Chemical Hydrogen Generation

Global Chemical Hydrogen Generation Market to Reach US$121.5 Billion by 2030

The global market for Chemical Hydrogen Generation estimated at US$91.2 Billion in the year 2024, is expected to reach US$121.5 Billion by 2030, growing at a CAGR of 4.9% over the analysis period 2024-2030. Captive Delivery, one of the segments analyzed in the report, is expected to record a 5.8% CAGR and reach US$74.8 Billion by the end of the analysis period. Growth in the Merchant Delivery segment is estimated at 3.5% CAGR over the analysis period.

The U.S. Market is Estimated at US$24.9 Billion While China is Forecast to Grow at 7.9% CAGR

The Chemical Hydrogen Generation market in the U.S. is estimated at US$24.9 Billion in the year 2024. China, the world`s second largest economy, is forecast to reach a projected market size of US$24.2 Billion by the year 2030 trailing a CAGR of 7.9% over the analysis period 2024-2030. Among the other noteworthy geographic markets are Japan and Canada, each forecast to grow at a CAGR of 2.3% and 4.9% respectively over the analysis period. Within Europe, Germany is forecast to grow at approximately 3.1% CAGR.

Global Chemical Hydrogen Generation Market - Key Trends & Drivers Summarized

Why is Chemical Hydrogen Generation Gaining Market Prominence?

The rising demand for clean energy and the increasing focus on decarbonization have placed chemical hydrogen generation at the forefront of the global energy transition. As industries and governments worldwide push for lower greenhouse gas emissions, hydrogen is emerging as a key energy carrier, with applications spanning from fuel cells to industrial processes. This growing demand is further propelled by the shift toward green hydrogen production, which relies on renewable energy sources such as wind, solar, and hydropower. The chemical industry is leveraging hydrogen generation technologies to optimize industrial operations and create low-carbon feedstocks for petrochemicals, ammonia production, and methanol synthesis. Additionally, the emergence of hydrogen-powered mobility, particularly in fuel cell electric vehicles (FCEVs), is driving interest in scalable hydrogen generation solutions. With the global energy landscape evolving, advancements in electrolysis and other chemical hydrogen generation techniques are making hydrogen more accessible and cost-efficient for widespread adoption.

How Are Technological Innovations Shaping Hydrogen Generation?

Significant technological advancements in chemical hydrogen generation are revolutionizing its production, storage, and transportation. The development of proton exchange membrane (PEM) electrolysis, solid oxide electrolysis cells (SOECs), and alkaline electrolysis has significantly enhanced the efficiency and affordability of hydrogen production. These cutting-edge technologies are playing a vital role in scaling up green hydrogen production, making it a commercially viable alternative to traditional fossil fuel-based hydrogen generation. Beyond electrolysis, methane pyrolysis, biomass gasification, and photoelectrochemical water splitting are gaining traction as sustainable methods for producing clean hydrogen. Furthermore, hydrogen storage advancements in solid-state hydrogen carriers, liquid organic hydrogen carriers (LOHCs), and cryogenic storage solutions are addressing the logistical challenges associated with hydrogen transportation. These innovations are streamlining the integration of hydrogen into existing energy infrastructures and supporting its widespread commercialization across industries.

Which Industries Are Fueling the Demand for Hydrogen Generation?

The Chemical Hydrogen Generation market is witnessing significant demand across diverse industries, driven by its critical role in energy, mobility, and industrial applications. The transportation sector is rapidly adopting hydrogen fuel cell technology, particularly in heavy-duty trucking, marine vessels, and aviation, as an alternative to fossil fuels. The scalability and efficiency of hydrogen-powered engines are making them an attractive choice for industries looking to reduce carbon footprints and comply with stringent emissions regulations. In addition to mobility, the power generation sector is increasingly integrating hydrogen into existing energy grids to enhance renewable energy storage and stabilize electricity supply. Hydrogen-powered turbines and fuel cells are being deployed to supplement intermittent renewable energy sources, ensuring a more reliable and sustainable power infrastructure. Similarly, the petrochemical and refining industries are utilizing hydrogen in hydrocracking and desulfurization processes, highlighting its indispensable role in industrial chemistry.

What Factors Are Driving Market Growth?

