The hydrogen generation market size has grown strongly in recent years. It will grow from $153.42 billion in 2024 to $166.5 billion in 2025 at a compound annual growth rate (CAGR) of 8.5%. The growth in the historic period can be attributed to industrial hydrogen demand, environmental regulations, hydrogen as a clean fuel, natural gas reforming, government incentives and subsidies, global energy transition, fuel cell development.
The hydrogen generation market size is expected to see strong growth in the next few years. It will grow to $229.72 billion in 2029 at a compound annual growth rate (CAGR) of 8.4%. The growth in the forecast period can be attributed to hydrogen infrastructure investments, scaling up hydrogen production, cost reduction in electrolysis, hydrogen from biomass, green hydrogen production projects, hydrogen-powered vehicles, hydrogen for decarbonization. Major trends in the forecast period include technological innovations, policy support and investments, integration with renewable energy systems, growing interest in blue hydrogen, hydrogen as an energy carrier, hydrogen in heavy industries.
The growing demand for hydrogen within the industrial sector is anticipated to drive the expansion of the hydrogen generation market in the future. The industrial sector comprises companies that facilitate the production, transportation, or manufacturing of goods for other businesses. Hydrogen is extensively utilized in this sector, as it is a key component in various chemical products and plays a vital role in hydrocracking, a process that produces petroleum products such as gasoline and diesel. For example, in May 2024, the International Energy Agency (IEA), a France-based autonomous intergovernmental organization, reported that global hydrogen usage reached 95 million tons in 2022, marking an increase of nearly 3% from the previous year, despite a decline in Europe attributed to rising natural gas prices impacting industrial activity. Consequently, the increasing demand for hydrogen in the industrial sector is fueling the growth of the hydrogen generation market.
The expansion of oil and gas pipelines is projected to significantly boost the growth of the hydrogen generation market in the coming years. Oil and gas pipelines are systems designed for the long-distance transportation of liquids or gases, typically aimed at delivering these resources to market areas for consumption. As these pipelines expand, they can be repurposed to transport hydrogen, which enhances the cost-effectiveness of hydrogen distribution. This transition is crucial as hydrogen increasingly emerges as a clean energy source. For instance, in 2022, four new natural gas pipeline expansion projects were announced to increase the Permian natural gas capacity in the USA. The Gulf Coast Express Pipeline Expansion will add compression, raising its capacity by 0.57 Bcf/d (billion cubic feet per day) to 2.55 Bcf/d. Similarly, the Permian Highway Pipeline Expansion will also enhance compression, boosting its capacity by 0.55 Bcf/d to 2.65 Bcf/d. The Whistler Pipeline Capacity Expansion will increase compression by installing three new compressor stations, increasing its capacity by 0.5 Bcf/d to 2.5 Bcf/d. Additionally, the Matterhorn Express Pipeline, spanning 490 miles, will be capable of transporting up to 2.5 Bcf/d of natural gas from the Waha Hub in West Texas to Katy, Texas. Therefore, the expansion of oil and gas pipelines is a key driver of growth in the hydrogen generation market.
A notable trend in the hydrogen generation market involves the advancement of green hydrogen production technologies. Key market players are actively developing technologies to strengthen their market standing. For instance, in March 2022, Honeywell International introduced innovative catalyst-coated membrane (CCM) technology for green hydrogen production, focusing on Proton Exchange Membrane (PEM) and Anion Exchange Membrane (AEM) CCMs. These advancements showcased improved electrolyzer efficiency, increased electric current density, and cost reduction of the electrolyzer stack by an estimated 25%.
Companies in the hydrogen generation market are increasingly focusing on producing hydrogen from sewage wastewater or sewage sludge for application in the chemicals, fertilizers, transportation, and manufacturing sectors. This process involves reducing the weight of the sewage sludge through dehydration, followed by incineration, melting, composting, and drying. Such methods are employed to generate hydrogen on a large scale to supply the manufacturing and transportation industries. For instance, in August 2022, Fukuoka City and Saibu Gas (a Japanese gas company) announced the formation of a council aimed at promoting the use of hydrogen produced from biogas generated during sewage treatment. Fukuoka will be the first city in Japan to commercialize hydrogen fuel derived from sewage treatment for use in fuel cell vehicles (FCVs).
In June 2022, TotalEnergies, a France-based energy company, acquired Adani Enterprises' arm for the green hydrogen business for an undisclosed amount. Through this acquisition, the strategic alliance between the Adani Portfolio and TotalEnergies now covers LNG terminals, the gas utility business, the renewables business, and green hydrogen production. Adani Enterprises is an Indian-based conglomerate with diversified business interests in various sectors.
