BLUE HYDROGEN MARKET SIZE AND SHARE ANALYSIS - GROWTH TRENDS AND FORECASTS (2024 - 2031)

The increasing focus on reducing carbon emissions and transitioning towards cleaner sources of energy are key drivers promoting the demand for blue hydrogen. Many countries and major energy producers have announced ambitious targets and investments to develop blue hydrogen economies. At the same time, the high capital costs involved in production via steam methane reforming with Carbon Capture, Utilization and Storage (CCUS) and developing storage and transport infrastructure pose challenges to the wider adoption of blue hydrogen.

North America is expected to dominate the blue hydrogen market during the forecast period given the strong policy support and funding being directed towards the development of hydrogen vales. Countries like the U.S. and Canada are leading large-scale pilot and demonstration projects that can aid commercialization. The Europe region also offers promising growth opportunities led by Germany, the U.K., and France.

Collaborations across energy companies, governments, and research institutions will be crucial to leverage expertise and share risks involved in piloting new technologies such as methane pyrolysis. Developing international standards for the transportation and storage of blue hydrogen can further optimize cross-border trade opportunities. While blue hydrogen may not be the long-term solution due to challenges with carbon storage, it can play an important transitional role in helping decarbonize industrial and transport sectors.