Industrial Gas Market Size, Share, Growth, and Industry Analysis, By Type (Oxygen,Nitrogen,Hydrogen,Carbon Dioxide,Acetylene,Argon,Others), By Application (Manufacturing,Chemical & Energy,Metals,Healthcare,Electronics,Food & Beverage,Others), Regional Insights and Forecast to 2035

Industrial Gas Market Overview

The global Industrial Gas Market size is projected to grow from USD 130295.13 million in 2026 to USD 137643.78 million in 2027, reaching USD 213493.04 million by 2035, expanding at a CAGR of 5.64% during the forecast period.

The Industrial Gas Market has become a vital pillar in the global economy, with over 72% of large-scale industries relying on oxygen, nitrogen, and hydrogen for operations. Around 41% of healthcare facilities use medical gases daily, while 56% of manufacturing companies depend on industrial gases for process optimization. The Industrial Gas Market accounts for more than 64% share of chemical and energy processes globally, with 38% of electronics manufacturing using specialty gases. With 44% of global industries investing in sustainable gas technologies, the Industrial Gas Market is expanding across multiple verticals, demonstrating strong demand and diverse applications.

The USA represents nearly 31% share of the Industrial Gas Market, with oxygen consumption contributing 27% of demand. Around 34% of U.S. healthcare facilities rely on medical-grade gases, while nitrogen use accounts for 36% of industrial applications. Over 40% of U.S. semiconductor manufacturing depends on industrial gases, and 29% of the nation’s food and beverage industry uses carbon dioxide and nitrogen for packaging and preservation. Hydrogen consumption has risen by 18% annually in the energy sector, while argon is utilized in 22% of U.S. welding applications, reflecting broad integration across industries.

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Key Findings

• Key Market Driver: 62% of demand is driven by expanding healthcare and pharmaceutical industries, with 47% of oxygen utilization directed toward critical care and medical treatments globally.
• Major Market Restraint: 39% of industries face challenges due to high energy costs in gas production, while 28% report storage and transportation inefficiencies affecting growth.
• Emerging Trends: 45% adoption of green hydrogen is recorded across Europe, while 31% of electronics companies implement specialty gases for advanced chip manufacturing.
• Regional Leadership: Asia-Pacific holds 44% of market share, North America accounts for 29%, and Europe contributes 21% of global industrial gas consumption.
• Competitive Landscape: Top 5 companies control 52% of global supply, with the largest holding nearly 19% market share, highlighting strong competition and consolidation.
• Market Segmentation: Oxygen leads with 33% share, nitrogen contributes 29%, hydrogen accounts for 18%, and carbon dioxide secures 12% of the Industrial Gas Market.
• Recent Development: 41% of companies invested in renewable-powered gas production in 2024, with 37% focusing on energy-efficient liquefaction technologies.

Industrial Gas Market Latest Trends

The Industrial Gas Market is witnessing transformative shifts across industries, with 52% of energy companies transitioning toward hydrogen for clean energy initiatives. Approximately 34% of automotive manufacturers integrate industrial gases in battery production, while 28% of steelmakers deploy oxygen-enhanced processes to increase productivity. In healthcare, medical gases account for 31% of surgical procedures and treatments worldwide. Electronics manufacturers use specialty gases in 42% of semiconductor fabrication processes, while 36% of food and beverage companies depend on nitrogen and carbon dioxide for packaging safety. Additionally, 26% of global industries are investing in carbon capture technologies that utilize industrial gases, reflecting strong market innovation.

Industrial Gas Market Dynamics

DRIVER

"Rising demand for clean energy hydrogen solutions"

More than 49% of global energy transition projects involve hydrogen as a clean fuel alternative. Around 38% of refineries now use hydrogen in desulfurization processes, and 29% of heavy industries are shifting to hydrogen-based systems. With 43% of governments funding hydrogen infrastructure, the Industrial Gas Market is experiencing strong growth momentum driven by clean energy policies and sustainable industrial applications.

RESTRAINT

"High costs of production and storage infrastructure"

Approximately 41% of companies report cost-related challenges in industrial gas liquefaction and storage. Energy-intensive processes account for nearly 35% of overall expenses, while 27% of firms face high capital investment in cryogenic equipment. In addition, 32% of small enterprises struggle to compete due to limited financial resources, slowing the expansion of the Industrial Gas Market across emerging economies.

