Natural Gas Market Report 2026

The natural gas market size has grown strongly in recent years. It will grow from $1.47 trillion in 2025 to $1.59 trillion in 2026 at a compound annual growth rate (CAGR) of 7.7%. The growth in the historic period can be attributed to growth in electricity demand, expansion of pipeline networks, industrial fuel switching, residential heating needs, development of gas fired power plants.

The natural gas market size is expected to see strong growth in the next few years. It will grow to $2.1 trillion in 2030 at a compound annual growth rate (CAGR) of 7.3%. The growth in the forecast period can be attributed to clean energy transition policies, growth in LNG trade, expansion of gas fueled transport, energy security initiatives, rising demand from emerging economies. Major trends in the forecast period include rising use in power generation, expansion of LNG and CNG infrastructure, growing adoption in industrial heating, increased role in energy transition, growth of gas based transportation fuels.

The anticipated growth of the natural gas market is further fueled by the escalating global energy demand. Natural gas, known for its clean-burning properties, minimal carbon emissions, and efficiency, is a versatile energy source widely used across various applications. For instance, in September 2023, the International Energy Agency reported a 1.3% increase in total net power generation compared to September 2022, reaching 879 TWh. This surge in global energy demand is a significant factor driving the natural gas market.

Key companies in the compressed natural gas (CNG) market are focusing on innovations such as pressure-harnessing systems for decentralized and energy-efficient gas compression. These systems utilize naturally occurring high gas pressures from deep shale formations, eliminating the need for conventional mechanical compressors and offering lower capital and operating costs, faster trailer fill times, and reduced environmental impact. For example, in April 2024, NuBlu Energy Inc., a U.S.-based energy technology company, partnered with CNX Resources Corporation to deploy the ZeroHP CNG™ system. This technology produces CNG using high geobaric pressures, enabling rapid filling of virtual pipeline trailers, reducing emissions, and providing decentralized CNG production at sites without pipeline access.

In October 2025, Tata Motors Passenger Vehicles Limited, an India-based commercial vehicle manufacturer, formed a strategic partnership with THINK Gas to advance India’s liquefied natural gas (LNG) trucking ecosystem. Through this collaboration, the companies aim to accelerate the development of LNG refueling infrastructure along key freight corridors and promote the adoption of LNG-powered heavy-duty trucks, supporting cleaner, more efficient freight transport and decarbonization of India’s logistics sector. THINK Gas Distribution Private Limited, an India-based city gas distribution company, specializes in developing and operating LNG/CNG fuel infrastructure while ensuring high fuel quality and reliable supply for commercial vehicle fleets.

Major companies operating in the natural gas market are Sinopec Group, China National Petroleum Company, Exxon Mobil Corporation, PetroChina Co. Ltd., Royal Dutch Shell plc, TotalEnergies SE, Chevron Corporation, Equinor ASA, Gazprom, Eni S.p.A., LUKOIL Lubricants company, Petroleo Brasileiro S.A., Rosneft Oil Company, ConocoPhillips, VNG AG, Occidental Petroleum Corporation, Pioneer Natural Resources Company, Novatek OAO, Devon Energy Corp, Woodside Energy Ltd., Southwestern Energy Company, BP p.l.c., Origin Energy Ltd., NGL Energy Partners LP, Santos Ltd., EQT Corporation, Antero Resources Corporation, Chesapeake Energy Corporation, Range Resources Corporation, Husky Energy Inc., Ascent Resources Upstream LLC, Tellurian Inc., Viper Energy Partners LP, W&T Offshore Holdings LLC.

Asia-Pacific was the largest region in the natural gas market in 2025. The regions covered in the natural gas market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the natural gas market report are China, India, Japan, Australia, Indonesia, South Korea, Bangladesh, Thailand, Vietnam, Malaysia, Singapore, Philippines, Hong Kong, Taiwan, New Zealand, UK, Germany, France, Italy, Spain, Austria, Belgium, Denmark, Finland, Ireland, Netherlands, Norway, Portugal, Sweden, Switzerland, Russia, Czech Republic, Poland, Romania, Ukraine, USA, Canada, Mexico, Brazil, Chile, Argentina, Colombia, Peru, Saudi Arabia, Israel, Iran, Turkey, UAE, Egypt, Nigeria, South Africa.

The natural gas market consists of sales of methane, ethane, butane, and propane. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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