Electrolysis Stack Market Size & Share, by Application (Transportation Industry, Power & Energy Storage, Methanol Production, Refining, Ammonia Production); Product Type {Proton Exchange Membrane (PEM) Electrolyzer, Alkaline Electrolyzer, Solid Oxide Electrolyzer Cell} - Global Supply & Demand Analysis, Growth Forecasts, Statistics Report 2023-2035

  • Report ID: 4716
  • Published Date: Mar 01, 2023
  • Report Format: PDF, PPT

Global Market Size, Forecast, and Trend Highlights Over 2023-2035

Electrolysis Stack Market size is anticipated to surpass USD 2,220.0 Million by the end of 2035, witnessing around 35% CAGR during the forecast period, i.e., 2023-2035. In the year 2022, the industry size of electrolysis stack was USD 400.0 Million. The growth of the market can primarily be ascribed to the surging demand for hydrogen to produce green fuels across the globe, followed by the increase in carbon dioxide emissions. Furthermore, hydrogen is a clean fuel that does not consist of any harmful chemicals that have a bad impact on the environment, and it is predicted to increase the growth of the global electrolysis stack market. As per the estimated data, the demand for hydrogen around the world has increased to nearly 94 million metric tons in the year 2021.

Moreover, there has been an increasing prediction that the demand for energy will rise in the coming years. In addition, there has been surging development of energy efficient solutions that is expected to decrease the emission of carbon dioxide, and solve the issue related to the renewable energy sources intermittence. According to the International Energy Agency, the global energy demand is expected to rise by 40 percent from 2016 to 2040.

Get more information on this report: Request Free Sample PDF

Electrolysis Stack Sector: Growth Drivers and Challenges

Growth Drivers

  • Rising Requirement of Hydrogen for Homes and Businesses- There is a rising requirement for hydrogen generation for various applications, and it is expected to increase the growth of the market. More than 1 billion scf of hydrogen are used each day to remove sulfur compounds from diesel fuels, gasoline, and other products in the United States.

  • Increasing Demand for Hydrogen Fuel Cell Vehicles – There is a surging requirement for hydrogen for the increasing number of hydrogen fuel cell vehicles, and it is predicted to drive the market’ growth in the upcoming years. As of 30 June 2022, there were more than 7,000 fuel cells cars leased and sold in Japan.

  • Surging Investment for Generation of Power- Through adding power to water, the water can be separated into oxygen, and hydrogen. Therefore, surging investment for the generation of more power, is further anticipated to rise the growth of the global electrolysis stack market over the forecast period. According to the data reported by the International Energy Agency, the amount of annual global energy investment is anticipated to increase to USD 1.9 trillion in 2021, up over 10% from 2020 and returning the total investment volume to pre-crisis levels.

  • Rising Popularity of Green Fertilizers– Green fertilizers are produced with the help of renewable electricity, and have the same chemical and physical composition. In order to prepare green fertilizers, there is a need to make ammonia, that is prepared through the electrolysis of water, supported by renewable electricity, and it is and it is expected to boost the growth of the global electrolysis stack market. – Green fertilizers generally have lower than 80 percent carbon footprint than the fertilizers prepared through natural gas.

  • Increasing Electrolysis Capacity- Electrolysis capacity is increasing from a very low base, and it needs to accelerate significantly to meet the Net Zero Emissions by 2050 Scenario, that calls for increasing electrolysis capacity to more than 700 GW by 2030.


  • High Cost for the Generation of Electricity

The cost of the electrolysis stack is high, leading to a surge in the cost of producing electricity through hydrogen. On the other hand, the production cost of hydrogen from other ways, such as solar, and wind systems, has been reduced. Therefore, this factor is expected to restrain the market’s growth in the upcoming years.

  • Presence of Alternative Ways of Hydrogen Production
  • Loss of Energy during the Electrolysis Process

Electrolysis Stack Market: Key Insights

Base Year


Forecast Year




Base Year Market Size (2022)

~ USD 400.0 Million

Forecast Year Market Size (2035)

~ USD 2,220 Million

Regional Scope

  • North America (U.S., and Canada)
  • Latin America (Mexico, Argentina, Rest of Latin America)
  • Asia-Pacific (Japan, China, India, Indonesia, Malaysia, Australia, Rest of Asia-Pacific)
  • Europe (U.K., Germany, France, Italy, Spain, Russia, NORDIC, Rest of Europe)
  • Middle East and Africa (Israel, GCC North Africa, South Africa, Rest of Middle East and Africa)
Get more information on this report: Request Free Sample PDF

Electrolysis Stack Segmentation

Application (Transportation Industry, Power & Energy Storage, Methanol Production, Refining, Ammonia Production)

The global electrolysis stack market is segmented and analyzed for demand and supply by application into transportation industry, power & energy storage, methanol production, refining industry, ammonia production, and others. Out of which, the transportation industry segment is projected to witness noteworthy growth over the forecast period. The growth of the segment can be accounted to the rising adoption of hydrogen as a fuel for power vehicles, as a replacement for fuels that emit large amounts of carbon dioxide into the environment. Furthermore, there has been an increase in the percentage of carbon dioxide emissions, leading to harmful effects on the environment as well as humans. As per the data reported, the number of hydrogen fueled passenger car, buses vehicles on road accounted to nearly 26,000, and 5,500.

