Nitrogen market in Italy

Earlier Report Observations

The Italian nitrogen market grew from 2 387 million m³ in 2018 to 2 808 million m³ in 2019, driven by the rapid expansion of liquid nitrogen storage infrastructure and increasing demand from key industrial sectors such as food, pharmaceuticals, and metallurgy. Market volume then stabilized at around 2 772 million m³ in 2020.

A contraction followed, with the market falling to 2 196 million m³ in 2021 and 2 050 million m³ in 2022. This decline in physical volume occurred alongside a sharp rise in market value, which exceeded 470 million $ US in 2022. The European Emissions Trading System (ETS), which increased costs for industrial gas producers, contributed to this period of adjustment. Despite the downturn, underlying demand from pharmaceutical and food industries remained a structural feature of the market.

From 2023, the market began to recover, reaching 2 307 million m³ by 2024. This rebound was supported by the widespread adoption of new technologies, including on-site nitrogen generators and innovative applications like nitrogen-assisted powder coating, alongside continued investments in sustainable and energy-efficient industrial solutions.

Production nitrogen in Italy

In value, 2017-2020, M $ US

In 2020, Italy's nitrogen output was valued at 296.9 million US dollars, marking a significant 18.5% decrease compared to 2019. Over the period from 2017 to 2020, production fell by 36.8%, which translates to an annualized decline of 14.2%. The most substantial drop occurred in 2018, with a 35.2% reduction, while the largest increase was seen in 2019, at 19.7%.

Annual dynamics of production in Italy in value, 2017-2020, M $ US

In kind, 2017-2020, M m³

In 2020, Italy produced 2 807 million cubic meters of nitrogen, reflecting a slight year-over-year decline of 1.2%. From 2017 to 2020, production decreased by 32.1%, averaging an annualized rate of 12.1%. The lowest production volume was recorded in 2018 at 2 428 million cubic meters, which also saw the largest decline of 41.3%. In contrast, the biggest increase occurred in 2019, with a 17.0% rise.

Annual dynamics of production in Italy in kind, 2017-2020, M m³

Exports nitrogen from Italy

Exports in kind, K m³

In 2020, Italy's nitrogen exports reached 36 801 thousand cubic meters, showing a modest increase of 1.9% compared to the previous year. Between 2017 and 2020, exports decreased by 6.5%, with a compound annual growth rate of -2.2%. The lowest export volume was in 2019 at 36 114 thousand cubic meters, while the peak was in 2018 at 41 796 thousand cubic meters. The largest decline happened in 2019, with a 13.6% drop, and the biggest increase was in 2018, at 6.2%.

Annual dynamics of product's exports from Italy in kind, 2017-2020, K m³

From 2017 to 2020, Slovenia, Switzerland, and Austria dominated Italy's nitrogen export structure in kind. Slovenia accounted for 40.2% of exports, Switzerland for 17.7%, and Austria for 13.9%, collectively representing 71.7% of total export flows.

Structure of product's exports in kind by countries, 2017-2020

World map of product's exports from Italy in kind, 2017-2020

Exports in value, K $ US

In 2020, Italy's cross-border nitrogen shipments were valued at 5 605 thousand US dollars, indicating a modest gain of 9.9% year-over-year. Over the 2017-2020 period, exports increased by 8.1%, with a compound annual growth rate of 2.6%. The lowest value was recorded in 2019 at 5 101 thousand US dollars, while the highest was in 2018 at 6 382 thousand US dollars. The largest decline occurred in 2019, with a 20.1% drop, and the biggest increase was in 2018, at 23.0%.

Annual dynamics of product's exports from Italy in value, 2017-2020, K $ US

Between 2017 and 2020, Slovenia, Switzerland, and Austria held the largest shares in Italy's nitrogen export value. Slovenia contributed 25.1%, Switzerland 22.1%, and Austria 12.1%, together comprising 59.2% of total export flows.

Structure of product's exports in value by countries, 2017-2020

World map of product's exports from Italy in value, 2017-2020

Imports nitrogen to Italy

Imports in kind, K m³

Italy's nitrogen imports have increased for the third consecutive year. In 2020, imports totaled 5 326 thousand cubic meters, representing a substantial 22.2% rise compared to the previous year. From 2017 to 2020, imports surged by 416.1%, equating to an annualized growth rate of 72.8%.

Annual dynamics of product's imports to Italy in kind, 2017-2020, K m³

During 2017-2020, France, Belgium, and Switzerland were the primary sources for Italy's nitrogen imports in kind. France accounted for 36.6% of imports, Belgium for 25.8%, and Switzerland for 16.4%, together making up 78.8% of total import flows.

Structure of product's imports in kind by countries, 2017-2020

World map of product's imports to Italy in kind, 2017-2020

Imports in value, K $ US

Italy's nitrogen import volume has risen for the third year in a row. In 2020, imports were valued at 1 001 thousand US dollars, showing a 2.8% increase year-over-year. Over the 2017-2020 period, imports grew by 35.3%, with a compound annual growth rate of 10.6%.

Annual dynamics of product's imports to Italy in value, 2017-2020, K $ US

From 2017 to 2020, Germany, France, and Belgium were the main destinations in Italy's nitrogen import value breakdown. Germany represented 27.7% of imports, France 18.4%, and Belgium 16.6%, collectively accounting for 62.7% of total import flows.

Structure of product's imports in value by countries, 2017-2020

World map of product's imports to Italy in value, 2017-2020