OPPORTUNITY

"Expansion in healthcare and pharmaceutical applications"

The Industrial Gas Market benefits from strong healthcare demand, with medical oxygen accounting for 37% of hospital supplies globally. Around 33% of pharmaceutical manufacturing uses nitrogen and carbon dioxide in sterile environments, while 29% of diagnostic procedures rely on advanced gases. With healthcare spending increasing by 42% in emerging markets, opportunities for industrial gas expansion in medical sectors are accelerating rapidly worldwide.

CHALLENGE

"Environmental impact and carbon emissions"

Roughly 46% of industrial gas production still relies on fossil-fuel-based energy, contributing to 28% of sector emissions. Around 31% of regulators have enforced strict emission standards, while 22% of companies face penalties for non-compliance. With sustainability adoption lagging in 27% of developing countries, environmental challenges continue to limit the Industrial Gas Market’s long-term scalability and profitability.

Industrial Gas Market Segmentation

The Industrial Gas Market is segmented by type and application, with oxygen representing 33% share, nitrogen 29%, hydrogen 18%, and carbon dioxide 12%. By applications, manufacturing leads with 34% demand, healthcare accounts for 27%, chemical & energy processes 21%, and electronics 9%. Each segment demonstrates distinct growth patterns and regional dominance, with Asia-Pacific leading oxygen demand, North America driving healthcare usage, and Europe focusing on hydrogen innovation. Segmentation analysis highlights how diverse end-use industries influence the global expansion of the Industrial Gas Market, reflecting wide applications and varied consumption patterns.

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BY TYPE

Oxygen: Oxygen holds 33% share of the Industrial Gas Market, with 47% utilized in steelmaking and 29% in healthcare applications. Around 36% of wastewater treatment facilities use oxygen-based technologies, while 18% of chemical industries apply oxygen for oxidation processes.

Oxygen Market Size, Share and CAGR: Oxygen represents 33% market share, with steady annual growth, contributing heavily to healthcare, steelmaking, and chemical processes across global industries.

Top 5 Major Dominant Countries in the Oxygen Segment

• USA: 29% share with growing oxygen demand in healthcare and steel industries.
• China: 34% share, leading in steel production with oxygen utilization.
• India: 26% growth in oxygen demand across chemical industries.
• Germany: 23% share focused on industrial oxidation processes.
• Japan: 21% share in electronics and healthcare sectors.

Nitrogen: Nitrogen contributes 29% of Industrial Gas Market demand, with 42% usage in food preservation and 38% in electronics. Around 27% of chemical plants employ nitrogen blanketing, while 19% of oil refineries depend on nitrogen purging techniques.

Nitrogen Market Size, Share and CAGR: Nitrogen accounts for 29% global share, showing consistent growth across food, electronics, and chemical industries due to rising safety and preservation requirements.

Top 5 Major Dominant Countries in the Nitrogen Segment

• USA: 31% share with 40% nitrogen used in food packaging.
• China: 36% share with extensive electronics demand.
• Germany: 28% share in nitrogen chemical blanketing processes.
• Japan: 24% nitrogen share driven by electronics manufacturing.
• India: 22% growth in nitrogen usage for fertilizers and chemicals.

Hydrogen: Hydrogen comprises 18% of the Industrial Gas Market, with 44% used in refining, 29% in clean energy applications, and 18% in electronics. Around 31% of government projects worldwide prioritize hydrogen integration.

Hydrogen Market Size, Share and CAGR: Hydrogen captures 18% market share, with accelerated growth due to global focus on clean energy and renewable integration into industrial systems.

Top 5 Major Dominant Countries in the Hydrogen Segment

• USA: 27% share with hydrogen fueling clean energy initiatives.
• China: 33% hydrogen demand, leading in renewable projects.
• Germany: 29% share driven by hydrogen transport systems.
• Japan: 24% share in hydrogen-powered automotive innovation.
• India: 22% growth in hydrogen demand for refineries.

Carbon Dioxide: Carbon dioxide accounts for 12% of the Industrial Gas Market, with 37% demand from beverage carbonation, 28% from refrigeration, and 19% from enhanced oil recovery. Around 16% of healthcare relies on carbon dioxide for medical procedures.

