Market Overview:
Hydrogen Generation Market Size Was Valued at USD 140.89 Billion in 2022, and is Projected to Reach USD 270.59 Billion by 2030, Growing at a CAGR of 8.5% From 2023-2030.
Hydrogen can be produced from various sources, including biomass, natural gas, coal, and other renewable and non-renewable energy sources. Currently, natural gas is the most commonly used resource for hydrogen production, with steam methane reformers being widely employed. However, alternative methods such as electrolysis and pyrolysis have emerged as modern processes for generating hydrogen. The thermochemical approach relies on fossil fuels to release hydrogen, while other methods leverage electrolysis or solar energy to split water into hydrogen and oxygen.
Top Key Players Covered in The Hydrogen Generation Market:
- Air Liquide (France)
- Iwatani Corporation (Japan)
- Hydrogenics (Canada)
- Messer Group (Germany)
- Showa Denko K.K. (Japan)
- Linde (UK)
- Epoch Energy Technology Corporation (Taiwan)
- Idroenergy Spa (Italy)
- Praxair Inc (U.S.)
- Air Products (U.S.)
- McPhy (France)
- LNI Swissgas (Switzerland)
- Airgas (U.S.)
- Parker Hannifin (U.S.)
- FuelCell Energy (U.S.) And Other Major Players.
Market Dynamics and Factors:
The rapid growth of fuel cell electric vehicles (FCEVs) in various sectors, including passenger cars, buses, and heavy-duty vehicles, is driven by the need for clean and emission-free transportation solutions. FCEVs utilize hydrogen as their main fuel source, enabling them to operate without emitting harmful pollutants. Increasing population growth and development activities in Asia-Pacific, the Middle East, and Africa are also factors. On the global market, concerns about the use of sustainable energy to reduce reliance on fossil fuels such as crude oil and natural gas are expanding in importance. According to the BP Statistical Review of World Energy 2020, which was published in June 2020, the Asia-Pacific region's total energy consumption increased to approximately 257.6 exajoules in 2019 from approximately 244.4 exajoules in 2018.
Refinery hydrogen consumption has been on the rise due to increased refining activity and stricter sulfur content regulations in fuels like gasoline and diesel. This trend is expected to continue as more countries adopt low-sulfur fuel standards. This will drive a significant increase in hydrogen generation for marine fuel production.
The Hydrogen Generation Market Report Highlight:
- By Systems Type, The Merchant segment is anticipated to dominate the Hydrogen Generation Market by centrally producing and delivering hydrogen to customers through bulk tanks, cylinder trucks, or pipelines.
- By Technology, the Steam methane reformation segment is expected to dominate the Hydrogen Generation market over the forecast period. Steam methane reformation is an advanced technique for generating hydrogen that produces not only hydrogen but also carbon monoxide and carbon dioxide.
- By Application, the chemical processing segment is anticipated to dominate the market during the forecast period. The chemical processing segment is dominating the hydrogen generation market due to its widespread application in industries such as petrochemicals, refineries, and ammonia production. Chemical processes, such as steam methane reforming, coal gasification, and electrolysis, are well-established and cost-effective methods for large-scale hydrogen production.
- The Asia Pacific region is expected to have the highest share of the Hydrogen Generation market over the projected period. The governments of Japan and Australia, among other Asia Pacific nations, are contemplating the adoption of environmentally friendly hydrogen production technologies, which is expected to stimulate growth in the regional market.
Key Industry Development:
In April 2021, Siemens Energy and Messer Group to Cooperate on Hydrogen Electrolysis in An Integrated Hub Concept. The partners intend to achieve the most economic operation possible, by maximizing cost efficiency and the utilization of all co-products in an integrated hub concept. In the Tarragona chemical park, Messer Ibérica operates a pipeline network for oxygen where this electrolysis co-product will be used.
In April 2023, Linde Signs an Agreement with ExxonMobil for Carbon Dioxide Off-take of carbon dioxide associated with Linde’s new clean hydrogen production in Beaumont, Texas. Under the terms of the agreement, ExxonMobil will transport and permanently store up to 2.2 million metric tons of carbon dioxide each year from Linde’s hydrogen production facility, equivalent to the emissions from nearly half a million cars per year.
Hydrogen Generation Market Segmentation:
By System Type
- Merchant
- Captive
By Technology
- Steam Methane Reforming
- Coal Gasification
By Application
- Chemical Processing
- Fuel Cells
- Petroleum Recovery
- Refining
- Others
For this report, Introspective Market Research has segmented the Hydrogen Generation Market based on region:
Regional Outlook (Revenue in USD Million; Volume in Units, 2023-2030)
North America
- The U.S.
- Canada
- Mexico
Eastern Europe
- Russia
- Bulgaria
- The Czech Republic
- Hungary
- Poland
- Romania
- Rest of Eastern Europe
Western Europe
- Germany
- UK
- France
- Netherlands
- Italy
- Spain
- Rest of Western Europe
Asia Pacific
- China
- India
- Japan
- Singapore
- Australia
- New-Zealand
- Rest of APAC
Middle East & Africa
- Turkey
- Saudi Arabia
- Qatar
- UAE
- Israel
- South Africa
South America
- Brazil
- Argentina
- Rest of SA
