Hydrogen: The Rising Star of Industrial Gases

2025-11-29 investment

London, Saturday, 29 November 2025.
Hydrogen is leading the charge in the industrial gases market, boasting an impressive growth rate of 11.5% annually. This surge is propelled by a global push for green hydrogen technologies, highlighting its pivotal role in sustainable energy solutions. The market is projected to expand significantly, with hydrogen standing out as a key player in the energy transition. As industries search for cleaner alternatives, hydrogen’s versatility and potential to reduce carbon emissions make it a crucial component of the future energy landscape. Dive in to learn how hydrogen is reshaping the market.

The Hydrogen Boom

Hydrogen is racing ahead in the industrial gases market, showing a remarkable compound annual growth rate (CAGR) of 11.5% through 2032. This is largely due to robust investments in green hydrogen technologies, which are transforming how industries address their energy needs [1]. With global attention shifting towards sustainable energy, hydrogen is not just a trend—it’s becoming a cornerstone in reducing carbon emissions and fostering a greener future [1].

Global Market Projections

The industrial gases market is expected to grow from US$93.7 billion in 2025 to US$136.1 billion by 2032, with a steady CAGR of 5.5% [2]. Within this market, hydrogen stands out as the fastest-growing segment. This growth is exciting news for businesses investing in hydrogen-based solutions, as they tap into the decarbonisation potential that hydrogen offers [2].

Investment Trends in Hydrogen

Investments in hydrogen technologies have surged, with commitments exceeding USD 110 billion across over 500 projects globally. This marks a ten-fold increase since 2020, showcasing the rapid pace at which the hydrogen sector is scaling [3]. Companies are eager to embrace hydrogen, not just for its environmental benefits but also for its potential to revolutionise industries like transport and manufacturing [3].

Challenges and Opportunities

Despite its growth, the hydrogen industry faces challenges such as high electricity costs and regulatory hurdles [4]. However, with strong policy support and strategic investments, these obstacles are being tackled head-on. The International Energy Agency notes that low-emission hydrogen production is set to reach 4.2 million tonnes per year by 2030, a fivefold increase from 2024 [4]. This indicates a maturing industry poised for significant impact [4].

A Global Shift Towards Hydrogen

Countries around the world are recognising hydrogen’s role in achieving net-zero emissions. From the EU’s stringent renewable energy targets to India’s ambitious National Green Hydrogen Mission, the global shift towards hydrogen is clear [5][6]. These initiatives not only support the hydrogen market but also signal a broader commitment to sustainable energy solutions [5][6].

Conclusion: A Green Future

Hydrogen’s ascent in the industrial gases market isn’t just about numbers. It’s about a fundamental shift towards cleaner, more sustainable energy practices. As industries pivot away from fossil fuels, hydrogen offers a versatile, eco-friendly alternative. It’s an exciting time for the hydrogen sector, with its potential to shape a greener future for generations to come [1][4][6].

Bronnen

hydrogen investment industrial gases