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Report Overview
The green hydrogen market attained a value of USD 2.43 Billion in 2025 and is projected to expand at a CAGR of 48.40% through 2035. The market is further expected to achieve USD 125.88 Billion by 2035. Global governments are actively promoting the use of hydrogen, particularly in sectors that face challenges to electrification, such as heavy transportation and industrial processes.
Key Market Trends and Insights
- The Asia Pacific green hydrogen market is projected to grow at a CAGR of 59.5% over the forecast period.
- By country, India is expected to grow at a CAGR of 100.6% over the forecast period.
- By technology, Proton Exchange Membrane (PEM) Electrolysis is projected to witness a CAGR of 54.2% over the forecast period.
- By application, the energy sector is expected to register the fastest CAGR over the forecast period.
Market Size & Forecast
- Market Size in 2025: USD 2.43 Billion
- Projected Market Size in 2035: USD 125.88 Billion
- CAGR from 2026 to 2035: 48.40%
- Fastest-Growing Regional Market: Asia Pacific
More than 100 nations and countless corporations are committing to net-zero emissions by 2050, positioning green hydrogen at the center of global decarbonization strategies. In contrast to conventional fossil fuels and interim technologies, green hydrogen is recognized as a far more scalable and emissions-free option that fits well with long-term climate strategies.
Further, the global market is on the threshold of a significant commercialization phase due to deployment of large-sized electrolyzers, driving the overall green hydrogen market growth. In November 2023, Siemens Energy announced the inauguration of a new production line for electrolyzers in Berlin that produced over three gigawatts of electrolysis capacity in 2025 with the objective of meeting the demand for industrial decarbonization in Europe.
The green hydrogen market is also experiencing strong growth because of its integration with the regulatory system through proper funding and climate policies. For example, in June 2025, the approval for the USD 1.85 billion Lancaster Clean Energy Centre was granted. It is set to be the biggest green hydrogen production plant in North America, producing a total of 22,000 tons of green hydrogen each year. Firms are moving away from fossil fuel–based power generation and are increasingly prioritizing the development of round-the-clock clean energy solutions to ensure reliable, low-carbon electricity supply.
2025
Base Year
2019-2025
Historical Period
2026-2035
Forecast Period
Compound Annual Growth Rate
48.4%
Value in USD Billion
2026-2035
*this image is indicative*
|
Global Green Hydrogen Market Report Summary |
Description |
Value |
|
Base Year |
USD Billion |
2025 |
|
Historical Period |
USD Billion |
2019-2025 |
|
Forecast Period |
USD Billion |
2026-2035 |
|
Market Size 2025 |
USD Billion |
2.43 |
|
Market Size 2035 |
USD Billion |
125.88 |
|
CAGR 2019-2025 |
Percentage |
XX% |
|
CAGR 2026-2035 |
Percentage |
48.40% |
|
CAGR 2026-2035- Market by Region |
Asia Pacific |
59.5% |
|
CAGR 2026-2035 - Market by Country |
India |
100.6% |
|
CAGR 2026-2035 - Market by Country |
China |
58.7% |
|
CAGR 2026-2035 - Market by Technology |
Proton Exchange Membrane (PEM) Electrolysis |
54.2% |
|
CAGR 2026-2035 - Market by End User Industry |
Energy |
55.2% |
|
Market Share by Country 2025 |
India |
3.5% |
Key Trends and Recent Developments
Expansion of Hydrogen Refueling Infrastructure
Ongoing expansion and innovation in hydrogen refueling infrastructure due to the rising fuel cell vehicle adoption and large-scale hydrogen mobility is fueling market growth. As per the green hydrogen market analysis, over 1,160 hydrogen refueling stations were operational in 2024 across the globe, indicating the steady growth of investments in distribution networks. For example, a methanol to hydrogen fueling station with a production capacity for 1,000 kilograms every day of high-quality hydrogen was established by Sinopec in Dalian, China, in February 2023. Such developments show how industries are concentrating on innovative solutions to make hydrogen more affordable.
Innovations in Waste-to-Hydrogen Technology
The rising popularity of waste-to-hydrogen technology due to its environmental benefits and cost efficiency is boosting growth in the green hydrogen market. This approach converts recycled waste into clean hydrogen while addressing waste management and energy challenges. For instance, the SGH2 Energy’s Lancaster, California project demonstrates how the Solena Plasma Enhanced Gasification (SPEG) process produces hydrogen 5 to 7 times cheaper than traditional electrolysis and reduces emissions two to three times more. Such scalable and economical innovations of hydrogen production methods are expected to propel market growth in the coming years.