Major companies operating in the hydrogen generation market are Air Liquide SA, Air Products Inc., Iwatani Corporation, McPhy Energy SA, Messer Group GmbH, Altergy Systems, Ballard Power Systems Inc., BayoTech Inc., Doosan Fuel Cell Co. Ltd., EKME S.A., Enapter AG, Frame Power India Pvt. Ltd., Giner ELX Inc., Green Hydrogen Systems AS, Greenlane Renewables Inc., GRZ Technologies Ltd., Cummins Inc., ITM Power PLC, Linde PLC, Nel ASA, Plug Power Europe GmbH, Proton OnSite LLC, Siemens Energy AG, Taiyo Nippon Sanso Corporation, Teijin Engineering Ltd., Teledyne Energy Systems Inc., Toshiba Energy Systems & Solutions Corp., VRV SpA.
Asia Pacific was the largest region in the hydrogen generation market in 2024. Asia Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the hydrogen generation market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the hydrogen generation market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
Hydrogen generation involves producing hydrogen from various domestic sources, including biomass, fossil fuels, and water electrolysis. This process serves as a clean fuel source for multiple applications, such as fuel cells, industrial processes, and renewable energy storage.
Hydrogen generation comprises on-site and portable methods utilizing sources like blue hydrogen, grey hydrogen, and green hydrogen. These are produced and distributed by dedicated merchants employing technologies such as steam methane reforming, coal gasification, electrolysis, and partial oxidation. These variations find application across industries like methanol and ammonia production, petroleum refining, transportation, power generation, and other sectors.
The hydrogen generation market research report is one of a series of new reports that provides hydrogen generation market statistics, including hydrogen generation industry global market size, regional shares, competitors with a hydrogen generation market share, detailed hydrogen generation market segments, market trends and opportunities, and any further data you may need to thrive in the hydrogen generation industry. This hydrogen generation market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.
The hydrogen generation market consists of sales of brown hydrogen, yellow hydrogen, turquoise hydrogen, and pink hydrogen. Values in this market are ‘factory gate’ values, that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
This product will be delivered within 3-5 business days.
The hydrogen generation market size is expected to see strong growth in the next few years. It will grow to $229.72 billion in 2029 at a compound annual growth rate (CAGR) of 8.4%. The growth in the forecast period can be attributed to hydrogen infrastructure investments, scaling up hydrogen production, cost reduction in electrolysis, hydrogen from biomass, green hydrogen production projects, hydrogen-powered vehicles, hydrogen for decarbonization. Major trends in the forecast period include technological innovations, policy support and investments, integration with renewable energy systems, growing interest in blue hydrogen, hydrogen as an energy carrier, hydrogen in heavy industries.
The growing demand for hydrogen within the industrial sector is anticipated to drive the expansion of the hydrogen generation market in the future. The industrial sector comprises companies that facilitate the production, transportation, or manufacturing of goods for other businesses. Hydrogen is extensively utilized in this sector, as it is a key component in various chemical products and plays a vital role in hydrocracking, a process that produces petroleum products such as gasoline and diesel. For example, in May 2024, the International Energy Agency (IEA), a France-based autonomous intergovernmental organization, reported that global hydrogen usage reached 95 million tons in 2022, marking an increase of nearly 3% from the previous year, despite a decline in Europe attributed to rising natural gas prices impacting industrial activity. Consequently, the increasing demand for hydrogen in the industrial sector is fueling the growth of the hydrogen generation market.
The expansion of oil and gas pipelines is projected to significantly boost the growth of the hydrogen generation market in the coming years. Oil and gas pipelines are systems designed for the long-distance transportation of liquids or gases, typically aimed at delivering these resources to market areas for consumption. As these pipelines expand, they can be repurposed to transport hydrogen, which enhances the cost-effectiveness of hydrogen distribution. This transition is crucial as hydrogen increasingly emerges as a clean energy source. For instance, in 2022, four new natural gas pipeline expansion projects were announced to increase the Permian natural gas capacity in the USA. The Gulf Coast Express Pipeline Expansion will add compression, raising its capacity by 0.57 Bcf/d (billion cubic feet per day) to 2.55 Bcf/d. Similarly, the Permian Highway Pipeline Expansion will also enhance compression, boosting its capacity by 0.55 Bcf/d to 2.65 Bcf/d. The Whistler Pipeline Capacity Expansion will increase compression by installing three new compressor stations, increasing its capacity by 0.5 Bcf/d to 2.5 Bcf/d. Additionally, the Matterhorn Express Pipeline, spanning 490 miles, will be capable of transporting up to 2.5 Bcf/d of natural gas from the Waha Hub in West Texas to Katy, Texas. Therefore, the expansion of oil and gas pipelines is a key driver of growth in the hydrogen generation market.
