Carbon Capture, Utilization, and Storage Market Report 2025

The carbon capture, utilization, and storage market size has grown rapidly in recent years. It will grow from $2.78 billion in 2024 to $3.11 billion in 2025 at a compound annual growth rate (CAGR) of 11.8%. The growth in the historic period can be attributed to strong economic growth in emerging markets, increase in focus on reducing carbon dioxide (co2) emissions, increased demand from the medical industry and increase in demand for energy consumption.

The carbon capture, utilization, and storage market size is expected to see rapid growth in the next few years. It will grow to $5.33 billion in 2029 at a compound annual growth rate (CAGR) of 14.4%. The growth in the forecast period can be attributed to carbon capture providing financially lucrative opportunities, supportive government initiatives, increase in investments, growing demand from the oil and gas industry, and implementation of cop26 to limit global warming. Major trends in the forecast period include focusing on supplying to greenhouses, focusing on investing in AI-based technology that will drive innovation, focusing on strategic investing to stay competitive in the market, acquiring and partnering with other manufacturers and businesses, and focusing on direct air capture technologies to improve capturing efficiencies.

Increasing industrial emissions are anticipated to boost the carbon capture, utilization, and storage (CCUS) market in the coming years. Industrial emissions refer to the discharge of pollutants, including greenhouse gases, particulates, and volatile organic compounds, into the atmosphere as a result of manufacturing and production processes. The rise in industrial emissions is attributed to the growing global demand for products, expanded industrial activities, and inadequate adoption of cleaner technologies. CCUS technology is employed in various industries to capture and sequester CO2 emissions, thus mitigating their environmental impact and aiding compliance with regulatory standards. For example, in December 2023, data from Earth System Science Data (ESSD) Copernicus, a Germany-based interdisciplinary journal, projected that global fossil CO2 emissions, including cement carbonation, would increase by 1.1% in 2023 compared to 2022, reaching 10 Gt C per year (36.8 Gt CO2 per year). Emissions from coal, oil, and gas are all expected to slightly exceed their 2022 levels, rising by 1.1%, 1.5%, and 0.5%, respectively. Thus, the rise in industrial emissions will propel the growth of the carbon capture, utilization, and storage market.

Increasing carbon prices are likely to further drive the carbon capture, utilization, and storage market in the future. Carbon prices represent the cost associated with emitting one ton of carbon dioxide (CO2), typically set through carbon markets or regulatory frameworks to encourage reductions in greenhouse gas emissions. The rise in carbon prices is driven by heightened regulatory pressures, global climate commitments, and an increased focus on reducing greenhouse gas emissions to combat climate change. Higher carbon prices generate economic incentives for companies to invest in carbon capture technologies to minimize their emissions and avoid expensive penalties linked to carbon pricing mechanisms. For instance, in May 2024, the World Bank, a US-based international financial institution, reported that carbon pricing revenues reached a record $104 billion in 2023, while Finland's carbon taxes increased to $99.98 per ton of CO2, up from $85.1 per ton in 2022. Therefore, the rise in carbon prices will drive growth in the carbon capture, utilization, and storage markets.

Leading companies in the carbon capture, utilization, and storage market are prioritizing technological advancements, such as direct air capture (DAC) technologies, to improve their brand reputation and showcase their commitment to sustainability. DAC technology involves processes that capture carbon dioxide directly from the surrounding air through chemical methods, allowing for its subsequent storage or utilization. For example, in March 2024, ZeoDAC, a US-based technology company focused on innovative solutions, introduced a new carbon capture technology that employs advanced solid materials, specifically high-performance zeolites, to effectively capture carbon dioxide from the air. This technology utilizes a temperature-vacuum swing adsorption process, enabling rapid scaling and efficient carbon capture. Furthermore, ZeoDAC's system is capable of capturing water, which facilitates the production of valuable end-products that can provide economic benefits while also delivering environmental advantages.

Key players in the carbon capture, utilization, and storage market are incorporating automation technologies, such as artificial intelligence (AI), into climate finance solutions to improve efficiency and effectiveness in tracking emissions and optimizing carbon removal initiatives. AI in carbon capture streamlines capture processes, enhances monitoring and predictive maintenance, and boosts the efficiency of carbon utilization and storage systems. For instance, in August 2024, Catona Climate, a US-based climate finance company, launched a solution that integrates carbon removal directly into AI infrastructure. This innovation enhances the accessibility of its climate finance model, allowing businesses globally to easily mitigate the climate impacts of AI's energy consumption through high-quality carbon removal credits. AI can provide detailed emissions tracking and facilitate early detection and warning systems for natural disasters. Additionally, AI analyzes large datasets of bioacoustic information to assess the effects of agroforestry projects on local biodiversity.

In April 2022, Baker Hughes, a prominent US-based energy technology company, made a strategic acquisition of Mosaic Materials for an undisclosed amount. This acquisition positions Baker Hughes to further develop and advance its next-generation carbon dioxide capture technology. Mosaic Materials, a US-based company, specializes in initiatives aimed at reducing the environmental impact of fossil fuels. This strategic move exemplifies the industry's commitment to fostering innovation and advancing technologies that contribute to the broader goals of carbon capture and emission reduction.

Major companies operating in the carbon capture, utilization, and storage market include Shell plc, Aker Solutions, Linde PLC, Fluor Corporation, Mitsubishi Heavy Industries Ltd, Carbon Engineering Ltd, Schlumberger Limited, Exxon Mobil Corporation, GC Holdings Corporation, Praxair Inc, NGK Spark Plug Co Ltd, Taiyo Nippon Sanso, Oxair, Air Products and Chemicals Inc, Yingde Gas Group Co. Ltd, Messer Group, Core Industrial Gases, Supagas, AMCS Corporation, Sinopec Qilu-Shengli Oilfield CCUS, Equinor Total Energies, Lukoil, Polish Energy Group, Zeroco2, Terrasigna, NRG Energy, General Electric, Honeywell, Dakota Gasification Company, Chevron, Lanzatech, WIKA Alexander Wiegand SE & Co. KG, Gulf Cryo, Buzwair, Sasol, Air Liquide, Gas Africa Limited, Carbacid Investments Limited, Afrox.

North America was the largest region in the carbon capture, utilization, and storage market in 2024. The regions covered in the carbon capture, utilization, and storage market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the carbon capture, utilization, and storage market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Italy, Spain, Canada.

Carbon capture, utilization, and storage (CCUS) technologies are instrumental in providing cleaner and more efficient energy solutions. These methods encompass the extraction of CO2 from flue gas and the atmosphere, repurposing it for various uses, and establishing secure long-term storage options.

The primary technologies in CCUS involve pre-combustion, post-combustion, and oxy-fuel combustion. Pre-combustion capture extracts CO2 from fossil fuels before their combustion. These processes include capture, transportation, utilization, and storage and are applied across diverse industries such as oil and gas, power generation, iron and steel, chemicals and petrochemicals, cement, and others.

The carbon capture, utilization, and storage market research report is one of a series of new reports that provides carbon capture, utilization, and storage market statistics, including carbon capture, utilization, and storage industry global market size, regional shares, competitors with a carbon capture, utilization, and storage market share, detailed carbon capture, utilization, and storage market segments, market trends and opportunities, and any further data you may need to thrive in the carbon capture, utilization, and storage industry. This carbon capture, utilization, and storage market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The carbon capture, utilization, and storage market includes revenues earned by entities by providing point source carbon capture, carbon transport and storage, carbon dioxide removal and conversion, hydrogen with carbon management, and integrated carbon management. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

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.

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