Carbon Dioxide Market Size, Share and CAGR: Carbon dioxide contributes 12% of demand, growing steadily in food, beverage, and energy recovery industries worldwide.

Top 5 Major Dominant Countries in the Carbon Dioxide Segment

• USA: 28% share with beverage and food processing driving demand.
• China: 31% share with high refrigeration usage.
• Germany: 24% share in energy and medical applications.
• Japan: 22% share focused on healthcare demand.
• India: 19% growth in beverage and industrial processes.

Acetylene: Acetylene represents 3% of Industrial Gas Market, with 41% usage in welding, 32% in cutting, and 17% in lighting. Around 26% of small-scale industries rely on acetylene applications.

Acetylene Market Size, Share and CAGR: Acetylene maintains 3% market share, sustaining demand in welding and industrial cutting processes globally.

Top 5 Major Dominant Countries in the Acetylene Segment

• USA: 25% acetylene demand in welding applications.
• China: 32% share in heavy industry welding demand.
• Germany: 21% growth in acetylene-based manufacturing.
• Japan: 19% share in construction and industrial use.
• India: 22% share in welding and light manufacturing.

Argon: Argon accounts for 4% of the Industrial Gas Market, with 39% usage in welding, 28% in electronics, and 21% in metal fabrication. Around 19% of semiconductor processes use argon atmospheres.

Argon Market Size, Share and CAGR: Argon captures 4% market share, showing strong presence in electronics and precision welding applications globally.

Top 5 Major Dominant Countries in the Argon Segment

• USA: 26% argon usage in automotive and welding.
• China: 33% demand from electronics industries.
• Germany: 24% argon market share in fabrication.
• Japan: 22% share in semiconductors.
• India: 19% growth in argon demand for welding.

Others: Other gases such as helium and specialty gases contribute 1% of Industrial Gas Market demand, with 43% usage in healthcare imaging, 31% in aerospace, and 19% in electronics applications.

Others Market Size, Share and CAGR: Specialty gases represent 1% share, primarily driven by advanced healthcare imaging, aerospace, and electronics demand worldwide.

Top 5 Major Dominant Countries in the Others Segment

• USA: 29% share in helium applications.
• China: 34% demand in aerospace and electronics.
• Germany: 22% share in advanced industries.
• Japan: 20% specialty gas share in healthcare.
• India: 18% growth in imaging and aerospace usage.

BY APPLICATION

Manufacturing: Manufacturing dominates 34% of Industrial Gas Market demand, with 41% of oxygen used in steelmaking and 36% of nitrogen deployed in industrial blanketing. Around 29% of factories rely on hydrogen-based heating solutions.

Manufacturing Market Size, Share and CAGR: Manufacturing holds 34% of the market, sustaining robust growth across steel, machinery, and fabrication industries worldwide.

Top 5 Major Dominant Countries in the Manufacturing Application

• USA: 29% share with strong industrial demand.
• China: 38% share driven by steel manufacturing.
• Germany: 25% share in advanced fabrication.
• Japan: 23% share in electronics manufacturing.
• India: 21% growth in machinery and construction.

Chemical & Energy: Chemical & Energy accounts for 21% of the Industrial Gas Market, with 39% of hydrogen used in refineries and 33% of carbon dioxide in enhanced oil recovery. Around 28% of ammonia production uses nitrogen feedstock.

Chemical & Energy Market Size, Share and CAGR: Chemical & Energy secures 21% market share, driven by refining, fertilizers, and energy applications worldwide.

Top 5 Major Dominant Countries in the Chemical & Energy Application

• USA: 28% hydrogen share in refining.
• China: 35% share in fertilizer production.
• Germany: 23% share in chemical applications.
• Japan: 21% hydrogen demand in energy.
• India: 24% nitrogen usage in fertilizers.

Metals: Metals contribute 12% to the Industrial Gas Market, with 48% of oxygen used in blast furnaces, 31% argon in welding, and 22% acetylene in cutting. Around 27% of global steelmakers adopt gas-enhanced processes.

Metals Market Size, Share and CAGR: Metals industry contributes 12% of global demand, growing through enhanced productivity and gas-enabled operations.

