The global green ammonia market is estimated to garner a revenue of USD 851.3 Million by the end of 2028 from USD 13.15 Million in 2019 by growing with a CAGR of 62.84% during the forecast period, i.e., 2021-2028. The growth of the market can be attributed primarily to the rapidly increasing need to reduce greenhouse gas emissions worldwide, along with the increasing adoption of energy-efficient technology across countries globally.
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Green ammonia is used across various industries as a building block such as fabrics, pesticides, fertilizer, plastics, explosives, and dyes in residential and commercials applications and it is the 2nd most-produced chemical globally. However, the traditional procedure of producing ammonia consumes fossil fuels such as coal, natural gas, and others, on account of which it is responsible for global greenhouse gases emission. The conventional process of ammonia production results in the production of high amount of carbon dioxide, on account of which there is an increasing demand for renewable energy sources for the production of green ammonia. According to the statistics by Climate Watch, total greenhouse gas emissions around the world increased from 32645.91 MtCO2e in 1990 to 48939.71 MtCO2e in 2018. To reduce the level of greenhouse gas emission, many market players are shifting their focus towards ecological process, which is further anticipated to drive the market growth.
On the other hand, energy efficiency programs, which use smart technologies for achieving decarbonization goals is a significant trend in the market. The adoption of the energy-as-a-service model is among a key method for capturing value associated with the energy efficiency improvements. Nevertheless, service models have significantly improved the energy efficiency gap via aligning the incentives between consumers and energy service companies in order to reduce the overall energy consumption, which is also anticipated to create numerous opportunities for market growth. Furthermore, the increasing use of alkaline water technology, proton exchange membrane technology, solid oxide electrolysis and others for the production of green ammonia, is also anticipated to drive the market growth during the forecast period.
Regionally, the global green ammonia market is segmented into North America, Europe, Asia Pacific, and Rest of the World. Amongst these regions, the market in Europe is anticipated to hold the largest market share throughout the forecast period and is further projected to reach USD 558.03 Million by the end of 2028. The market in the region is further anticipated to grow with the highest CAGR of 65.37% during the forecast period. The growth of the market in the region can be attributed to the increasing number of green hydrogen projects in the European countries, such as in Germany, UK, and Netherlands, backed by the supporting initiatives of the governments of the countries in the region. Further, amongst all the countries in the region, the green ammonia market in Netherlands is anticipated to hold the largest market share of 40.70% and further touch USD 227.12 Million by the end of 2028. The market in Germany, on the other hand, is anticipated to grow with the highest CAGR of 86.35% during the forecast period.
The study further incorporates Y-O-Y Growth, market opportunities, demand & supply and forecast future opportunity in North America (United States, Canada, Mexico), South America, Europe (U.K., Germany, France, Italy, Spain, Hungary, BENELUX [Belgium, Netherlands, Luxembourg], NORDIC [Norway, Denmark, Sweden, Finland], Poland, Russia, Rest of Europe), Asia-Pacific (China, India, Japan, South Korea, Malaysia, Indonesia, Taiwan, Hong Kong, Australia, New Zealand, Rest of Asia-Pacific), Middle East and Africa (Israel, GCC [Saudi Arabia, UAE, Bahrain, Kuwait, Qatar, Oman], North Africa, South Africa, Rest of Middle East and Africa).
The global green ammonia market is segmented by technology into alkaline water electrolysis, proton exchange membrane, and solid oxide electrolysis. Amongst these segments, the solid oxide electrolysis segment is anticipated to hold the largest market share throughout the forecast period and further attain a market revenue of USD 496.38 Million by the end of 2028. The solid oxide electrolysis (SOEC) process is one of the most prominent methods of producing green ammonia. The production process splits water to generate hydrogen, which is then utilized for synthesis of green ammonia. The technology is beneficial than other processes as it uses the internal wasted heat generated during splitting water molecule and decreases the amount of overall energy required during the process. The SOEC technology is majorly used for the large-scale production of hydrogen. The rising awareness among the chemical manufacturers for the process is further projected to drive the growth of the segment during the forecast period. Based on application, the market is segmented into industrial feedstock, green fertilizer, marine fuel, power generation, and others. Amongst these segments, the power generation segment is projected to hold the largest market share during the forecast period and further touch USD 393.81 Million by the end of 2028.
Our report has covered detailed company profiling comprising company overview, business strategies, key product offerings, financial performance, key performance indicators, risk analysis, recent developments, regional presence, and SWOT analysis among other notable indicators for competitive positioning. Some of the prominent industry leaders in the global green ammonia market that are included in our report are Nel ASA, Siemens AG, ITM Power, thyssenkrupp Industrial Solutions, MAN Energy Solutions SE, McPhy Energy S.A., and others.
FREQUENTLY ASKED QUESTIONS
The growing need to reduce greenhouse gas emissions, along with the rise in adoption of energy-efficient technologies, are some of the factors anticipated to drive the market growth.
The market is anticipated to attain a CAGR of 62.84% over the forecast period, i.e., 2021-2028.
The high initial capital investment, along with the lack of awareness about green ammonia are estimated to hamper the market growth.
The market in the Asia Pacific is anticipated to display significant business opportunities in the future.
The major players in the market are Nel ASA, Siemens AG, ITM Power, thyssenkrupp Industrial Solutions, MAN Energy Solutions SE, McPhy Energy S.A., 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 technology, application, and by region.
The solid oxide electrolysis segment is anticipated to hold largest market share over the forecast period and further attain a market revenue of USD 496.38 Million by the end of 2028.
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