The growth in the Chemical Hydrogen Generation market is driven by several factors, including government policies, industrial demand, and technological progress. Global decarbonization goals and net-zero commitments are compelling industries to invest in hydrogen as a clean energy alternative. Governments worldwide are rolling out subsidies, tax incentives, and research funding to accelerate hydrogen production, storage, and distribution infrastructure development. Additionally, the rising cost competitiveness of green hydrogen due to declining renewable energy prices is making it an economically viable solution for industries seeking sustainable alternatives. The increasing adoption of hydrogen-based energy storage systems is also enhancing grid stability and enabling higher penetration of renewable energy sources. Furthermore, consumer preferences for cleaner energy solutions and corporate sustainability initiatives are prompting industries to transition towards hydrogen-based processes. As investments in hydrogen production hubs and international hydrogen trade partnerships continue to rise, the Chemical Hydrogen Generation market is poised for substantial expansion in the years ahead.

SCOPE OF STUDY:

The report analyzes the Chemical Hydrogen Generation market in terms of units by the following Segments, and Geographic Regions/Countries:

Segments:
Delivery Mode (Captive Delivery, Merchant Delivery); Process Type (Steam Reformer Process, Electrolysis Process, Other Process Types)

Geographic Regions/Countries:
World; United States; Canada; Japan; China; Europe (France; Germany; Italy; United Kingdom; Spain; Russia; and Rest of Europe); Asia-Pacific (Australia; India; South Korea; and Rest of Asia-Pacific); Latin America (Argentina; Brazil; Mexico; and Rest of Latin America); Middle East (Iran; Israel; Saudi Arabia; United Arab Emirates; and Rest of Middle East); and Africa.

Select Competitors (Total 36 Featured) -

• Air Liquide S.A.
• Air Products and Chemicals, Inc.
• Ballard Power Systems
• Bloom Energy Corporation
• BP plc
• Cummins Inc.
• ENGIE SA
• ExxonMobil Corporation
• Iberdrola
• ITM Power PLC
• Johnson Matthey
• Linde plc
• McPhy Energy
• Mitsubishi Power
• Nel ASA
• Plug Power Inc.
• Shell plc
• Siemens Energy AG
• Thyssenkrupp Nucera
• TotalEnergies SE

TARIFF IMPACT FACTOR

Our new release incorporates impact of tariffs on geographical markets as we predict a shift in competitiveness of companies based on HQ country, manufacturing base, exports and imports (finished goods and OEM). This intricate and multifaceted market reality will impact competitors by artificially increasing the COGS, reducing profitability, reconfiguring supply chains, amongst other micro and macro market dynamics.

We are diligently following expert opinions of leading Chief Economists (14,949), Think Tanks (62), Trade & Industry bodies (171) worldwide, as they assess impact and address new market realities for their ecosystems. Experts and economists from every major country are tracked for their opinions on tariffs and how they will impact their countries.

We expect this chaos to play out over the next 2-3 months and a new world order is established with more clarity. We are tracking these developments on a real time basis.

As we release this report, U.S. Trade Representatives are pushing their counterparts in 183 countries for an early closure to bilateral tariff negotiations. Most of the major trading partners also have initiated trade agreements with other key trading nations, outside of those in the works with the United States. We are tracking such secondary fallouts as supply chains shift.

To our valued clients, we say, we have your back. We will present a simplified market reassessment by incorporating these changes!

APRIL 2025: NEGOTIATION PHASE

Our April release addresses the impact of tariffs on the overall global market and presents market adjustments by geography. Our trajectories are based on historic data and evolving market impacting factors.

JULY 2025 FINAL TARIFF RESET

Complimentary Update: Our clients will also receive a complimentary update in July after a final reset is announced between nations. The final updated version incorporates clearly defined Tariff Impact Analyses.

Reciprocal and Bilateral Trade & Tariff Impact Analyses:

USA
CHINA
MEXICO
CANADA
EU
JAPAN
INDIA
176 OTHER COUNTRIES.

Leading Economists - Our knowledge base tracks 14,949 economists including a select group of most influential Chief Economists of nations, think tanks, trade and industry bodies, big enterprises, and domain experts who are sharing views on the fallout of this unprecedented paradigm shift in the global econometric landscape. Most of our 16,491+ reports have incorporated this two-stage release schedule based on milestones.

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