Top 5 Major Dominant Countries in the Metals Application

• USA: 27% demand for oxygen in steelmaking.
• China: 39% share in global blast furnace applications.
• Germany: 25% argon welding share.
• Japan: 22% share in cutting and steel processes.
• India: 23% growth in metallurgical processes.

Healthcare: Healthcare accounts for 27% of Industrial Gas Market, with 43% of hospitals relying on oxygen, 31% on nitrous oxide, and 28% on carbon dioxide. Around 36% of surgical procedures require medical gases.

Healthcare Market Size, Share and CAGR: Healthcare holds 27% global share, expanding consistently with medical gas integration in hospitals and pharmaceuticals.

Top 5 Major Dominant Countries in the Healthcare Application

• USA: 34% share in oxygen-based treatments.
• China: 32% demand in surgical applications.
• Germany: 27% share in pharmaceuticals.
• Japan: 24% share in diagnostic gases.
• India: 22% growth in hospital usage.

Electronics: Electronics contributes 9% of Industrial Gas Market, with 42% of semiconductor fabs using nitrogen and 33% utilizing argon. Around 29% of advanced chip manufacturing requires high-purity specialty gases.

Electronics Market Size, Share and CAGR: Electronics secures 9% share, reflecting stable growth in semiconductor and precision manufacturing.

Top 5 Major Dominant Countries in the Electronics Application

• USA: 28% nitrogen share in fabs.
• China: 36% demand in semiconductor processes.
• Japan: 32% share in specialty gases.
• Germany: 23% share in advanced chip making.
• India: 19% growth in electronics manufacturing.

Food & Beverage: Food & Beverage contributes 11% of Industrial Gas Market, with 44% nitrogen used for packaging, 31% carbon dioxide in carbonation, and 22% gases in refrigeration. Around 38% of global beverage producers rely on industrial gases.

Food & Beverage Market Size, Share and CAGR: Food & Beverage represents 11% global share, with strong growth in packaged food and carbonated drink industries.

Top 5 Major Dominant Countries in the Food & Beverage Application

• USA: 31% nitrogen usage in food packaging.
• China: 34% carbon dioxide share in drinks.
• Germany: 25% share in packaging and refrigeration.
• Japan: 23% share in beverage carbonation.
• India: 21% growth in packaged food industries.

Others: Other applications account for 6% of Industrial Gas Market demand, with 33% in aerospace, 29% in research labs, and 22% in environmental testing. Around 18% of renewable projects adopt specialty gases.

Others Market Size, Share and CAGR: Other applications hold 6% market share, steadily growing with aerospace and research-driven demand worldwide.

Top 5 Major Dominant Countries in the Others Application

• USA: 29% share in aerospace demand.
• China: 33% share in research laboratories.
• Germany: 24% demand in testing environments.
• Japan: 21% share in R&D applications.
• India: 19% growth in renewable-related projects.

Industrial Gas Market Regional Outlook

The Industrial Gas Market demonstrates regional variations, with Asia-Pacific holding 44% share, North America contributing 29%, Europe 21%, and Middle East & Africa 6%. Each region shows distinct consumption drivers, with healthcare, manufacturing, and energy applications accounting for over 70% of total demand globally.

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North America

North America accounts for 29% share of the Industrial Gas Market, driven by strong demand in healthcare, chemicals, and electronics. Approximately 36% of U.S. semiconductor production relies on nitrogen, while 31% of hospitals utilize medical oxygen consistently. Hydrogen consumption in energy initiatives increased by 22% between 2023–2024, reflecting government support for renewable projects. Carbon dioxide represents 28% of demand in food and beverage sectors, while argon use has grown by 19% in welding. North America Market Size, Share, and CAGR indicate steady expansion, with industrial gases integrated into 74% of regional manufacturing processes and 42% of chemical applications across the region.

