June 22, 2024
Hydrogen Storage Market

The Growing Hydrogen Storage Market is Trending Towards Sustainable Energy Solutions

The hydrogen storage market deals with technologies and products that help store hydrogen for usage in areas like transportation, power generation, and industrial processes. Hydrogen is an environment-friendly and sustainable fuel that helps reduce emissions. It can be utilized in fuel cells to generate electricity for transportation and other applications without releasing pollutants. Some widely used hydrogen storage techniques include physical storage through compressed gas tanks and cryogenic storage as well as material-based storage through adsorbed hydrogen and hydrogen storage alloys.

The Global hydrogen storage market is estimated to be valued at US$ 1.6 Bn in 2024 and is expected to exhibit a CAGR of 23.% over the forecast period 2024 To 2031.

The market is driven by the rising demand for sustainable energy solutions and the increasing usage of fuel cells in mobility and stationary power applications.

Key Takeaways

Key players operating in the Hydrogen Storage Market Demand are Air Liquide, Air Products and Chemicals, Inc., Hexagon Purus, Worthington Industries, Inc., Linde plc, Luxfer Holdings PLC, Chart Industries , INOXCVA, HBank Technologies Inc., Pragma Industries. These companies are focusing on expanding their production capacities and global footprint to tap growing opportunities.

The demand for hydrogen storage solutions is growing steadily due to the increasing usage of hydrogen as a zero-emission fuel in the transportation sector. Many countries are supporting projects around hydrogen fuel cell buses and cars to reduce vehicular pollution in cities. The technology is also finding applications in material handling vehicles and backup power systems.

Major players in the market are expanding globally through acquisitions and partnerships to strengthen their hydrogen infrastructure and cater to the rising local demand. Companies are focusing on countries that have announced hydrogen roadmaps and are investing heavily in building a hydrogen economy. This includes nations in Europe, North America, Japan and South Korea.

Market Key Trends

One of the key trends gaining traction in the hydrogen storage market is the development of novel material-based storage technologies. Researchers are exploring advanced nanomaterials, metal-organic frameworks (MOFs), and chemical hydrides that can help boost hydrogen storage capacities. Such innovative storage materials can better meet the US Department of Energy’s system-level targets for capacities and help expand possible applications. While physical storage through compressed gas tanks is mature, material-based storage using emerging absorptive nanomaterials offers promising future prospects. This ongoing R&D is expected to lead to breakthrough solutions for efficient on-board as well as large-scale stationary storage of low-cost hydrogen.

Porter’s Analysis

Threat of new entrants: Medium, as new players need high capital and technology to compete in this complex market. Bargaining power of buyers: High, as buyers can demand lower prices and choose from various existing options. Bargaining power of suppliers: Medium, as raw material suppliers are consolidated and hold some pricing power. Threat of new substitutes: Medium, there are limited substitutes to hydrogen storage currently. Competitive rivalry: High, market dominated by few large global players competing on pricing, technology and capacity.

Geographical regions with high market share currently include North America and Europe. The presence of established automotive and industrial gas industries along with supportive government policies have accelerated adoption of hydrogen technologies in these regions. Strong funding and focus on hydrogen infrastructure development is driving regional market growth.

The Asia Pacific region is expected to be the fastest growing market during the forecast period due to increased investments and focus on developing hydrogen ecosystems, especially in China, Japan and South Korea. Rapid industrialization and expanding fleet of FCEVs are creating demand for safe and efficient storage solutions. Rising awareness and demonstration projects underway point towards robust expansion of the regional hydrogen market through 2031.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it