Air Quality Monitoring System Market Size, Share & COVID-19 Impact Analysis, By Type (Indoor Monitors and Outdoor Monitors) By End-User (Commercial & Residential, Public Infrastructure, Power Generation Plants, Pharmaceutical Industry, and Others), and Regional Forecast, 2021-2028

The global air quality monitoring system market size was USD 5.02 billion in 2021 and is expected to grow USD 8.33 billion in 2028 at a CAGR of 7.5% from 2021-2028 period. This growth is attributed to the factors such as increased demand for improving air quality and compliance with regulations. The global impact of COVID-19 has been unprecedented and staggering, with the air quality monitoring devices witnessing a negative impact on demand across all regions amid the pandemic. Based on our analysis, the global market exhibited a lower growth of -1.3% in 2020 as compared to the average year-on-year growth during 2017-2019. The rise in CAGR is attributable to this market’s growth and demand, returning to pre-pandemic levels once the pandemic is over.

Air Quality Monitoring (AQM) is also termed as the continuous measurement of air pollutants, also called “criteria air pollutants.” It identifies different pollutants such as sulfur dioxide, particulate matter, Volatile Organic Compounds (VOC), carbon monoxide, and nitrous oxide. Improving air quality has led to increased demand for air quality monitors, as the contaminated air contains harmful pollutants responsible for health problems. Air pollution monitoring and control data are important for air pollution assessment, environment pollution policies by national and local authorities, public and private companies, and national organizations.

COVID-19 IMPACT

Investment Deficits to Slow Down Market Development during COVID-19

The rapid spread of new coronavirus, or COVID-19, has thrown various sectors and governments into disarray. Supply chain disruptions, a lack of adequate money among customers, halt in industrial activity, and a variety of other reasons have all had a substantial impact on business frameworks. Furthermore, some administrations have implemented stern actions, such as social distancing recommendations, national and state level lockdown restrictions, and restricted global interactions, in order to stop the spread of coronavirus infections, negatively impacting the financial prospects of businesses.

On account of the aforementioned factors, the air quality monitoring system market growth experienced a downward trend during COVID-19. Manufacturers of air quality monitors experienced several issues due to slowdown of industrial activity and lower orders. In addition, logistics & supply chain uncertainty caused various difficulties in obtaining raw materials and parts from suppliers, mainly those based in China and other Southeast Asian countries, created several roadblocks for manufacturers. Several market players including 3M company, Thermo Fisher, and Emerson, registered a decline in sales during 2020. Nonetheless, growing smart city investments across many regions will create favorable opportunities for market growth post-COVID-19.

LATEST TRENDS

Continuous Technological Advancements and R&D to Propel Industry Growth

The ongoing market research and development with advancement in AQM systems, such as nanotechnology-based systems and remote-sensing instruments, are estimated to offer better growth opportunities for prime and emerging players in this industry. Accordingly, different research organizations and industrial players are continuously focusing on commercializing and developing advanced AQM products. For example, AQM products based on nanotechnology offer various procedural benefits, including device miniaturization, real-time monitoring capabilities, and increased analytical efficacy.

Growing Mergers and Acquisitions among Prominent Players to Strengthen Market Outlook

Major market players are adopting different growth and expansion strategies, such as mergers, acquisitions, and collaborations, to strengthen their foothold in the market. For Instance, In November 2021, Acoem completed the acquisition of Met One Instruments, which is one of the developing state-of-the-art ambient air quality monitoring equipment from 1989. The acquisition will boost the vision of Acoem to become an all-inclusive environmental monitoring solutions provider. Also, Acoem will have access to unparalleled particle measurement technology, which will enable the firm to have greater significant expansion and collaborative opportunities of research and development capabilities. 

DRIVING FACTORS

Public Awareness and Favorable Public & Private Initiatives Related To Environment Conservation Will Surge Market Growth

Several favorable initiatives are taken by the regional government and non-government organizations, and the private sector to cut down and lower air pollution utilizing public awareness programs and campaigns. The increase in awareness of the severe effects of contaminated air on health has enhanced the air quality monitoring market growth. For instance, in November 2021, the Pune Municipal Corporation (PMC) in India has started initiatives under the Union government's National Clean Air Program(NCAP). This initiative aims to create a stringent implementation of measures for abatement, prevention, and control levels of air pollution, strengthening and augmenting the air quality monitoring network throughout the country by creating public awareness. Furthermore, the favorable government regulations related to control and monitoring of air pollution and the rise in public-private partnerships for AQM solutions have boosted the demand for air quality monitors.

Upcoming Smart Cities Projects to Accelerate Market Demand

The worldwide air quality monitoring system market is slated to witness a slew of new opportunities during the projected timeframe, powered by the rise in major smart city projects in many regions. For instance, in Ukraine, the Board of Executive Directors of the World Bank sanctioned a USD 0.22 billion funding in June 2021 for a new smart city project. The financing package also includes a USD 0.18 billion loan from the International Bank of Reconstruction and Development (IBRD). Similar trends in other countries will create a lucrative outlook for AQM system manufacturers worldwide.

RESTRAINING FACTORS

High Product Cost Poses Threat to Market

The high installation cost, along with the high maintenance cost of this device, is expected to restrain the market growth. Furthermore, the high maintenance cost of various pollution monitoring stations hinders the market for AQM systems. High costs associated with the maintenance, establishment, and purchase of AQM sensors with high establishment costs for air quality monitoring stations coupled with stringent pollution control policies further restrict the market growth.