Leveraging Nuclear Energy for Hydrogen Production
One area that provides stable and greenhouse gas-free power generation technology is nuclear energy. Companies are using this energy to produce hydrogen on a massive scale through electrolysis. Countries that already possess nuclear technology are taking full advantage of this complementarity to ensure that hydrogen is produced in massive quantities. For example, in France, this trend is being realized through its new National Hydrogen Strategy. It is setting an ambition to ensure that it attains 4.5 GW in electrolyzer capacity by the year 2030, sufficient to ensure that it can produce hydrogen in quantities no less than 680,000 tons per year. On the other hand, India’s power giant, NTPC, set an acceleration trend in the green hydrogen market by announcing that it is going to construct its first 1-ton daily green hydrogen production unit in Greater Noida in December 2025.
Knowledge Hubs and Capacity-Building Initiatives
The development of more knowledge hubs and capacity-building platforms creates the ecosystem for sustainable hydrogen deployment, which adds to the growth of the green hydrogen market. These centers address skill gaps, help with regulations, allow for certifications, and decrease investment risks in emerging economies. They also enable cross-industry collaboration in the alignment of national objectives with the global transition of energy. For example, in June 2024, GH2 Cairo Centre in Egypt, partnered with Nile University, to build local talent pool, support the acceleration of policy, and act as a hub for green hydrogen innovation across Africa and beyond.
Renewable Energy Integration with Advanced Technologies
The integration of renewable energy sources with advanced technology, such as artificial intelligence (AI), ensures efficient and steady production. Given that solar energy and wind energy are intermittent, AI assists in matching energy supply and energy demand in real time, ensuring a constant rate of hydrogen production. This significantly reduces production costs for firms, making large-scale green hydrogen production possible. In January 2026, The Austria Wirtschaftsservice (aws) bank offered financial support up to EUR 123 million in production support for the proposed facility in Bruck an der Leitha (Lower Austria), offering new green hydrogen market opportunities.
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Global Green Hydrogen Industry Segmentation
The EMR’s report titled “Global Green Hydrogen Market Report and Forecast 2026-2035” offers a detailed analysis of the market based on the following segments:
Market Breakup by Technology
- Alkaline Electrolysis
- Proton Exchange Membrane (PEM) Electrolysis
- Solid Oxide Electrolysis
- Anion Exchange Membrane (AEM) Electrolysis
- Others
Key Insight: Alkaline electrolysis accounts for the largest share in the global green hydrogen market due to its cost-effectiveness, durability, and suitability for large-scale industrial applications. PEM electrolysis is expanding rapidly owing to its ability to produce high-purity hydrogen and respond swiftly to variable renewable power, fueling its use across mobility and decentralized applications. For instance, in September 2025, Accelera supplied a 35-megawatt (MW) proton exchange membrane (PEM) electrolyzer system to support hydrogen production at Linde’s facility in Niagara Falls, New York, reinforcing PEM’s demand in the market. Solid oxide electrolysis is gaining ground for its high efficiency and integration with industrial waste heat, aligning with carbon capture goals. AEM electrolysis is an emerging segment driven by low-cost materials and ongoing R&D.
Market Breakup by End User Industry
- Chemicals
- Automobile
- Energy
- Glass
- Metal
- Others
Key Insight: The green hydrogen market is gaining momentum as end-use industries integrate it into core processes. In chemicals, it replaces fossil-based hydrogen in ammonia and methanol production, cutting emissions. Reports indicate that with approximately 10 million metric tons (MMT) hydrogen currently produced in the United States each year, the primary demand for hydrogen in the present day is for petroleum refining and ammonia production. The automobile sector is adopting it for fuel cell electric vehicles, especially in heavy transport. Energy companies use it for renewable energy storage and grid balancing. In glass manufacturing, it offers a cleaner high-temperature fuel, while metal industries employ it for green steel production, reducing carbon intensity.
Market Breakup by Region
- North America
- Europe
- Asia Pacific
- Latin America
- Middle East and Africa
Key Insight: Regionally, Europe is dominating the global green hydrogen market due to aggressive climate policies and dedicated hydrogen roadmaps. North America is rapidly expanding its share, driven by substantial United States federal incentives like the Inflation Reduction Act offering production tax credits and funding for hydrogen hubs. Asia Pacific is witnessing aggressive growth, particularly in Japan, South Korea, China, and India. In these regions, green hydrogen has become integral to energy security and decarbonization strategies. Latin America benefits from abundant renewable resources, enabling low-cost hydrogen exports. Meanwhile, heavy investments in large-scale hydrogen projects aimed at global supply and diversification across the MEA region propel growth.
