Rare gases market in Estonia

Earlier Report Observations

Between 2018 and 2020, the Estonian rare gases market underwent regulatory and infrastructural changes that laid the groundwork for future trade. The first import of biomethane in April 2018 diversified the gas supply, while the bidirectional Balticconnector pipeline opened in 2020, linking Estonia to the European gas network and increasing import capacity. Despite these developments, the total market volume declined from 1 227 thousand m³ in 2018 to 963 thousand m³ in 2020.

Market volume recovered to 1 048 thousand m³ in 2021 and jumped to 1 457 thousand m³ in 2022, propelled by geopolitical realignments and new infrastructure. Reduced Russian pipeline flows spurred imports from alternative sources, and Estonia's decision to halt Russian‑origin gas imports in 2022 intensified diversification efforts. The commissioning of the GIPL pipeline connecting the Baltics to Poland in mid‑2022 provided a direct alternative supply route, facilitating the sharp rise in physical trade.

After stabilizing near 1 455 thousand m³ in 2023, the market's physical volume fell to 823 thousand m³ in 2024. In value terms, the market continued to expand, reaching 2 040 thousand dollars in 2024, indicating higher unit prices even as quantities contracted.

Production rare gases in Estonia

In value, 2018-2021, K $ US

After two consecutive years of decline, Estonia's rare gases production rebounded in 2021. The output was valued at 301.7 thousand US dollars, marking a significant year-over-year increase of 61.2%. However, looking at the broader period from 2018 to 2021, production actually decreased by 41.7%, which translates to an annualized decline of 16.5%. The lowest point was recorded in 2020 at 187.2 thousand US dollars, with the steepest drop occurring in 2019 at 56.2%.

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

In kind, 2018-2021, K m³

Following a two-year downturn, rare gases production in Estonia saw an upturn in 2021. The country produced 633 thousand cubic meters of rare gases, representing a sharp rise of 30.6% compared to the previous year. Over the period from 2018 to 2021, production decreased by 40%, averaging an annualized decline of 15.7%. The minimum volume was recorded in 2020 at 485 thousand cubic meters, while the largest decline occurred in 2019 at 45.6%.

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

Exports rare gases from Estonia

Exports in kind, K m³

In 2021, Estonia exported 654 thousand cubic meters of rare gases, which is a 21.0% increase compared to the previous year. From 2018 to 2021, exports grew by 10.2%, with an annualized growth rate of 3.3%. The lowest export volume was in 2020 at 541 thousand cubic meters, and the largest decline was also recorded in that year at 11.7%.

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

Between 2018 and 2021, Latvia dominated Estonia's rare gases exports in volume, accounting for 87.9% of total flows. The remaining share was distributed among other markets.

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

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

Exports in value, K $ US

Estonia's rare gases exports reached 408 thousand US dollars in 2021, up 16.5% year-over-year. Over the 2018-2021 period, exports increased by 17.8%, with an annualized growth rate of 5.6%. The largest decline was observed in 2020 at 7.5%.

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

From 2018 to 2021, Latvia was the primary destination for Estonia's rare gases exports in value terms, representing 85.6% of total flows. Other markets contributed smaller shares, forming a long tail of partners.

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

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

Imports rare gases to Estonia

Imports in kind, K m³

In 2021, Estonia's rare gases imports stood at 1 070 thousand cubic meters, showing a measured gain of 5.0% compared to 2020. Between 2018 and 2021, imports increased by 39.8%, with an annualized growth rate of 11.8%. The peak volume was recorded in 2019 at 1 121 thousand cubic meters, while the largest decline occurred in 2020 at 9.1%. The most significant increase was also in 2019 at 46.6%.

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

During 2018-2021, three key markets—Finland, Poland, and Latvia—collectively accounted for 89.4% of Estonia's rare gases imports in volume.

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

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

Imports in value, K $ US

Estonia's rare gases imports grew for the third consecutive year in 2021, totaling 1 110 thousand US dollars, a 3.2% increase compared to 2020. From 2018 to 2021, imports rose by 58.3%, averaging an annualized growth rate of 16.5%.

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

Over the 2018-2021 period, Latvia, Poland, and Austria were the main sources for Estonia's rare gases imports in value terms. Latvia accounted for 33.5%, Poland for 31.4%, and Austria for 14.1% of total imports, together representing 79.0% of all flows.

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

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