Global Market for Hydrogen Vehicles to Yield US$ 150 Mn Incremental Opportunity through 2031: Fact.MR Report
Published : 18 Aug 2021 Industry: Automotive
A recently published Fact.MR study investigates that the global hydrogen vehicles market is expected to register a CAGR of 3% across the 2021-2031 forecast period, generating an incremental opportunity worth US$ 150 Mn. Growth is expected to remain sustained amid growing scramble for alternative fuel sources to power automobiles.
From 2016 to 2020, hydrogen vehicles sales expanded modestly, at a CAGR of 2%, attributed to the highly niche characteristics of the market. A general slowdown in the global automotive industry coupled with recessionary shocks experienced amidst the coronavirus pandemic further restrained expansion prospects. However, as restrictions ease, automotive manufacturers are reporting higher profit margins, which will bode well for hydrogen vehicles sales.
Green hydrogen fuel is expected to grow in the future. Hydraulic fuels can significantly benefit clean energy transitions if they are adopted in sectors where they are practically absent, such as transportation, buildings, and power generation. Around the world, hydrogen is now a major energy source for industrial clients. Over the last three decades, the demand for hydrogen has tripled, and nearly all of it is supplied by coal and gas, with 6% of global natural gas consumption going to hydrogen production.
Key Takeaways from the Market Study
- Hydrogen powered trucks & trailers to witness burgeoning demand, expand at 3% CAGR
- By technology, phosphoric acid fuel cell hydrogen vehicles to account for 60% of overall demand
- Sales of hydrogen vehicles in the U.S to surge at a CAGR of around 4% through 2031
- Asia to be the most lucrative market, accounting for 40% of the global hydrogen vehicles demand
“Although manufacturers will focus on new markets, they are committed to sustainable renewable energy without releasing harmful gases into the air," says the Fact.MR analyst.
Strategic collaborations enable hydrogen vehicles to increase revenue and market share. The implementation of new technologies and equipment allows manufacturers to expand their footprints in the market.
On 25th May 2021, Faurecia closed the merger of Chinese hydrogen tank manufacturer, CLD. Following Faurecia's announcement of the acquisition project in February, CLD has been selected by reputable Chinese OEMs, such as SAIC, for several different commercial vehicle models.
On April 22, 2021, Toyota Motor Corporation announced its goal of creating a zero-emission mobility society, as well as its hydrogen engine development program. In addition, the engine will be mounted on a Corolla Sport race car, competing under the ORC ROOKIE Racing banner starting with the NAPAC Fuji SUPER TEC24 Hours Race on May 21-23.
More Insights Available
Fact.MR's, in its new offering, presents an unbiased analysis of the hydrogen vehicle market, presenting historical demand data (2016-2020) and forecast statistics from 2021 to 2031.
The study divulges essential insights on the market based on vehicle type (passenger, commercial, heavy commercial, buses & coaches and trucks & trailers), technology (proton membrane exchange and phosphoric acid fuel cell), across seven major regions of the world (North America, Latin America, Europe, East Asia, South Asia, Oceania, and Middle East & Africa).
About the Automotive Division at Fact.MR
Expert analysis, actionable insights, and strategic recommendations of the highly seasoned automobile team at Fact.MR helps clients from across the globe with their unique business intelligence needs. With a repertoire of over thousand reports and 1 million-plus data points, the team has analyzed the automotive industry across 50+ countries for over a decade. The team provides unmatched end-to-end research and consulting services. Reach out to explore how we can help.
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Consultant - Industrial Goods and Automotive