Asia-Pacific Hydrogen Generation Market Outlook 2027

Although hydrogen is the most abundant element on earth, it generally does not exist in a free state and needs to be extracted from its compounds, such as water and natural gas. One of the reasons for hydrogen's being a valuable energy carrier is its diverse production methods. In the Asia-Pacific region, there is a broad range of commitment across the government and private sectors to support the potential of hydrogen in various sectors. The Asia-Pacific region heavily relies on fossil fuels and the overall energy demand is projected to continue to grow during the forecast period. In line with the Paris Agreement, there has been a regional push to reduce greenhouse gases and to lower local environmental pollution. Strong government and commercial support, coupled with technological enhancements across the Asia-Pacific region, point towards the promising prospects for the development of clean hydrogen across the region. On the supply side, the Asia-Pacific region holds the potential for hydrogen exports due to plentiful access to renewable resources in high demand centers. For instance, Australia is considered a potential exporter of hydrogen owing to its geographical proximity, existing infrastructure, and abundance of renewable resources. In 2019, the governments of the region established The Asia-Pacific Hydrogen Association, which is leading the hydrogen industry across various developing economies in this region.

According to the research report, Asia-Pacific Hydrogen Generation Market Outlook, 2027, the hydrogen generation market is anticipated to grow at a 7.06% CAGR in terms of value during the forecast period. The region remains a high-potential market as it is the fastest expanding region for energy demand and renewable growth over the coming time period. This potential also provides a possible secondary use for excess power generation from hydrogen as a form of energy storage. The Asia-Pacific hydrogen generation market is segregated into five prominent countries, including China, Japan, India, South Korea, and Australia. Among these countries, China is projected to occupy more than half the market share during the forecast period.

According to the New Energy Vehicle Industry Development Plan released by the China State Council, China has stepped up its investments in clean hydrogen and has announced initiatives for hydrogen usage. China is the largest producer of hydrogen compared to other countries. Also, China is aiming to focus on expanding the use of hydrogen in heavy transportation and developing infrastructure for the same. From the research, it has been found that during 2016-2019, the number of hydrogen refuelling stations doubled every year. By the end of 2020, more than 80 hydrogen refuelling stations will have been put into operation across the country. On the other hand, Japan has the greatest number of hydrogen refueling stations of any country across the globe. Japan accounts for more than 150 hydrogen stations in the Asia-Pacific market. Due to increasing regulations for carbon emissions across the region, demand for clean hydrogen fuel is increasing across the region.

According to the report, the Asia-Pacific hydrogen generation market is segmented into three technology types, including steam methane reforming technology, coal gasification, electrolysis, and oil/refining or auto-thermal reformation. Among these types, steam methane reforming technology is projected to lead the market with more than 60% of the market share during the forecast period. SMR is a mature technology that has been used for hydrogen production for decades. Currently, the Asia-Pacific region holds the majority share of the world-wide steam methane reforming market. As it is the most economical method for hydrogen generation, it holds the highest market share in the Asia-Pacific hydrogen generation market. Further, based on the application, the Asia-Pacific hydrogen generation market is segmented into various types, including methanol production, ammonia production, petroleum refinery, transportation, power generation, steel and iron production, commercial use, semiconductors, LEDs, displays, photovoltaic segments, and other electronics. Methanol and ammonia production applications are anticipated to occupy more than 45% of the market share in the Asia-Pacific market. On the other hand, the transportation sector is the fastest growing segment in the Asia-Pacific market.

COVID-19 Impact:

The spread of COVID-19 is an unprecedented health crisis across the globe that has impacted nearly every business. Also, the long-term consequences are expected to influence industry growth throughout the projection period. The Asia-Pacific region has also been heavily impacted due to the COVID-19 pandemic. The outbreak has resulted in changes in consumer behavior and demand, purchasing patterns, supply chain rerouting, current market dynamics, and government engagement. Also, economic insecurity caused by the pandemic has triggered the public as well as private investors to reconsider their investment decisions in terms of taking up new construction-based projects. However, various governments across the region are focusing on implanting new regulations and incentives to increase the adoption of eco-friendly technology.

Major Companies present in the market:

Hydrogenics Corp (HYGS), Messer Group GmbH, LNI Swissgas SA, McPhy Energy S.A., Linde Plc, Air Products and Chemicals, Inc., Air Liquide, Ally Hi-Tech Co., Limited, INOX-Air Products Inc., Weldstar, Inc., Uniper, Plug Power, ENGIE, Iwatani Corporation, Ballard Power Systems, Nel Hydrogen

Considered in this report

• Geography: Asia-Pacific
• Historic Year: 2016
• Base year: 2021
• Estimated year: 2022
• Forecast year: 2027

Aspects covered in this report

• Asia-Pacific Hydrogen Generation Market with its value and forecast along with its segments
• Country wise Hydrogen Generation market analysis
• Application wise Hydrogen Generation distribution
• Various drivers and challenges
• On-going trends and developments
• Top profiled companies
• Strategic recommendation

Countries covered in the report

• China
• Japan
• India
• Australia
• South Korea

Technical types of Hydrogen Generation in the report:

• Steam Methane Reforming
• Coal Gasification
• Others (Electrolysis, oil/refining or auto-thermal reformation)

By Application Type in the report:

• Methanol Production
• Ammonia Production
• Petroleum Refinery
• Transportation
• Power Generation
• Others

The approach of the report:

This report consists of a combined approach of primary as well as secondary research. Initially, secondary research was used to get an understanding of the market and listing out the companies that are present in the market. The secondary research consists of third-party sources such as press releases, annual report of companies, analyzing the government generated reports and databases. After gathering the data from secondary sources primary research was conducted by making telephonic interviews with the leading players about how the market is functioning and then conducted trade calls with dealers and distributors of the market. Post this we have started doing primary calls to consumers by equally segmenting consumers in regional aspects, tier aspects, age group, and gender. Once we have primary data with us we have started verifying the details obtained from secondary sources.

Intended audience

This report can be useful to industry consultants, manufacturers, suppliers, associations & organizations related to chemical industry, government bodies and other stakeholders to align their market-centric strategies. In addition to marketing & presentations, it will also increase competitive knowledge about the industry.