North America Green Ammonia

North America Green Ammonia

Green ammonia is a green way to make ammonia which is a pungent gas used in making agricultural fertilizers. The production of green ammonia is the process of making ammonia that is 100% renewable and carbon-free. One of the most common methods of green ammonia production is by using green hydrogen from water electrolysis.

The North America Green Ammonia Market is expected to grow at a steady rate of around 81.9% owing to promoting awareness regarding global warming and fostering an understanding of renewable energy to increase appreciation. Elevating attention to global warming and promoting an understanding of renewable energy are vital drivers of the North America Green Ammonia Market. The growing popularity of the unfavorable effect of fossil fuels on the environment has brought about a surge in demand for clean and sustainable alternatives, consisting of green ammonia. Moreover, by fostering a deeper comprehension of the advantages of renewable energy sources, individuals, companies, and governments include green ammonia as a critical component of their efforts to combat climate change. For instance, in August 2022, the World Economic Forum launched a report detailing the urgent need for a rapid transition towards carbon neutrality by mid-century. The report stresses the importance of leveraging innovative technologies like green ammonia to achieve this goal. The interconnectedness between global warming and the boom of the North America Green Ammonia Market turns even more apparent whilst examining the close relationship between energy consumption and greenhouse gas emissions. As the worldwide populace continues to urbanize and consume more energy, the demand for alternative, cleaner electricity assets like green ammonia will simply intensify. Moreover, according to the International Energy Agency (IEA), the world will require approximately 30% more energy by 2040 to accommodate its growing population and economy yet must do so in a manner consistent with limiting global warming to 1.5°C above pre-industrial levels. Green ammonia presents itself as a crucial solution to this challenge, offering a means of satisfying increased energy needs without exacerbating climate change.

• Based on technology, the market is divided into alkaline water electrolysis, proton exchange membrane, and solid oxide electrolysis. Among these, the alkaline water electrolysis dominated the green ammonia and is expected to show the same trend in the forecast period. Alkaline water electrolysis is one of the most common types of technologies used to split water into the gases hydrogen and oxygen which uses a potassium hydroxide (KOH) solution and a nickel cathode and has been the most widely adopted method for producing green ammonia due to its simplicity, maturity, and cost-effectiveness. The considerable supply of KOH and the established supplier network for this chemical decreased production prices and improved scalability. Whilst other electrolysis techniques, which include proton exchange membrane (PEM) and solid oxide electrolysis (SOE), show promise, they face challenges in terms of higher operating temperatures, corrosion resistance, and scaling troubles, which preclude their massive adoption.
• Based on end-users, the market is segmented into industrial feedstock, power generation, transportation, and others. Among these, the industrial feedstock segment has dominated the market in 2023 and is expected to dominate during the forecast period. Industrial feedstock, typically derived from natural gas, provides a well-set up supply chain and infrastructure, which makes it less complicated to scale up production and meet the high needs of various industries. Moreover, currently, the main role of ammonia is as the basic feedstock for inorganic fertilizers that currently support food production for around half of the world’s population. Around 70% of ammonia is used to make fertilizers, with the remainder used for a wide range of industrial applications, such as plastics, explosives, and synthetic fibers. Additionally, Secondly, the price of manufacturing green ammonia from industrial feedstock is typically less as compared to different renewable sources, which includes biomass or solar power, which makes it more economically feasible for mass production. For instance, In March 2022, Mitsui & Co., Ltd. and CF Industries announced plans for New Blue Ammonia Capacity in the United States. The new facility will produce blue ammonia by leveraging carbon capture and sequestration processes to reduce carbon emissions by more than 60% compared to conventional ammonia.
• For a better understanding of the market adoption of the bonded magnets industry, the market is analyzed based on its regional presence in countries such as the U.S., Canada, and the Rest of North America. The United States of America has dominated and is expected to dominate the North America Green Ammonia Market on account of the growing awareness regarding the adoption of environment-friendly alternatives, the growing application of green ammonia in various sectors, and several favorable government initiatives driving the North America Green Ammonia Market in the forecast period. With the growing literacy rate all over the world, there is an increasing understanding among consumers and industries about the need for environmentally friendly options, which has led to a surge in demand for green ammonia, being produced from renewable power sources which include wind, sun, or hydroelectric electricity, making it a cleaner alternative to traditional ammonia production methods. Moreover, green ammonia is geared up across numerous industrial sectors, which include fertilizers, pharmaceuticals, agriculture, and energy storage. For example, green ammonia is used as a clean energy carrier, allowing for the transportation of renewable energy over long distances without losing performance and efficiency. Albeit it can be utilized as a versatile intermediate in chemical reactions, allowing the production of various products including plastics, dyes, and pharmaceuticals. These packages contribute drastically toward reducing carbon emissions and promoting sustainability.
• Some of the major players operating in the market include Siemens, Thyssenkrupp, Nel Hydrogen, Green Hydrogen Systems, MAN Energy Solutions, Uniper, BASF, Enapter, ENGIE, Hiringa Energy, BASF, Enaex SA, and JGC Holding Corporation.