February 19, 2025
Clean Hydrogen Market

Hydrogen Fuel Cells is the largest segment driving the growth of Clean Hydrogen Market

The global Clean Hydrogen Market is estimated to be valued at US$ 4.35 Bn in 2023 and is expected to exhibit a CAGR of 14.% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market Overview:

Clean hydrogen is a zero-emission fuel that can power fuel cells to generate electricity and is only emitted as water vapor and warm air. It can be used in industries requiring high temperature heat for various processes as a replacement for fossil fuels.

Market key trends:

One of the key trends driving the clean hydrogen market is increasing governmental support through funds and initiatives for adopting clean hydrogen technologies. Many governments around the world are investing heavily in researching, developing and implementing clean hydrogen technologies to support the transition from fossil fuels to low carbon energy sources for transportation, industries and power generation. Government entities are providing funding, setting policy frameworks and guidelines to encourage private investments in clean hydrogen projects. This is expected to significantly boost the demand and large scale production of clean hydrogen during the forecast period.

Market key trends:

The clean hydrogen market has been witnessing significant growth over the past few years. One of the key trends driving the market growth is the increasing focus on decarbonization globally. Greenhouse gas emissions from various industries have emerged as a major concern worldwide. Clean hydrogen produced from renewable energy sources is considered as one of the viable options to reduce carbon footprint. It can be used as an alternative to fossil fuels in industries like refineries, fertilizers production, transportation etc. Many countries have announced plans to boost production and use of clean hydrogen to meet their climate change goals. This is expected to propel the clean hydrogen market during the forecast period.

SWOT Analysis

Strengths: Clean hydrogen has zero carbon emissions and is considered as one of the most environment-friendly fuels. It can help industries transition away from fossil fuels and reduce their carbon footprint.

Weaknesses: Production of clean hydrogen through electrolysis is still an expensive process compared to production from natural gas. Large scale infrastructure and transportation network is still underdeveloped for clean hydrogen.

Opportunities: Many countries have announced hydrogen roadmaps and investment plans which will boost infrastructure and adoption. Rising focus on decarbonization of hard-to-electrify industries like shipping, aviation presents opportunities.

Threats: Availability of low-cost natural gas and established gas transportation infrastructure continues to support grey hydrogen production. Uncertainty over regulations and policies related to clean hydrogen production and use.

Key Takeaways

The global clean hydrogen market is expected to witness high growth, exhibiting CAGR of 14.% over the forecast period, due to increasing focus on decarbonization strategies globally. Countries have committed billions of dollars in funding to develop hydrogen economy.

The Asia Pacific region is expected to dominate the global clean hydrogen market during the forecast period. Countries like Japan, South Korea and China have announced ambitious hydrogen plans and are aggressively investing in building hydrogen infrastructure including production facilities and fueling stations.

Key players operating in the clean hydrogen market are Linde Plc, Air Liquide, Engie, Uniper Se, Air Products Inc, Clean Hydrogen System, Cummins Inc., Toshiba Energy Systems & Solutions Corporation, Nel Asa, and Sgh2 Energy. Players are focusing on expanding production capacity, developing large projects and partnering with end-use industries for long-term off-take agreements.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it

Money Singh
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Money Singh is a seasoned content writer with over four years of experience in the market research sector. Her expertise spans various industries, including food and beverages, biotechnology, chemicals and materials, defense and aerospace, consumer goods, etc. 

Money Singh

Money Singh is a seasoned content writer with over four years of experience in the market research sector. Her expertise spans various industries, including food and beverages, biotechnology, chemicals and materials, defense and aerospace, consumer goods, etc. 

View all posts by Money Singh →