's argon production increased after two years of decline. In 2021, output was valued at 14 847 K $ US, representing a 19.0% year-over-year increase. Production grew by 4.2% between 2018 and 2021, averaging 1.4% annually. The lowest value was recorded in 2020 at 12 474 K $ US, with the largest decline occurring in 2019 at 9.7%.

Annual dynamics of production in Portugal in value, 2018-2021, K $ US

In kind, 2018-2021, K m³

Portugal's argon production increased for the third consecutive year. In 2021, 5 442 K m³ of argon were produced, marking a slight improvement of 1.8% compared to the previous year. From 2018 to 2021, production rose by 14.5%, with a compound annual growth rate of 4.6%.

Annual dynamics of production in Portugal in kind, 2018-2021, K m³

Exports argon from Portugal

Exports in kind, K m³

Portugal's argon export volume declined for the second consecutive year. In 2021, exports amounted to 2 720 K m³, showing a 24.1% decrease compared to 2020. Between 2018 and 2021, exports fell by 59.2%, averaging a 25.8% annual decline. The highest value was recorded in 2019 at 7 036 K m³, with the largest drop occurring in 2020 at 49.1%, while the largest increase was in 2019 at 5.7%.

Annual dynamics of product's exports from Portugal in kind, 2018-2021, K m³

From 2018 to 2021, Angola and Spain remained the primary buyers of argon from Portugal, together accounting for 99.7% of total exports in volume.

Structure of product's exports in kind by countries, 2018-2021

World map of product's exports from Portugal in kind, 2018-2021

Exports in value, K $ US

Argon exports from Portugal increased after two years of decrease. In 2021, export value stood at 5 543 K $ US, indicating a 37.4% rise relative to the prior year. Between 2018 and 2021, exports decreased by 28.4%, averaging a 10.5% annual decline. The lowest value was recorded in 2020 at 4 033 K $ US, with the largest decline also occurring in 2020 at 35.0%.

Annual dynamics of product's exports from Portugal in value, 2018-2021, K $ US

Throughout 2018–2021, Spain and Angola were the main destinations for exports in value terms, with their combined share reaching 99.2% of total flows.

Structure of product's exports in value by countries, 2018-2021

World map of product's exports from Portugal in value, 2018-2021

Imports argon to Portugal

Imports in kind, K m³

Imported argon volumes in Portugal increased after two years of decline. In 2021, import volume was recorded at 7 485 K m³, showing a 50.3% year-over-year increase. From 2018 to 2021, imports grew by 31%, with a compound annual growth rate of 9.4%. The lowest value was in 2020 at 4 979 K m³, with the largest decline also in 2020 at 11.1%.

Annual dynamics of product's imports to Portugal in kind, 2018-2021, K m³

In 2018–2021, Spain held the dominant position in imports by volume, accounting for 81.6% of total flows, while the remaining share was distributed among various smaller destinations.

Structure of product's imports in kind by countries, 2018-2021

World map of product's imports to Portugal in kind, 2018-2021

Imports in value, K $ US

Portugal's volume of argon imports increased after two years of decline. In 2021, imports amounted to 5 164 K $ US, equivalent to a 43.9% increase relative to the prior year. Between 2018 and 2021, imports rose by 4%, averaging 1.3% annually. The lowest value was recorded in 2020 at 3 588 K $ US, with the largest decline also in 2020 at 18.7%.

Annual dynamics of product's imports to Portugal in value, 2018-2021, K $ US

Over 2018–2021, Spain remained the dominant partner for imports in value terms, with a share of 86.5% of total flows, while other markets formed a long tail.

Structure of product's imports in value by countries, 2018-2021

World map of product's imports to Portugal in value, 2018-2021