PUBLISHER: The Business Research Company | PRODUCT CODE: 1426500
PUBLISHER: The Business Research Company | PRODUCT CODE: 1426500
Brown hydrogen is a form of hydrogen produced by gasifying carbonaceous materials, such as brown coal or lignite. This type of hydrogen is commonly utilized as a feedstock in various industrial processes, including the production of chemicals such as ammonia and methanol, as well as in the refining of fossil fuels.
The primary technologies associated with brown hydrogen are coal gasification with carbon capture storage and coal gasification without carbon capture storage. Coal gasification with carbon capture storage involves the conversion of coal into gas, followed by purification to remove sulfur and other impurities, while capturing and storing the resulting carbon emissions. Brown hydrogen is distributed through various channels such as pipelines and cargo, serving industries such as refining, chemicals, iron and steel, and others.
The brown hydrogen market research report is one of a series of new reports from The Business Research Company that provides brown hydrogen market statistics, including brown hydrogen industry global market size, regional shares, competitors with a brown hydrogen market share, detailed brown hydrogen market segments, market trends and opportunities, and any further data you may need to thrive in the brown hydrogen industry. This brown hydrogen 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 brown hydrogen market size has grown strongly in recent years. It will grow from $34.23 billion in 2023 to $36.64 billion in 2024 at a compound annual growth rate (CAGR) of 7.1%. The increase observed in the historical period can be attributed to early exploration of hydrogen, the influence of the industrial revolution, the era of coal gasification, early efforts in energy diversification, and growing awareness of environmental considerations.
The brown hydrogen market size is expected to see strong growth in the next few years. It will grow to $46.57 billion in 2028 at a compound annual growth rate (CAGR) of 6.2%. The anticipated growth in the forecast period can be attributed to a push towards renewable energy sources, increasingly stringent environmental regulations, investments and funding in the hydrogen sector, government support for hydrogen initiatives, and the expansion of industrial applications for hydrogen. Major trends expected in the forecast period involve considerations for energy security, the global expansion of the hydrogen market, a transition away from fossil fuels, an influx of investments, and the influence of policies and regulations.
The brown hydrogen market is poised for growth due to an increasing demand for ammonia production. Ammonia, a colorless gas with a distinctive odor, plays a vital role in various industries such as agriculture, chemicals, and pharmaceuticals. Brown hydrogen, produced through coal gasification, can contribute to ammonia production by generating hydrogen, which is then purified and combined with nitrogen to synthesize ammonia. Anticipating a nearly 40% increase in ammonia production by 2050, the International Fertilizer Association highlighted the economic and population growth driving this surge. Consequently, the growing demand for ammonia production is a key factor propelling the brown hydrogen market.
The brown hydrogen market is also set to benefit from the rising demand for steel. Steel, a crucial iron and carbon alloy used in construction, transportation, and the energy sector, is experiencing increased demand. Simultaneously, there is a need to reduce carbon emissions in the steel production process. Hydrogen, including brown hydrogen, is gaining attention as a crucial component in the production of green steel. Projections from the World Steel Association indicate a 0.4% increase in steel demand in 2022 and a subsequent rise to 1,881.4 Mt in 2023. This growing demand for steel is a significant driver for the brown hydrogen market.
The environmental impact of brown hydrogen production poses a challenge and could restrain market growth. The production process of brown hydrogen contributes significantly to global warming potential, emitting greenhouse gases and depleting fossil fuels. According to the National Library of Medicine, brown hydrogen's current production methods contribute approximately 900 million metric tons of CO2 emissions annually, making it a substantial contributor to greenhouse gas emissions. Consequently, the environmental impact of brown hydrogen production processes is impeding market growth.
Major companies in the brown hydrogen sector are leveraging innovation to enhance profitability. Solvay S.A., a Belgium-based chemical company, launched a hydrogen platform in January 2021 to consolidate its cutting-edge material and chemical solutions. This platform aims to support the development of green hydrogen technology by providing advanced materials for hydrogen systems, including ionomers and high-performance polymers. The goal is to accelerate the transition to a low-carbon economy.
In April 2021, Air Products and Chemicals Inc., a US-based chemical company, acquired a 50% equity stake in a joint venture for gasification technology from China Shenhua Coal and Liquid and Chemical Co. Ltd. This strategic move strengthens Air Products' gasification technology portfolio and integrates Chinese engineering and technical resources. China Shenhua Coal to Liquid and Chemical Co. Ltd., a Chinese petrochemical company specializing in coal-to-liquid (CTL) and coal-to-chemicals (CTC) technologies for brown hydrogen preparation, is a key player in this collaboration.
Major companies operating in the brown hydrogen market report are Saudi Aramco, Sinopec Limited, ExxonMobil Corporation, TotalEnergies SE, Valero Energy Corporation, Chevron Corporation, Mitsubishi Cooperation, Shell Japan Limited, BASF SE, ConocoPhillips Company, General Electric Company, Siemens AG, Dow Inc., ThyssenKrupp AG, Linde plc, Yara International ASA, Sasol Limited, Kawasaki Heavy Industries Limited, China Petrochemical Corporation, Iwatani Corporation, Ube Industries Ltd., Sumitomo Mitsui Construction Co. Ltd., Bloom Energy, Fusion Fuel Green Limited, J-Power Systems Corporation
North America was the largest region in the brown hydrogen market in 2023. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the brown hydrogen market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa
The countries covered in the brown hydrogen market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain
The brown hydrogen market consists of revenues earned by entities by providing services such as emissions control, industrial processes, power generation, and syngas cleanup. The market value includes the value of related goods sold by the service provider or included within the service offering. The brown hydrogen market also includes sales of hydrogen storage solutions and synthetic fuels. 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.
Brown Hydrogen Global Market Report 2024 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on brown hydrogen 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.
Where is the largest and fastest growing market for brown hydrogen? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The brown hydrogen market global report from the Business Research Company 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.