Hydrogen Generation Industry worth $257.9 Billion By 2028

Hydrogen Generation Industry worth $257.9 Billion By 2028

According to a new market research report, The global hydrogen generation market is projected to reach USD 257.9 billion by 2028 at a CAGR of 10.2% during the forecast period.

The growing demand for cleaner fuels is one of the major factors driving the hydrogen generations market. Global hydrogen generation demand has been increasing gradually due to goals set to achieve net zero emissions in recent years. Hydrogen has long been recognized as a possible low-carbon transportation fuel, but incorporating it into the mix of transportation fuels has been a challenge. It has an advantage over fossil fuels and is becoming expensive day by day. There has been enormous demand for hydrogen for use in fuel-cell electric vehicles and rockets in the aerospace industry. In the transportation sector, fuel cell costs and refueling stations determine how competitive hydrogen fuel cell automobiles are, but lowering the supplied price of hydrogen is a top concern for truck manufacturers.

Key Market Players

ADM (US),

Chevron (US),

Valero (US),

Neste (Finland),

Cargill, Incorporated (US) among others...

The electrolysis segment, by technology, is expected to be the fastest growing market during the forecast period.

This report segments the hydrogen generation market size is based on technology into five types: steam methane reforming (SMR), partial oxidation (POX), coal gasification, auto thermal reforming (ATR), and electrolysis. The electrolysis segment is expected to be the fastest-growing market during the forecast period. The growing investment in the production of green hydrogen is one of the key factors driving the electrolysis segment. Governments and international organizations are implementing regulations and targets to reduce carbon emissions. Other than hydrogen and oxygen, electrolysis does not emit or produce any by-products. Cost reduction and increased energy efficiency in hydrogen generation are achieved through electrolysis and heat recovery.

This report segments the hydrogen generation market based on application into six segments: petroleum refinery, ammonia production, methanol production, transportation, power generation and others. The transportation segment is expected to grow at the highest CAGR during the forecasted period, owing to the extensive decarbonization efforts in the road, marine and aviation sector in North America, Europe, and Asia Pacific. As a clean and efficient energy carrier, hydrogen is increasingly being employed in a variety of transportation applications. Hydrogen is being explored as a potential alternative for heavy-duty trucks such as delivery trucks and long-haul freight vehicles and also utilized in maritime applications.

North America is expected to be the largest region in the hydrogen generation market between 2023–2028, followed by Europe and Asia Pacific. North America has been leading the hydrogen generation market. The regional hydrogen generation market is experiencing growth due to the presence of leading solution providers like Air Liquide (France) and Air Products and Chemicals, Inc. (US). North America produces blue hydrogen on a large scale. The transportation industry in the region is working to tap green and blue hydrogen. The oil refining and chemical industries and transportation and electricity sectors are experiencing significant demand for hydrogen.