Moreover, the global electrolysis stack market is divided on the basis of product type into proton exchange membrane (PEM) electrolyzer, alkaline electrolyzer, solid oxide electrolyzer cell, and others}. Out of these, the proton exchange membrane (PEM) segment is expected to hold the largest share by the end of the year 2035. This can be attributed to the benefits attached to the PEM in relation to the most significant source of high-purity hydrogen as compared to the others that are used in energy storage, and chemical processes. Moreover, owing to its high efficiency, it is able to produce higher rate of hydrogen, and it is predicted to boost the segment’s growth in the market.

Our in-depth analysis of the global market includes the following segments:

               By Application

  • Transportation Industry
  • Power & Energy Storage
  • Methanol Production
  • Refining Industry
  • Ammonia Production
  • Others

              By Product Type

  • Proton Exchange Membrane (PEM) Electrolyzer
  • Alkaline Electrolyzer
  •  Solid Oxide Electrolyzer Cell
  • Others

Want to customize this research report as per your requirements? Our research team will cover the information you require to help you take effective business decisions.

Customize this Report

Electrolysis Stack Industry - Regional Synopsis

North American Market Forecast   

The North America market, amongst the market in all the other regions, is projected to hold the largest market share by the end of 2035. The growth of market can be ascribed to the surging demand for hydrogen for various applications in countries such as Canada, and the U.S.A. Moreover, there has a been rising awareness among the government and the people to use hydrogen to fuel zero-emission vehicles, is further projected to increase the growth of the market in the region. In addition, the demand for hydrogen fuel cell vehicles has increased in the region, that is further expected to surge the market’s growth in the region. As per the estimates, there are more than 14,000 hydrogen powered vehicles in the United States on the road, and nearly all are present in California.

Europe Market Forecast

On the other hand, the Europe region is predicted to witness a large growth over the forecast period, backed by the growing popularity of green fertilizers for sustainable farming practices. Furthermore, there has been a surge in awareness among the enterprises leading to demand for electrolysis processes for the production of hydrogen, that can be used as a fuel. Hence, it is expected to drive the market’s growth in the Europe region in the upcoming years.

Research Nester
Get more information on this report: Request Free Sample PDF

Companies Dominating the Electrolysis Stack Landscape

    • Asahi Kasei Corporation
      • Company Overview
      • Business Strategy
      • Key Product Offerings
      • Financial Performance
      • Key Performance Indicators
      • Risk Analysis
      • Recent Development
      • Regional Presence
      • SWOT Analysis
    • Nel ASA
    • ITM Power PLC
    • Plug Power Inc.
    • OxEon Energy, LLC.
    • h2e Power Systems Inc.
    • Siemens Energy
    • Cummins Inc.
    • Evolve Hydrogen Inc. 


In The News

  •  Siemens Energy announced the partnership with Toray for promoting a new membrane technology with the demonstration of polymer electrolyte membrane electrolysis in Japan.

  • Cummins Inc., announced the partnership with Iberdrola in order to announce the electrolyzer plants in Castilla-La Mancha, Spain for the production of hydrogen.

Author Credits:  Smruti Ranjan, Rajrani Baghel

  • Report ID: 4716
  • Published Date: Mar 01, 2023
  • Report Format: PDF, PPT

Frequently Asked Questions (FAQ)

Increasing demand for hydrogen fuel cell vehicles, surging investment for generation of power, and rising popularity of green fertilizers are estimated to majorly boost the market growth.

The market is anticipated to attain a CAGR of 35% over the forecast period, i.e., 2023 - 2035.

Presence of alternative ways of hydrogen production, high cost for the generation of electricity, and loss of energy during the electrolysis process are estimated to challenge the market growth.

The market in North America region is projected to hold the largest market share by the end of 2035 and provide more business opportunities in the future.

The major players in the market are Nel ASA, H-TEC SYSTEMS GmbH, ITM Power PLC, Plug Power Inc., OxEon Energy, LLC., h2e Power Systems Inc., Siemens Energy, Cummins Inc., Evolve Hydrogen Inc., Asahi Kasei Corporation, and others

The company profiles are selected based on the revenues generated from the product segment, geographical presence of the company which determine the revenue-generating capacity as well as the new products being launched into the market by the company.

The market is segmented by application, product type, and by region.

The transportation industry segment is anticipated to garner the largest market size by the end of 2035 and display significant growth opportunities.
Electrolysis Stack Market Report Scope

FREE Sample Copy includes market overview, growth trends, statistical charts & tables, forecast estimates, and much more.

 Request Free Sample Copy

Have questions before ordering this report?

Inquiry Before Buying