Inhalation Anesthesia Market

The valuation of the global inhalation anesthesia market was USD 1.46 billion in 2022, and it is projected to grow at a CAGR of 9.04% from 2023 to 2030. The market expansion can be attributed to the increasing number of surgical procedures and the demand for shorter hospital stays. Inhalation anesthesia offers better patient outcomes compared to the intravenous route. Administering anesthetic agents through the respiratory tract enables controlled and effective sedation, which is both cost-effective and safe. The advantages of the inhalation route over the intravenous route are key drivers of market growth. Inhalation anesthesia is particularly beneficial for patients on ventilation for more than 24 hours, as it facilitates easy monitoring of their health. Thus, the superior patient benefits associated with inhalation anesthesia, compared to the intravenous version, are expected to drive revenue growth during the forecast period.

According to data from the NCBI, approximately 310 million major surgeries are performed worldwide each year, with around 40-50 million occurring in the U.S. and 20 million in Europe. The post-COVID-19 situation has led to an increase in elective surgeries, further fueling the demand for inhalation anesthetics. In 2020, during the COVID-19 pandemic, the Centers for Medicare and Medicaid Services advised hospitals to minimize, postpone, or cancel elective surgeries, resulting in a 48% reduction in surgical procedures in the U.S. Inhaled anesthetics are commonly used to provide general anesthesia. According to data from the National Institutes of Health (NIH), nearly 60,000 individuals undergo surgical procedures under general anesthesia. Life-saving surgeries such as brain surgery, open-heart surgery, or organ transplantation would not be possible without general anesthesia, which drives the demand for inhaled anesthetic drugs.

Inhaled anesthetics contribute to a reduction in patients' overall healthcare expenses. Critically ill patients who have undergone surgery are often admitted to intensive care units (ICUs), which increases healthcare costs due to longer hospital stays. Inhalation anesthesia enables surgeons to adjust the dosage to minimize additional hospitalization, whereas this is not feasible with the intravenous form, thereby reducing patients' overall healthcare expenditure.

Drug Insights

Sevoflurane accounted for the largest market share of 62.54% in the inhalation anesthesia industry in 2022. This is due to its potency, rapid action, and faster emergence and recovery compared to other available drugs. However, sevoflurane is more expensive than alternative options. These factors have made sevoflurane the preferred choice for surgeons during surgical procedures for inducing and maintaining anesthesia.

Isoflurane is expected to exhibit the highest growth rate during the forecast period. When considering fresh gas flow rates, sevoflurane and desflurane cost two to three times more than isoflurane. Therefore, isoflurane is the preferred choice of anesthesiologists in developing countries, where cost sensitivity among patients is a significant factor.

In terms of end-use, hospitals dominated the inhalation anesthesia market with a share of 68.54% in 2022. This is attributed to the high number of surgeries performed in hospital settings. Additionally, the presence of anesthesiologists and better patient monitoring services support the dominance of the hospital segment. However, European hospitals are aiming to reduce harmful gas emissions by decreasing the usage of inhalation anesthesia, which may have a negative impact on market growth.

The ambulatory surgical centers segment is projected to grow at the fastest rate during the forecast period. These centers specialize in same-day surgeries, where inhalation anesthetics with fast effects and recovery times are required. As these patients do not require an overnight stay, inhalation anesthesia has a competitive edge in ambulatory surgical center settings.

In terms of applications, the maintenance segment dominated the inhalation anesthesia industry with a share of 84.91% in 2022. Inhaled anesthetics are preferred for maintaining anesthesia as they allow for more precise control and are cost-effective. However, in June 2022, the American Society of Anesthesiologists introduced guidelines to mitigate the impact of greenhouse gases, including a reduction in the use of inhalation anesthesia, which could negatively influence market growth.

Various factors influence the induction of anesthesia, including the therapeutic index of a drug, Minimum Alveolar Concentration (MAC), potency, patient's age, metabolism rate by the kidney/liver, compatibility with other drugs, and blood/gas solubility. Different inhalation general anesthetic agents have distinct mechanisms of action in the central nervous system, depending on their blood and gas solubility and the Minimum Alveolar Concentration (MAC) of the specific drugs.

Regional Insights

In 2022, North America emerged as the leading revenue-generating region in the inhalation anesthesia industry, holding a share of 52.37%. This can be attributed to the increased number of surgeries performed in the United States and the successful market presence of key players in the region. Piramal Enterprises Limited, a prominent player in inhalation anesthetics, holds the largest market share for sevoflurane and isoflurane in North America. The substantial presence of registered hospitals in the United States also contributes to the high demand for anesthetic drugs during surgical procedures. Between August 2020 and March 2021, the total number of hospitals in the United States increased by 61%.

The Asia Pacific region is expected to experience the highest growth rate during the forecast period. This growth is driven by the increasing population in the region, resulting in a greater number of surgical procedures being performed. The growing elderly population is also a significant factor contributing to the higher incidence of diseases in the region, thereby increasing the demand for inhaled anesthetic drugs. China, in particular, widely utilizes sevoflurane and desflurane for day surgeries due to their advantages, such as rapid response and faster recovery. However, European regions are focusing on reducing the usage of inhalation anesthetics. For example, in March 2023, Scotland announced a ban on the use of inhaled anesthetic desflurane due to its adverse environmental impact. This initiative is expected to reduce harmful emissions by 40 kilotons.

Key Companies & Market Share Insight

To secure their market shares, the major players in the industry are implementing various strategic initiatives such as mergers and acquisitions, technological collaborations, partnerships, and innovative product developments and launches. Leading companies like Baxter, Abbvie, Halocarbon Life Sciences, Sandoz, and Piramal hold significant market shares. For instance, in January 2019, Sandoz International GmbH introduced Desflurane liquid as an inhalation agent for the induction and maintenance of anesthesia in adults and pediatric patients undergoing inpatient and outpatient surgeries in the United States. This product launch marked the first generic version of Suprane available in the U.S. market.

Some of the key players in the global inhalation anesthesia market include:

• Halocarbon Products Corporation

• Baxter

• AbbVie Inc.

• Lunan Pharmaceutical Group

• Piramal Enterprises Ltd.

• Sandoz International GmbH

• Fresenius Kabi AG

Global Inhalation Anesthesia Market Report Segmentation

This report presents a revenue growth forecast and analyzes the latest trends in each of the sub-segments from 2018 to 2030. The global inhalation anesthesia market report, prepared by Grand View Research, is segmented based on drug, application, end-use, and region for the purpose of this analysis.

Drug Outlook (Revenue, USD Million, 2018 - 2030)
• Sevoflurane
• Desflurane
• Isoflurane
• Others

Application Outlook (Revenue, USD Million, 2018 - 2030)
• Induction
• Maintenance

End-Use Outlook (Revenue, USD Million, 2018 - 2030)
• Hospitals
• Ambulatory Surgical Centers
• Others

Regional Outlook (Revenue, USD Million, 2018 - 2030)
• North America
o U.S.
o Canada
• Europe
o Germany
o France
o UK
o Italy
o Spain
o Denmark
o Sweden
o Norway
• Asia Pacific
o Japan
o China
o India
o South Korea
o Australia
o Thailand
• Latin America
o Brazil
o Mexico
o Argentina
• Middle East & Africa
o South Africa
o Saudi Arabia
o UAE
o Kuwait