Global Green Hydrogen Market Share
Alkaline electrolysis captures the largest market share due to mature technology, lower upfront costs, and strong suitability
The alkaline electrolysis technology category holds a major share of the green hydrogen market revenue. Companies value this technology for its proven reliability, cost-effectiveness, and ability to operate efficiently, making it a preferred production method across regions focused on domestic manufacturing of hydrogen. Additionally, market players are engineering technologies that offer high efficiency, durability, and safety features, boosting alkaline electrolysis uptake in industries transitioning to clean energy. For example, Greenzo Energy launched the “Un Wheel” 1 MW stack specifically designed to perform reliably across diverse Indian climates in various industrial use cases.
Meanwhile, PEM electrolysis technology is gaining notable traction in the market due to its ability to deliver ultra-pure hydrogen with rapid response times. Its compact and modular design allows for easy scaling, from small pilot setups to large-scale plants across industries. Additionally, PEM systems also integrate smoothly with renewable sources like wind, solar, and hydro, driving their preference among large-scale firms. For instance, OMV’s 10 MW green hydrogen plant, launched in July 2025, at its Schwechat refinery in Austria is powered entirely by renewable energy. The plant uses PEM electrolysis to produce clean hydrogen, saving 15,000 mt of CO₂ emissions yearly.
By end user industry, the energy sector secures the dominant share of the market
The energy industry’s growth in the green hydrogen market is fueled by its critical role in storing surplus renewable energy, enabling grid stability, and supporting the integration of intermittent sources like wind and solar. Green hydrogen is also increasingly used for power generation in gas turbines and fuel cells, reducing reliance on fossil fuels. Expanding renewable infrastructure and government decarbonization targets further strengthen the segment’s dominance in the market. Leveraging on this trend, China Energy Engineering Group Co Ltd commenced operations of a record-scale green hydrogen, ammonia, and methanol hub, advancing renewable integration, emissions reduction in December 2025.
The chemicals industry emerges to be the fastest-growing industry, driven by its adoption in ammonia and methanol production, replacing fossil-based hydrogen to cut carbon emissions. Ammonia serves as a key fertilizer input and potential hydrogen carrier, while methanol is vital for fuels and chemicals. Regulatory pressure for cleaner industrial processes, coupled with rising investment in sustainable chemical manufacturing, positions the segment as a major catalyst for green hydrogen demand growth.
If you choose to purchase the full report at a later stage, the amount already paid will be adjusted, and you will only need to pay the remaining balance.
If you choose to purchase the full report at a later stage, the amount already paid will be adjusted, and you will only need to pay the remaining balance.
If you choose to purchase the full report at a later stage, the amount already paid will be adjusted, and you will only need to pay the remaining balance.
If you choose to purchase the full report at a later stage, the amount already paid will be adjusted, and you will only need to pay the remaining balance.
Green Hydrogen Market Regional Analysis
Europe registers the largest share of the market with its strong focus on renewable energy and sustainability
Dominance of the Europe green hydrogen market is attributed to the region’s strong focus on expanding the use of renewables and green hydrogen. Renewable hydrogen is an important part of Europe’s plan to achieve net-zero emissions and a clean energy future. The REPowerEU Strategy, launched in 2022, aims to produce 10 million tons and import 10 million tons of renewable hydrogen by 2030. By 2050, renewable hydrogen is expected to meet about 10% of Europe’s energy needs, which will help reduce carbon emissions in heavy industries and transportation. This clear commitment is encouraging investments and policies that support the growth of green hydrogen across the region.
Meanwhile, the Asia Pacific region is witnessing the fastest growth in the green hydrogen market, driven by government support and strategic investments. Many APAC countries are launching policies and incentives to boost green hydrogen production, aiming to cut carbon emissions and strengthen energy security. In India, the National Green Hydrogen Mission aims to produce 5 million metric tons of green hydrogen by 2030 with INR 19,744 crore budget and plans to attract significant private investment. Similarly, in December 2023, the Japanese government announced a USD 20.86 billion subsidy plan over 15 years to support clean hydrogen delivery and its derivatives. Such strong governmental commitments and policy frameworks are supporting market growth.
|
CAGR 2026-2035- Market by |
Region |
|
Asia Pacific |
59.5% |
|
Latin America |
52.3% |
|
North America |
46.3% |
|
Europe |
XX% |
|
Middle East and Africa |
XX% |
Competitive Landscape
Green hydrogen market players are investing in large-scale electrolysis projects, renewable energy integration, and advanced storage solutions to boost production capacity. Many are working with governments to align efforts with national hydrogen roadmaps and climate targets. Emphasis is placed on improving electrolyzer efficiency, reducing operational costs, and ensuring stable output through smart energy management. These strategic moves aim to create commercially viable hydrogen ecosystems and accelerate the shift toward decarbonized energy systems worldwide.
Green hydrogen companies are expanding their presence in the market by establishing hydrogen production hubs, export corridors, and fueling infrastructure. Additionally, there is an increasing focus on emerging economies that offer abundant renewable resources and supportive policy frameworks. Companies are also strengthening regional supply chains and investing in skilled labor to ensure long-term sustainability. By enabling end-to-end hydrogen solutions from production to distribution, these efforts are positioning green hydrogen as a critical pillar in the global transition to clean, secure, and diversified energy.
