Abundantly available, Hydrogen as fuel is a dream come true but requires separation from its compounds, it can also be produced in a lab, is odorless and colorless. Besides, when being used as a fuel, it emits very low levels of fumes. And, it can deliver power using heat and fuell cell technology.
Moreover, its use in a variety of industries will fuel its growth over the forecast period of 2017 to 2025. Thereby, charting a steady CAGR (Compound Annual Growth Rate), global merchant hydrogen market will generate lucrative opportunities of growth for the market players. Some of the most prominent names in the global merchant hydrogen market landscape include Air Liquide SA, Linde AG, Praxair Inc., Air Products and Chemicals Inc., Airgas Inc., and Hydrogenics Corp, among many others.
Some of the factors that will drive growth into the global merchant hydrogen market are spelled out below:
- Rise in population will lead to increase in need for energy. As per a United Nations study, in next 30 years, world population will increase by 2 billion. And, by 2050, it will be to a 9.7 billion. This means demands for energy, agricultural fertilizer, pharmaceutical and power utilities. As demand for clean fuel generation risers, so would grow the market for merchant hydrogen fuel would increase considerably. This will also see a boost owing to hustle to move away from fossil fuels as the have an adverse effect on environment and the awareness regarding the same is increasing substantially.
- Use in Pharmaceuticals will also add to demand in merchant hydrogen market. The players in the indurty of pharmaceuticals are looking at an increase in incidence of chronic diseases, CVD, diabetes and eye related disorders and this would make major demands on the industry, thereby, creating demands on merchant hydrogen market.
Hydrogen is found in abundance around the world and can be utilized as a fuel source after it is separated from different chemical compounds. Hydrogen is generally found in the gaseous form, and it is colorless and odorless in nature. It is insoluble in water and can be produced by a series of chemical processes in the laboratory. Hydrogen gas is generally produced by electrolysis of water. It can also be produced through a chemical reaction between diluted acids and iron or zinc. Commercial production of hydrogen gas includes a two-step process. In first step, hydrogen and carbon monoxide are produced by combustion of natural gas with steam. The second step involves the conversion of carbon monoxide to carbon dioxide through water-gas reaction. The converted carbon dioxide is then removed through the selective washing process. Hydrogen gas has a number of potential applications due to its high energy-weight ratio and ultra-low emissions during the time of usage. Hydrogen gas for industrial and chemical operations is produced through a variety of chemical reactions and energy sources. The produced hydrogen gas can further utilized to deliver power in combined heat power and fuel cell technologies.
Hydrogen is an important chemical feedstock that has been used for several decades in many chemical and refining operations. And owing to its application in clean energy production, it is viewed as a potential fuel source for future energy production. Merchant hydrogen gas is the amount of hydrogen gas that is traded around the globe for different chemical and energy applications. Hydrogen gas can be segmented into captive hydrogen and merchant hydrogen. The selling price of merchant hydrogen gas is high as it requires additional energy for compression, purification, storage, and transportation to end-users. Hydrogen gas is commercially produced through steam methane reforming, partial oxidation of coal, electrolysis of water, and thermochemical reactions in fuel cells. Storage and transportation of the merchant hydrogen requires high capital expenditure. It is transported using high pressure cylinders. Some of the hydrogen gas is also transported through pipeline networks. Most refineries and petrochemical companies receive merchant hydrogen through pipelines directly from the hydrogen producers. Merchant hydrogen gas for the purpose of trading can be stored using different modes such as glass microspheres, cryoadsorption, encapsulation, metal hydrides, and chemically bound hydrogen.
Petroleum refineries require most of the hydrogen gas for ammonia production, followed by petroleum refining, and desulfurization. The merchant hydrogen gas market is expected to be driven by emphasis on clean energy production, rise in energy demand, increase in cost of fossil fuels, higher demand from petroleum refineries, and a rise in use of hydrogen in the food and beverage industry. Major restraints that can hamper the merchant hydrogen market are high cost of storage and transportation and safety concerns. North America is one of the dominant regions for merchant hydrogen production followed by Europe and Asia-Pacific. Demand for merchant hydrogen in Asia Pacific is anticipated to grow in the near future owing to growing demand of hydrogen gas from the food and beverage, petrochemical, petroleum refining, metallurgy, and power utility industries in the region.
Leading players in the merchant hydrogen market include Air Liquide SA, Linde AG, Praxair Inc., Air Products & Chemicals Inc., Airgas Inc., and Hydrogenics Corp.
The report offers a comprehensive evaluation of the market. It does so via in-depth qualitative insights, historical data, and verifiable projections about market size. The projections featured in the report have been derived using proven research methodologies and assumptions. By doing so, the research report serves as a repository of analysis and information for every facet of the market, including but not limited to: Regional markets, technology, types, and applications.
The study is a source of reliable data on:
- Market segments and sub-segments
- Market trends and dynamics
- Supply and demand
- Market size
- Current trends/opportunities/challenges
- Competitive landscape
- Technological breakthroughs
- Value chain and stakeholder analysis
The regional analysis covers:
- North America (U.S. and Canada)
- Latin America (Mexico, Brazil, Peru, Chile, and others)
- Western Europe (Germany, U.K., France, Spain, Italy, Nordic countries, Belgium, Netherlands, and Luxembourg)
- Eastern Europe (Poland and Russia)
- Asia Pacific (China, India, Japan, ASEAN, Australia, and New Zealand)
- Middle East and Africa (GCC, Southern Africa, and North Africa)
The report has been compiled through extensive primary research (through interviews, surveys, and observations of seasoned analysts) and secondary research (which entails reputable paid sources, trade journals, and industry body databases). The report also features a complete qualitative and quantitative assessment by analyzing data gathered from industry analysts and market participants across key points in the industry’s value chain.
A separate analysis of prevailing trends in the parent market, macro- and micro-economic indicators, and regulations and mandates is included under the purview of the study. By doing so, the report projects the attractiveness of each major segment over the forecast period.
Highlights of the report:
- A complete backdrop analysis, which includes an assessment of the parent market
- Important changes in market dynamics
- Market segmentation up to the second or third level
- Historical, current, and projected size of the market from the standpoint of both value and volume
- Reporting and evaluation of recent industry developments
- Market shares and strategies of key players
- Emerging niche segments and regional markets
- An objective assessment of the trajectory of the market
- Recommendations to companies for strengthening their foothold in the market
Note: Although care has been taken to maintain the highest levels of accuracy in TMR’s reports, recent market/vendor-specific changes may take time to reflect in the analysis.