A notable trend in the hydrogen generation market involves the advancement of green hydrogen production technologies. Key market players are actively developing technologies to strengthen their market standing. For instance, in March 2022, Honeywell International introduced innovative catalyst-coated membrane (CCM) technology for green hydrogen production, focusing on Proton Exchange Membrane (PEM) and Anion Exchange Membrane (AEM) CCMs. These advancements showcased improved electrolyzer efficiency, increased electric current density, and cost reduction of the electrolyzer stack by an estimated 25%.
Companies in the hydrogen generation market are increasingly focusing on producing hydrogen from sewage wastewater or sewage sludge for application in the chemicals, fertilizers, transportation, and manufacturing sectors. This process involves reducing the weight of the sewage sludge through dehydration, followed by incineration, melting, composting, and drying. Such methods are employed to generate hydrogen on a large scale to supply the manufacturing and transportation industries. For instance, in August 2022, Fukuoka City and Saibu Gas (a Japanese gas company) announced the formation of a council aimed at promoting the use of hydrogen produced from biogas generated during sewage treatment. Fukuoka will be the first city in Japan to commercialize hydrogen fuel derived from sewage treatment for use in fuel cell vehicles (FCVs).
In June 2022, TotalEnergies, a France-based energy company, acquired Adani Enterprises' arm for the green hydrogen business for an undisclosed amount. Through this acquisition, the strategic alliance between the Adani Portfolio and TotalEnergies now covers LNG terminals, the gas utility business, the renewables business, and green hydrogen production. Adani Enterprises is an Indian-based conglomerate with diversified business interests in various sectors.
Major companies operating in the hydrogen generation market are Air Liquide SA, Air Products Inc., Iwatani Corporation, McPhy Energy SA, Messer Group GmbH, Altergy Systems, Ballard Power Systems Inc., BayoTech Inc., Doosan Fuel Cell Co. Ltd., EKME S.A., Enapter AG, Frame Power India Pvt. Ltd., Giner ELX Inc., Green Hydrogen Systems AS, Greenlane Renewables Inc., GRZ Technologies Ltd., Cummins Inc., ITM Power PLC, Linde PLC, Nel ASA, Plug Power Europe GmbH, Proton OnSite LLC, Siemens Energy AG, Taiyo Nippon Sanso Corporation, Teijin Engineering Ltd., Teledyne Energy Systems Inc., Toshiba Energy Systems & Solutions Corp., VRV SpA.
Asia Pacific was the largest region in the hydrogen generation market in 2024. Asia Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the hydrogen generation market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the hydrogen generation market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
Hydrogen generation involves producing hydrogen from various domestic sources, including biomass, fossil fuels, and water electrolysis. This process serves as a clean fuel source for multiple applications, such as fuel cells, industrial processes, and renewable energy storage.
Hydrogen generation comprises on-site and portable methods utilizing sources like blue hydrogen, grey hydrogen, and green hydrogen. These are produced and distributed by dedicated merchants employing technologies such as steam methane reforming, coal gasification, electrolysis, and partial oxidation. These variations find application across industries like methanol and ammonia production, petroleum refining, transportation, power generation, and other sectors.
The hydrogen generation market research report is one of a series of new reports that provides hydrogen generation market statistics, including hydrogen generation industry global market size, regional shares, competitors with a hydrogen generation market share, detailed hydrogen generation market segments, market trends and opportunities, and any further data you may need to thrive in the hydrogen generation industry. This hydrogen generation market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.
The hydrogen generation market consists of sales of brown hydrogen, yellow hydrogen, turquoise hydrogen, and pink hydrogen. Values in this market are ‘factory gate’ values, that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
This product will be delivered within 3-5 business days.
Table of Contents
1. Executive Summary2. Hydrogen Generation Market Characteristics3. Hydrogen Generation Market Trends and Strategies4. Hydrogen Generation Market - Macro Economic Scenario Including the Impact of Interest Rates, Inflation, Geopolitics, and the Recovery from COVID-19 on the Market32. Global Hydrogen Generation Market Competitive Benchmarking and Dashboard33. Key Mergers and Acquisitions in the Hydrogen Generation Market34. Recent Developments in the Hydrogen Generation Market
5. Global Hydrogen Generation Growth Analysis and Strategic Analysis Framework
6. Hydrogen Generation Market Segmentation
7. Hydrogen Generation Market Regional and Country Analysis
8. Asia-Pacific Hydrogen Generation Market
9. China Hydrogen Generation Market
10. India Hydrogen Generation Market
11. Japan Hydrogen Generation Market
12. Australia Hydrogen Generation Market
13. Indonesia Hydrogen Generation Market
14. South Korea Hydrogen Generation Market
15. Western Europe Hydrogen Generation Market
16. UK Hydrogen Generation Market
17. Germany Hydrogen Generation Market
18. France Hydrogen Generation Market
19. Italy Hydrogen Generation Market
20. Spain Hydrogen Generation Market
21. Eastern Europe Hydrogen Generation Market
22. Russia Hydrogen Generation Market
23. North America Hydrogen Generation Market
24. USA Hydrogen Generation Market
25. Canada Hydrogen Generation Market
26. South America Hydrogen Generation Market
27. Brazil Hydrogen Generation Market
28. Middle East Hydrogen Generation Market
29. Africa Hydrogen Generation Market
30. Hydrogen Generation Market Competitive Landscape and Company Profiles
31. Hydrogen Generation Market Other Major and Innovative Companies
35. Hydrogen Generation Market High Potential Countries, Segments and Strategies
36. Appendix
Executive Summary
Hydrogen Generation Global Market Report 2025 provides strategists, marketers and senior management with the critical information they need to assess the market.This report focuses on hydrogen generation market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
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Description
Where is the largest and fastest growing market for hydrogen generation? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The hydrogen generation market global report answers all these questions and many more.The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market’s historic and forecast market growth by geography.