Air Liquide
Air Liquide, established in 1902 and headquartered in France, is a global leader that is making substantial investments in green hydrogen, focusing on large-scale electrolyzer deployments and the expansion of clean hydrogen mobility infrastructure across the world. Through these initiatives, Air Liquide is positioning itself to accelerate the hydrogen economy by enabling scalable, sustainable energy systems and long-term decarbonization across industrial value chains.
Air Products and Chemicals, Inc.
Air Products, established in 1940 and headquartered in the United States, is a leading industrial gas company specializing in hydrogen production and supply. It is pioneering several green hydrogen megaprojects globally, including a landmark plant in Saudi Arabia that aims to produce green hydrogen at an unprecedented scale. The company focuses on advancing hydrogen as a clean energy source across multiple sectors and is steadily emerging as a prominent name in the global green hydrogen market.
BP Plc
Founded in 1909 and headquartered in London, United Kingdom, BP Plc is positioning green hydrogen as a core pillar of its energy transition strategy. The company is leveraging its refining footprint and renewable portfolio to integrate large scale electrolyzers into existing industrial clusters.
CHARBONE Corporation
Established in 2019 and headquartered in Montreal, Canada, CHARBONE Corporation focuses on decentralized green hydrogen production for industrial and mobility customers. The company is building modular hydrogen production facilities strategically located near end users, reducing logistics and storage costs.
*Please note that this is only a partial list; the complete list of key players is available in the full report. Additionally, the list of key players can be customized to better suit your needs.*
Other key players in the market include Sinopec, China Three Gorges Corporation, Cummins Inc., Engie SA, Green Hydrogen International, and Iberdrola, S.A., among others.
Key Features of the Green hydrogen Market Report
- In-depth market size analysis with historical data and 2026 growth forecasts.
- Segment-wise breakdown by vehicle type, propulsion, and region.
- Competitive landscape with profiles of top luxury car brands in India.
- Regional insights highlighting demand patterns across North, South, East, and West India.
- Consumer behavior analysis focusing on purchasing trends and brand preferences.
- Regulatory and policy impacts on market expansion and electric vehicle adoption.
Why Choose Expert Market Research?
- Reliable market forecasts based on expert analysis and verified data sources.
- Customizable reports tailored to your green hydrogeniness objectives and industry needs.
- Trusted by leading automotive firms and research institutions worldwide.
- Continuous support and updates on emerging automotive market trends.
Call to Action
Unlock the latest insights with our green hydrogen market trends 2026 report. Discover regional growth patterns, consumer preferences, and key industry players. Stay ahead of competition with trusted data and expert analysis. Download your free sample report today and drive informed decisions in the market.
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*While we strive to always give you current and accurate information, the numbers depicted on the website are indicative and may differ from the actual numbers in the main report. At Expert Market Research, we aim to bring you the latest insights and trends in the market. Using our analyses and forecasts, stakeholders can understand the market dynamics, navigate challenges, and capitalize on opportunities to make data-driven strategic decisions.*
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Key Questions Answered in the Report
In 2025, the market reached an approximate value of USD 2.43 Billion.
The market is projected to grow at a CAGR of 48.40% between 2026 and 2035.
The key players in the market include Air Liquide, Air Products and Chemicals, Inc., BP Plc, CHARBONE Corporation, Sinopec, China Three Gorges Corporation, Cummins Inc., Engie SA, Green Hydrogen International, and Iberdrola, S.A., among others.
Stakeholders are securing offtake contracts, scaling electrolyzer manufacturing, integrating renewables, optimizing project financing structures, and collaborating with industrial clusters to accelerating green hydrogen deployment efficiently.
Europe leads the global green hydrogen industry, mainly driven by strong government policies and investments in green hydrogen production.
High electrolyzer capital costs, renewable power availability constraints, infrastructure gaps, permitting delays, and uncertainty around long term hydrogen pricing continue to challenge project scalability and commercial viability globally.
Report Summary
Explore our key highlights of the report and gain a concise overview of key findings, trends, and actionable insights that will empower your strategic decisions.
| REPORT FEATURES | DETAILS |
| Base Year | 2025 |
| Historical Period | 2019-2025 |
| Forecast Period | 2026-2035 |
| Scope of the Report |
Historical and Forecast Trends, Industry Drivers and Constraints, Historical and Forecast Market Analysis by Segment:
|
| Breakup by Technology |
|
| Breakup by End User Industry |
|
| Breakup by Region |
|
| Market Dynamics |
|
| Competitive Landscape |
|
| Companies Covered |
|
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