Market Definition
Fuel cells are devices that convert the chemical energy of hydrogen or other fuels to clean & efficient electrical energy. They can be utilized extensively in numerous applications across industries like automotive, power & utilities, industrial, commercial, residential, & wastewater treatment facilities, among others. Unlike conventional combustion-based technologies currently used in many power plants & vehicles, Fuel cells offer several benefits like higher efficiencies, lower or zero emissions, no air pollutants, and quiet during operation.
Market Insights
The Global Fuel Cell Market is expected to grow at a CAGR of around 28% during the forecast period, i.e., 2022-27. Most of the market expansion would be propelled by the mounting need for renewable energy sources owing to growing environmental concerns over rapid climate changes and the alarming levels of carbon emissions from various industries.
In view of this, governments of various countries are making massive investments in developing alternatives to fossil fuels and laying out favorable norms for companies to introduce green energy technologies, i.e., infusing the demand for fuel cells, which exhibit benefits like low-to-zero emissions, high efficiency & reliability, energy security, durability, scalability, and quiet operations.
Many fuel cell manufacturers are carrying out strategic partnerships & acquisitions to expand their operations by setting up new plants across different countries worldwide in order to cater to the mounting requirements for fuel cells in various applications, including data centers, hydrogen-based vehicles in transportation, and defense equipment.
| Report Coverage | Details |
|---|---|
| Study Period | Historical Data: 2017-20 |
| Base Year: 2021 | |
| Forecast Period: 2022-27 | |
| CAGR (2022-2027) | 28% |
| Regions Covered | North America: The US, Canada, Mexico |
| South America: Brazil, Rest of South America | |
| Europe: Germany, The UK, France, Russia, Rest of Europe | |
| Middle East & Africa: Israel, GCC, South Africa, Rest of The Middle East & Africa | |
| Asia-Pacific: China, Japan, India, South Korea, Australia, Rest of Asia Pacific | |
| Key Companies Profiled |
Plug Power, FuelCell Energy, Inc., Cummins Inc., Ballard Power Systems, Bloom Energy, Panasonic Corporation, Mitsubishi Power Ltd., SFC Energy AG, Horizon Fuel Cell Technologies Pte. Ltd., Toshiba Corporation, Doosan Fuel Cell Co., Ltd., SOLIDpower, Nedstack Fuel Cell Technology B.V., Robert Bosch GmbH, Others |
| Unit Denominations | USD Million/Billion |
Similar to EVs (Electric Vehicles), Fuel Cell Vehicles (FCVs) are powered by electric motors rather than ICEs (Internal Combustion Engines) and have no smog or GHG (Green House Gas) emissions. As more & more people are adopting green mobility in order to contribute to a sustainable future, the demand for fuel cells is rapidly burgeoning worldwide, i.e., creating lucrative prospects for manufacturers to expand their production & distribution capacities and boost the global fuel cell market in the future.
Latest Trend in the Global Fuel Cell Market
Data center operations are highly power-consuming as these systems require uninterrupted electricity to avoid or minimize the chances of data loss. As a result, many companies have started adopting sustainable alternatives to achieve cost savings, and fuel cells, particularly SOFC, have witnessed remarkable growth. Moreover, stationary & portable applications of SOFC are in high demand across the defense sector for noiseless & efficient power generation. These trends are creating new avenues for the Global Fuel Cell Market to expand at a significant growth rate over the coming years.
Market Segmentation
Based on Type:
Of them all, PEM (Proton Exchange Membrane) fuel cells are expected to dominate the Global Fuel Cell Market during 2022-27. It attributes primarily to their mounting demand for long-haul transport & material handling equipment. PEM is the most established fuel cell technology that operates at a lower temperature and has a higher energy density & durability, low weight & volume, less refueling time, & more life cycles than its counterparts.
The rapidly rising environmental concerns have compelled governments worldwide to enforce various policies for using clean energy and developing hydrogen-based fuel cells & hydrogen refueling stations for vehicles. As a result, several automotive OEMs are massively investing in PEM fuel cell technology, mainly for transportation applications, owing to their low start-up time & favorable power-to-weight ratio. Hence, the growing applications of PEM fuel cells in the transportation sector for powering buses & cars and technological advancements toward increasing their efficiency would continue driving the fuel cell market globally over the forecast years.