- The market characteristics section of the report defines and explains the market.
- The market size section gives the market size ($b) covering both the historic growth of the market, and forecasting its development.
- The forecasts are made after considering the major factors currently impacting the market. These include:
- The forecasts are made after considering the major factors currently impacting the market. These include the Russia-Ukraine war, rising inflation, higher interest rates, and the legacy of the COVID-19 pandemic.
- Market segmentations break down the market into sub markets.
- The regional and country breakdowns section gives an analysis of the market in each geography and the size of the market by geography and compares their historic and forecast growth. It covers the growth trajectory of COVID-19 for all regions, key developed countries and major emerging markets.
- The competitive landscape chapter gives a description of the competitive nature of the market, market shares, and a description of the leading companies. Key financial deals which have shaped the market in recent years are identified.
- The trends and strategies section analyses the shape of the market as it emerges from the crisis and suggests how companies can grow as the market recovers.
Scope
Markets Covered:
1) by Type: on-Site; Portable2) by Source: Blue Hydrogen; Gray Hydrogen; Green Hydrogen
3) by Generation and Delivery Mode: Captive; Merchant
4) by Technologies: Steam Methane Reforming; Coal Gasification; Electrolysis; Partial Oxidation
5) by Application: Methanol Production; Ammonia Production; Petroleum Refining; Transportation; Power Generation; Other Applications
Subsegments:
1) by on-Site: Electrolysis Systems; Steam Methane Reforming (SMR); Gasification; Biomass Gasification2) by Portable: Portable Electrolyzers; Hydrogen Generation Units; Chemical Hydrogen Generators
Key Companies Mentioned: Air Liquide SA; Air Products Inc.; Iwatani Corporation; McPhy Energy SA; Messer Group GmbH
Countries: Australia; Brazil; China; France; Germany; India; Indonesia; Japan; Russia; South Korea; UK; USA; Canada; Italy; Spain
Regions: Asia-Pacific; Western Europe; Eastern Europe; North America; South America; Middle East; Africa
Time Series: Five years historic and ten years forecast.
Data: Ratios of market size and growth to related markets, GDP proportions, expenditure per capita.
Data Segmentation: Country and regional historic and forecast data, market share of competitors, market segments.
Sourcing and Referencing: Data and analysis throughout the report is sourced using end notes.
Delivery Format: PDF, Word and Excel Data Dashboard.
Companies Mentioned
Some of the major companies featured in this Hydrogen Generation market report include:- Air Liquide SA
- Air Products Inc.
- Iwatani Corporation
- McPhy Energy SA
- Messer Group GmbH
- Altergy Systems
- Ballard Power Systems Inc.
- BayoTech Inc.
- Doosan Fuel Cell Co. Ltd.
- EKME S.A.
- Enapter AG
- Frame Power India Pvt. Ltd.
- Giner ELX Inc.
- Green Hydrogen Systems AS
- Greenlane Renewables Inc.
- GRZ Technologies Ltd.
- Cummins Inc.
- ITM Power PLC
- Linde PLC
- Nel ASA
- Plug Power Europe GmbH
- Proton OnSite LLC
- Siemens Energy AG
- Taiyo Nippon Sanso Corporation
- Teijin Engineering Ltd.
- Teledyne Energy Systems Inc.
- Toshiba Energy Systems & Solutions Corp.
- VRV SpA
Table Information
| Report Attribute | Details |
|---|---|
| No. of Pages | 200 |
| Published | February 2025 |
| Forecast Period | 2025 - 2029 |
| Estimated Market Value ( USD | $ 166.5 Billion |
| Forecasted Market Value ( USD | $ 229.72 Billion |
| Compound Annual Growth Rate | 8.4% |
| Regions Covered | Global |
| No. of Companies Mentioned | 29 |