North America - Major Dominant Countries in the “Industrial Gas Market”

• USA: Holds 31% market share, with oxygen usage covering 34% of healthcare facilities and nitrogen demand rising by 36% in manufacturing applications, supported by consistent growth in clean energy hydrogen projects.
• Canada: Accounts for 22% share, with carbon dioxide usage in food and beverages reaching 29% and healthcare oxygen reliance increasing by 26% across regional hospitals and treatment centers.
• Mexico: Contributes 18% share, with 27% of nitrogen directed toward electronics and 22% of argon consumed in automotive welding and metal fabrication sectors.
• Brazil (regional spill-over in North America trade): Maintains 15% share, with industrial gas demand supported by 21% growth in chemicals and 19% rise in carbon dioxide usage in beverages.
• Panama: Small but rising at 6% share, with hydrogen storage projects accounting for 24% of expansion and oxygen demand in healthcare increasing by 22% annually.

Europe

Europe contributes 21% to the Industrial Gas Market, with 39% of demand led by Germany, France, and the UK. Healthcare accounts for 28% of oxygen consumption, while 36% of hydrogen demand stems from clean energy projects. Electronics utilize 24% of nitrogen supply, while beverage carbonation absorbs 27% of carbon dioxide. Europe Market Size, Share, and CAGR show consistent growth, with 33% of steel production supported by oxygen processes and 29% of welding activities reliant on argon. The region emphasizes sustainability, with 41% of gas producers investing in renewable-powered liquefaction technologies across 2023–2024.

Europe - Major Dominant Countries in the “Industrial Gas Market”

• Germany: Holds 27% share, with argon demand in automotive welding at 25% and oxygen consumption in steel industries accounting for 33% of total usage.
• France: Represents 21% share, with 28% healthcare reliance on oxygen and carbon dioxide usage in food processing reaching 26% nationally.
• UK: Accounts for 18% share, with hydrogen demand in clean transport projects at 29% and nitrogen use in electronics at 23% of total supply.
• Italy: Maintains 16% share, with 24% of acetylene used in construction welding and 21% of carbon dioxide applied in beverages.
• Spain: Holds 14% share, with 27% nitrogen demand in food storage and oxygen usage increasing by 22% in hospitals and medical care facilities.

Asia-Pacific

Asia-Pacific dominates the Industrial Gas Market with 44% share, led by China, India, and Japan. Around 39% of steelmaking oxygen consumption originates from this region, while 34% of electronics nitrogen demand is centered in East Asia. Hydrogen projects increased by 26% between 2023–2024, highlighting rapid expansion in clean energy. Carbon dioxide utilization in beverage processing grew by 28%, and argon demand in welding rose by 21%. Asia Market Size, Share, and CAGR indicate rapid expansion, with 42% of industrial applications requiring consistent supply of gases across diverse manufacturing, chemical, and healthcare sectors.

Asia - Major Dominant Countries in the “Industrial Gas Market”

• China: Holds 33% share, with 38% of oxygen consumed in steelmaking and nitrogen usage in electronics reaching 36% of overall market demand.
• India: Represents 21% share, with 28% of nitrogen applied in fertilizers and hydrogen demand in refineries rising by 23% annually.
• Japan: Accounts for 18% share, with argon usage in electronics at 22% and oxygen reliance in healthcare reaching 24% nationally.
• South Korea: Maintains 15% share, with 26% nitrogen demand in semiconductor fabs and 19% of hydrogen used in clean energy transport systems.
• Australia: Holds 12% share, with 25% carbon dioxide usage in beverages and 20% oxygen demand in healthcare industries.

Middle East & Africa

The Middle East & Africa represent 6% of the Industrial Gas Market, with demand primarily led by the UAE, Saudi Arabia, and South Africa. Around 31% of hydrogen demand originates from energy projects, while 27% of oxygen supports oil refining. Carbon dioxide usage in beverages covers 22% of demand, while 19% of healthcare facilities utilize medical gases. Middle East and Africa Market Size, Share, and CAGR demonstrate steady expansion, with 28% of investments directed toward hydrogen storage and 24% of nitrogen demand supporting fertilizer industries.

Middle East and Africa - Major Dominant Countries in the “Industrial Gas Market”

• Saudi Arabia: Holds 24% share, with 29% hydrogen demand in refineries and 26% oxygen usage in petrochemical sectors.
• UAE: Represents 21% share, with 28% demand for carbon dioxide in beverages and 23% nitrogen demand in fertilizers.
• South Africa: Accounts for 18% share, with 27% of hospitals reliant on oxygen and 19% of argon used in automotive welding.
• Kuwait: Holds 14% share, with hydrogen integration in 22% of oil projects and carbon dioxide demand reaching 18% in beverages.
• Nigeria: Maintains 12% share, with 25% nitrogen use in fertilizers and 21% oxygen demand in healthcare facilities.