SEGMENTATION

By Type Analysis

Indoor Air Quality Monitors to Augment Segment Outlook

Based on the product type, the market is classified into indoor and outdoor monitors. In the air quality system market by product, indoor monitors are expected to hold a major share in the market, owing to the increasing installation of AQM stations and several initiatives to enhance public awareness related to the health implications of indoor air pollution. Furthermore, the growing adaptation of green-building and smart home technologies and increasing preference for pollution-free indoor environments is estimated to drive the segmental outlook. On the other hand, outdoor monitors are estimated to grow at the highest CAGR during the projected period due to the public-private investments producing novel and affordable ambient monitoring products, growing industrial use of air pollution monitoring systems, and increasing end-user base.

By End-User Analysis

Commercial & Residential End-Use Segment to Dominate the Market Owing to Their Large Fleet Size

Based on the application, the global market is segmented into commercial & residential, public infrastructure, power generation plants, and others. The commercial & residential end-user is estimated to lead the market owing to high spending capacity, growing demand for a high-quality life, and rising need for protection from severe pollutants that cause health problems. Public infrastructure is expected to grow on account of various government agencies using AQM solutions and establishing national AQM networks. Also, air quality monitors play an important role in academic institutes to avoid the health impact and monitor air pollution.

REGIONAL INSIGHTS

The air quality monitoring system market size in the Asia Pacific stood at USD 1.54 billion in 2020. Countries in this market observe significant rise and growth in their GDPs by the regional government on air quality monitoring solutions, modernization of public and industrial infrastructures, and increasing cutting-edge environmental monitoring technologies primarily in rural areas. For instance, in January 2021, in India, an environment start-up based in Mumbai launched a dashboard to access CAAQMS (continuous ambient air quality monitoring standards). The initiative is to monitor pollution levels and deliver available air quality data of various cities across India.

North America holds a substantial position in the market owing to the presence of key manufacturers in the region. Manufacturers such as Thermo Fisher Scientific, 3M Company, Emerson Electric, Teledyne Technologies, Honeywell, and others have dominated the regional market for AQM systems. For instance, in March 2021, Thermo Fisher Scientific, one of the global leaders in serving science, declared the new Thermo Scientific AerosolSense Sampler launch, a surveillance solution developed to supply highly reliable insight for the in-air pathogens, including SARS CoV-2. The AerosolSense Sampler collects aerosol samples of ambient air and traps various in-air pathogens on a specific collection substrate. Thermo Fisher Scientific designed the AerosolSense Sampler to catch various in-air pathogens and has primarily validated it for the SARS CoV-2 pathogen. In addition, owing to the increasing consumer preference for clean air, the US influences the regional market.

Europe is expected to grow due to the favorable initiatives carried out by the countries in the region to improve air quality. Furthermore, the UN’s framework to lower greenhouse gas emissions, combined with air filtration technologies, is set to enhance the market growth. Germany is one of the leading manufacturers of air quality monitoring solutions and sensors. Manufacturers such as Renesas Electronics, Testo, and others have industrial facilities in the country which augment the market outlook. For example, in January 2021, Aeroqual introduced a high-range electrochemical ozone sensor compatible with ozone sterilization applications. The firm also developed a new ppm nitrogen dioxide (NO2) sensor that contains an integrated ozone (O3) filtering layer for NO2 measurements. Also, in November 2020, Envira developed an indoor air quality monitoring solution primarily for restaurants, hotels, and cafés. With this initiative, the firm aims to prevent indoor polluted air and lower the spread of viruses in the region.

KEY INDUSTRY PLAYERS

Thermo Fisher Scientific and 3M Company are Among Prominent Market Players

The competitive landscape of the global market is dominated by Thermo Fisher Scientific and 3M Company. These companies occupy a leading market share across North America, Europe, and the Asia Pacific. The presence of other major players such as Horiba, PerkinElmer, Testo, Merck, and others makes the market highly competitive. Extensive customer reach and higher brand value as opposed to other companies has allowed companies such as Thermo Fisher Scientific and 3M gain a solid foothold in the global market.

List of Key Companies Profiled:

• Thermo Fisher Scientific (U.S.)


• Emerson Electric (U.S.)


• 3M Company (U.S.)


• Horiba, Ltd. (Japan)


• Siemens AG (Germany)


• Teledyne Technologies (U.S.)


• PerkinElmer (U.S.)


• Agilent Technologies (U.S.)


• Spectris (U.K.)


• Honeywell (U.S.)


• Merck (U.S.)


• TSI Incorporated (U.S.)


• Tisch Environmental (U.S.)


• Testo (Germany)

KEY INDUSTRY DEVELOPMENTS:

• October 2021: Ricardo, a global engineering, environmental, strategic consulting firm, will provide prime air quality data analysis and monitoring in the Middle East region with a three-year agreement. Working in integration with air monitoring equipment provider Envirozone LLC, the company will audit, ratify data, and quality assurance from a global class monitoring network in the capital of Saudi Arabia for the Royal Commission for Riyadh City.


• October 2021: Ball Aerospace & Technologies Corp. secured a contract of 20-month for the National Oceanic and Atmospheric Administration’s Geostationary Extended Observations (GeoXO) study that will supply 3-D atmospheric data set for US’s emergency managers and forecasters. In addition to delivering real-time situational awareness, the instruments will also improve air quality monitoring, which will help reduce health impacts from pollution, according to a statement by Ball’s vice president.

REPORT COVERAGE

The global market report provides a detailed analysis of the market and focuses on key aspects such as leading companies, product types, and leading applications of the product. Besides this, the report offers insights into the market trends and highlights key industry developments. In addition to the aforementioned factors, the report encompasses several factors that have contributed to the growth of the market over recent years.

REPORT SCOPE & SEGMENTATION