Industrial Hydrogen Market is Estimated to Witness High Growth Owing to Increasing Demand for Clean Energy and Growing Adoption of Hydrogen Fuel Cells

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Industrial Hydrogen Market is Estimated to
Witness High Growth Owing to Increasing Demand
for Clean Energy and Growing Adoption of Hydrogen
Fuel Cells
The Industrial Hydrogen Market is estimated to
be valued at US 14.7 billion in 2018 and is
expected to exhibit a CAGR of 5.0 over the
forecast period (2019-2027), as highlighted in a
new report published by Coherent Market
Insights. A) Market Overview Industrial
hydrogen is used in various industries such as
petroleum refining, chemical manufacturing,
metal processing, electronics, and food
processing. It is primarily used for
hydrogenation processes, production of ammonia
and methanol, and as a fuel source for fuel
cells. With the increasing focus on sustainable
development and the shift towards clean energy
sources, the demand for industrial hydrogen is
expected to witness significant growth. B)
Market Dynamics 1) Driver Increasing Demand
for Clean Energy The demand for clean energy
sources is rising due to growing environmental
concerns and the need to reduce carbon
emissions. Hydrogen fuel cells have emerged as a
promising alternative to traditional fossil
fuels as they produce electricity without any
harmful emissions. Industrial hydrogen plays a
vital role in the production of hydrogen fuel
cells, thus driving the market growth. For
example, in the transportation sector, hydrogen
fuel cell vehicles offer zero-emission mobility
with longer driving ranges compared to electric
vehicles. This has led to increased investments
in developing hydrogen refueling infrastructure,
creating a significant demand for industrial
hydrogen. 2) Driver Growing Adoption of
Hydrogen Fuel Cells The adoption of U.S. Europe
And Asia Industrial Hydrogen Market cells is on
the rise across various industries such as
automotive, power generation, and stationary
power applications. Industrial hydrogen is
essential for the efficient functioning of these
fuel cells. The growing investment in
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research and development activities to enhance
the performance and reduce the cost of hydrogen
fuel cells is boosting the demand for industrial
hydrogen. For instance, major automakers are
investing in the development of hydrogen fuel
cell vehicles to offer sustainable and
zero-emission transportation options. This
increasing adoption is driving the market for
industrial hydrogen. C) Market Key Trends One
key trend in the market is the shift towards
green hydrogen production. Green hydrogen is
produced by using renewable energy sources such
as solar and wind power to electrolyze water.
This process eliminates carbon emissions
associated with hydrogen production, making it a
more sustainable and environmentally friendly
option. The increasing focus on reducing carbon
footprints and achieving decarbonization goals
is driving the demand for green hydrogen, thereby
fueling the market growth. For example,
countries like Germany and Japan have set
ambitious targets for green hydrogen production
and are investing heavily in the development of
renewable energy infrastructure to support its
production. D) SWOT Analysis - Strengths 1)
Growing demand for clean energy sources 2)
Increasing adoption of hydrogen fuel cells -
Weaknesses 1) High production and
transportation costs 2) Lack of developed
hydrogen infrastructure - Opportunities 1)
Expansion of hydrogen refueling infrastructure
2) Rising investments in research and
development of hydrogen technologies - Threats
1) Competition from alternative clean energy
sources 2) Regulatory challenges and safety
concerns regarding hydrogen storage and
transportation E) Key Takeaways 1. Market
Size The Industrial Hydrogen Market is expected
to witness high growth, exhibiting a CAGR of
5.0 over the forecast period, due to increasing
demand for clean energy and growing adoption of
hydrogen fuel cells. - Regional Analysis Asia
Pacific is expected to be the fastest-growing and
dominating region in the Industrial Hydrogen
Market, driven by the presence of emerging
economies like China and India, along with
increasing investments in hydrogen
infrastructure. 2. Key Players Key players
operating in the Industrial Hydrogen Market are
Air Liquide, Air Products Chemicals Inc.,
Praxair Inc., Linde Plc., and Messer Group GmbH.
These companies are focusing on strategic
collaborations, mergers and acquisitions, and
technological advancements to strengthen their
market presence.
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