by The global Hydrogen Vehicle Market is estimated to be valued at US$ 3.58 Mn in 2023 and is expected to exhibit a CAGR of 28% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
The global hydrogen vehicle market consists of vehicles that use hydrogen as a fuel for power generation and propulsion. Hydrogen vehicles either use fuel cells to convert hydrogen into electricity or use internal combustion engines to combust hydrogen gas. Fuel cell electric vehicles (FCEV) are more efficient and environment-friendly compared to other fuel-powered vehicles. Hydrogen vehicles offer advantages such as zero tailpipe emissions, long range capacity, and fast refueling. Growing environmental concerns regarding vehicle emissions are propelling the demand for clean fuel vehicles such as hydrogen vehicles globally.
Market key trends:
One of the key trends in the hydrogen vehicle market is the increasing development of hydrogen refueling infrastructure. Major automotive companies and government agencies across regions are investing heavily in building more hydrogen refueling stations to boost the adoption of these vehicles. Additionally, continuous technological advancements are making hydrogen fuel cells more efficient and cost-effective. Companies are focusing on developing advanced fuel cell systems and expanding their durability and performance. Ongoing research and projects to produce low-cost green hydrogen are also expected to accelerate the commercialization of hydrogen vehicles in the coming years.
Porter’s Analysis
Threat of new entrants: The hydrogen vehicle market requires huge capital investments for setting up fuel cell and hydrogen fuel infrastructure. This high barrier to entry protects the existing players from new competition.
Bargaining power of buyers: Buyers have moderate bargaining power due to availability of alternatives like battery electric vehicles. However, increasing environmental awareness is positively influencing the demand for hydrogen vehicles.
Bargaining power of suppliers: Major suppliers like fuel cell manufacturers and hydrogen gas suppliers have significant influence over prices. Established supply chains ensure sustainable supplies.
Threat of new substitutes: Battery electric vehicles are the main substitute but have limitations of driving range. Hydrogen vehicles have longer driving ranges and faster refueling times providing an edge over alternatives.
Competitive rivalry: The market currently has few players like Toyota, Hyundai and Honda. Intense R&D is expected to increase competition.
Key Takeaways
The global Hydrogen Vehicle Market Growth is expected to witness high growth, exhibiting a CAGR of 28% over the forecast period, due to increasing environmental regulations and supportive government policies promoting use of cleaner fuels.
Regional analysis shows that Asia Pacific dominates the global market led by countries like Japan, South Korea and China. Availability of hydrogen refueling infrastructure and new vehicle launches are driving the regional market. North America and Europe are also growing steadily with growing refuling stations.
Key players operating in the hydrogen vehicle market are Toyota Motor Corporation, Hyundai Motor Company, Honda Motor Co., Ltd., and Ballard Power Systems. Toyota leads the market with wide portfolio of fuel cell vehicles and focus on expanding hydrogen ecosystems. Hyundai too has launched several Fuel Cell Electric Vehicles (FCEVs) improving driving range and performance.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
Money Singh is a seasoned content writer with over four years of experience in the market research sector. Her expertise spans various industries, including food and beverages, biotechnology, chemical and materials, defense and aerospace, consumer goods, etc.