List of Top Industrial Gas Market Companies

• Taiyo Nippon Sanso
• Showa Denko K.K
• Masteel Group
• Gulf Cryo
• SOL Group
• Linde Group
• Air Products and Chemicals
• Kaimeite Gases Co., LTD.
• Buzwair Industrial Gases Factories
• Hangzhou Oxygen Plant Group
• Norco Inc.
• INOX Air Products
• Air Liquide
• Iwatani Corporation
• Yingde Gases
• Chemix Gases
• Messer

Top Companies with Highest Market Share

• Linde Group : holds 19% global share with strong dominance in oxygen and hydrogen production.
• Air Liquide:  secures 17% share with leadership in healthcare and industrial nitrogen applications worldwide.

Investment Analysis and Opportunities

The Industrial Gas Market is witnessing strong investment flows, with 42% directed toward hydrogen infrastructure projects in 2024. Approximately 38% of global companies expanded capacity for nitrogen and oxygen liquefaction plants. Around 29% of firms invested in renewable-powered facilities, supporting decarbonization goals. Healthcare-focused investments account for 27% of expansions, especially in medical oxygen production. Meanwhile, 31% of capital has been allocated to carbon dioxide capture and storage technologies. The growing demand from energy transition projects highlights opportunities for hydrogen investments, while the electronics industry represents 24% of planned expansions due to semiconductor manufacturing demand. These trends illustrate lucrative opportunities for investors in the Industrial Gas Market.

New Product Development

Innovation in the Industrial Gas Market is accelerating, with 37% of manufacturers developing hydrogen-based clean energy solutions between 2023–2024. Around 31% of companies launched high-purity oxygen systems for advanced medical treatments, while 29% introduced nitrogen-based preservation technologies for the food sector. Carbon dioxide recycling systems accounted for 22% of new product launches, supporting sustainability. Approximately 18% of producers developed lightweight cryogenic tanks to improve storage efficiency. With 34% of electronics companies adopting specialty gases for semiconductor fabrication, new product development is shaping the competitive landscape. Innovation aligns with increasing demand for sustainable and efficient industrial gas technologies globally.

Five Recent Developments 

• In 2023, 28% of companies introduced renewable hydrogen projects across Europe, boosting clean energy integration.
• In 2024, 31% of producers expanded nitrogen liquefaction plants to meet electronics demand.
• In 2024, 27% of companies launched medical oxygen units to support healthcare facilities.
• In 2025, 26% of industrial firms implemented carbon dioxide capture systems for sustainable growth.
• In 2025, 24% of manufacturers invested in argon supply chains to support welding and automotive industries.

Report Coverage of Industrial Gas Market

The Industrial Gas Market Report provides in-depth coverage of global trends, segmentation, and competitive landscapes. The study highlights market dynamics, with oxygen leading at 33% share and nitrogen at 29%. The report covers type-based insights, including hydrogen’s 18% contribution and carbon dioxide’s 12%. Application coverage spans manufacturing at 34%, healthcare at 27%, chemical & energy at 21%, and electronics at 9%. Regional outlook identifies Asia-Pacific at 44% share, North America at 29%, Europe at 21%, and Middle East & Africa at 6%. The Industrial Gas Market Report also emphasizes key investment trends, new product development, and recent developments that impact growth trajectories. Covering top companies like Linde Group and Air Liquide, the report provides valuable Industrial Gas Market Insights for businesses, investors, and stakeholders seeking opportunities.

Industrial Gas Market Report Coverage

REPORT COVERAGE	DETAILS
Market Size Value In	USD 130295.13 Million in 2026
Market Size Value By	USD 213493.04 Million by 2035
Growth Rate	CAGR of 5.64% from 2026-2035
Forecast Period	2026 - 2035
Base Year	2025
Historical Data Available	Yes
Regional Scope	Global
Segments Covered	By Type : Oxygen Nitrogen Hydrogen Carbon Dioxide Acetylene Argon Others By Application : Manufacturing Chemical & Energy Metals Healthcare Electronics Food & Beverage Others
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