An electrolyzer is a system that breaks water into hydrogen and oxygen with the help of electricity. This process is known as electrolysis and it is mainly used to produce hydrogen, which is then stored as a compressed or liquefied gas. Oxygen produced during the electrolysis process is either released into the atmosphere or is stored to use for other purposes.

International Energy Agency (IEA) has projected that the energy demand will grow between 25% to 30% by 2040 with companies and governments trying to find sustainable and low-carbon emission energy sources. Hydrogen is being called the fuel of the future and IEA has projected that hydrogen production from water electrolysis can prevent the 830 million tons of CO2 annually from entering the atmosphere.

Moreover, the growing demand for hydrogen fuel cell vehicles, green ammonia, green methanol, and other applications is driving the growth of the water electrolysis market.

Market Lifecycle Stage

Water electrolysis is old technology and was first introduced in 1789 by the Dutch merchants Jan Rudolph Deiman and Adriaan Paets van Troostwijk, who used gold electrodes and an electrostatic generator to produce an electrostatic discharge in water. Almost 100 years later in 1888, Russian engineer Dmitry Lachinov developed the first industrial water electrolyzer for producing hydrogen and oxygen.

In the mid-1960s, General Electric introduced the proton exchange membrane process for the Gemini Space Program, and it was later adopted for hydrogen production. Currently, there are four types of electrolyzers available in the market alkaline and polymer electrolyte membrane (PEM) already commercialized and anion exchange membrane (AEM) and solid oxide at an early stage of commercialization.

Industrial Impact

The growth of the water electrolysis market is closely tied to the hydrogen and ammonia market. Water electrolysis is one of the clean methods for the production of hydrogen and is highly sustainable as there are no emissions and the feedstock used for hydrogen production is water. The growing demand for green hydrogen and green ammonia are among the major drivers of the growth of the water electrolysis market.

Impact of COVID-19

The outbreak of COVID-19 has caused several delays in manufacturing operations, which resulted in the slowdown of the water electrolysis market. Also, supply chain disruptions have negatively impacted the water electrolysis market. Currently, companies are trying to secure long-term supply contracts with other suppliers, to maintain smooth operations and interrupted supply of water electrolysis systems.

Market Segmentation:

Segmentation 1: by End-Use Application
• Transportation/Mobility Industry
• Refining Industry
• Power and Energy Storage
• Ammonia Production
• Methanol Production
• Other End-Use Applications

Segmentation 2: by Electrolyzer Type
• Alkaline Electrolyzer
• Proton Exchange Membrane (PEM) Electrolyzer
• Solid Oxide Electrolyzer Cell (SOEC)
• Anion Exchange Membrane (AEM) Electrolyzers

The alkaline electrolyzer segment is the largest segment in electrolyzer type and is expected to dominate the market during the forecast period 2022-2031.

Segmentation 3: by Region
• North America – U.S., Canada, and Mexico
• Europe – Germany, France, Netherlands, Spain, and Rest-of-Europe
• China
• U.K.
• Asia-Pacific and Japan – Japan, India, South Korea, Australia, and Rest-of-Asia-Pacific and Japan
• Rest-of-the-World – South America, Middle East and Africa

Europe dominates the water electrolysis market due to the presence of several leading companies, such as Nel ASA, thyssenkrupp AG, ITM Power PLC, and many more.

Recent Developments in the Water Electrolysis Market

• In June 2022, Bosch announced that it will invest $1.3 billion by 2025 in hydrogen. The company has already invested significantly in fuel cell technology and the company is now planning to leverage its expertise in fuel cell technology to develop electrolyzers with an investment of $600 million by 2030.
• In June 2022, De Nora Water Technologies and Saline Water Conversion Corporation (SWCC) announced that they have expanded their partnership and had signed a memorandum of understanding (MOU) for brine mining and water electrolysis research.
• In June 2022, Hyundai Engineering & Construction (Hyundai E&C) announced that the Ministry of Trade, Industry, and Energy has chosen the company for building a water electrolysis-based hydrogen production base project. The company will be responsible for building a base for producing, storing, and transporting more than one ton of hydrogen per day.
• In May 2022, Frontier Energy Ltd. announced that it has chosen alkaline water electrolysis (AWE) as the preferred electrolysis technology for the production of green hydrogen at the Bristol Springs Solar (BSS) Project south of Perth in Western Australia. The company chose AWE over other water electrolysis technologies due to its low cost and technological robustness.
• In April 2022, ThyssenKrupp nucera announced that Air Products has selected the company for the supply of its alkaline water electrolysis technology to produce green liquid hydrogen in Casa Grande, Arizona in a 10 metric ton per day facility.

Demand – Drivers and Limitations

Following are the demand drivers for the water electrolysis market:

• Increasing Use of Hydrogen in the Petroleum Refining Industry
• Rising Demand for Green Fertilizers
• Increasing Government Activities toward Low-Carbon Infrastructure
• Decreasing Cost of Renewable Energy and Water Electrolysis Technology

The market is expected to face some limitations too due to the following challenges:

• Expensive Hydrogen Technology
• High Energy Losses during the Electrolysis Process

How Can This Report Add Value to an Organization?

Product/Innovation Strategy: The product segment helps the reader understand the different types of electrolyzers available for deployment and their potential globally. Moreover, the study provides the reader with a detailed understanding of the water electrolysis market by end-use application and by electrolyzer type.

Growth/Marketing Strategy: The water electrolysis market has seen major development by key players operating in the market, such as business expansion, partnership, collaboration, and joint venture. The favored strategy for the companies has been partnerships and joint ventures, to strengthen their position in the water electrolysis market.

For instance, in November 2021, Plug Power Inc. announced a joint venture with SK E&S Co., ltd. to open a Gigafactory in South Korea and another joint venture with Fortescue Futureindustries Pty ltd. for a Gigafactory in Australia.

Competitive Strategy: Key players in the water electrolysis market analyzed and profiled in the study involve major water electrolyzer manufacturers. Moreover, a detailed competitive benchmarking of the players operating in the water electrolysis market has been done to help the reader understand how players stack against each other, presenting a clear market landscape.

Additionally, comprehensive competitive strategies such as partnerships, agreements, and collaborations will aid the reader in understanding the untapped revenue pockets in the market.

Key Market Players and Competition Synopsis

The companies that are profiled have been selected based on inputs gathered from primary experts and analyzing company coverage, product portfolio, and market penetration.

Some prominent names established in this market are:

• Asahi Kasei Corporation
• Nel ASA
• thyssenkrupp AG
• Cummins Inc.
• Toshiba Energy Systems & Solutions Corporation
• Teledyne Energy Systems Inc.
• Suzhou Green Hydrogen Energy Co., Ltd.
• Suzhou Jingli Hydrogen Production Equipment Co., Ltd.
• ITM Power PLC
• Clean Power Hydrogen Group Limited
• Plug Power Inc.
• Hitachi Zosen Corporation
• John Cockerill
• Siemens Energy AG
• McPhy Energy S.A.
• Enapter AG
• Elogen
• h2e Power Systems Pvt. Ltd.
• Ohmium
• Hystar
• Verdagy
• OxEon Energy, LLC
• EvolOH, Inc.
• Evolve Hydrogen Inc.
• ERGOSUP

The post Water Electrolysis Market – A Global and Regional Analysis: Focus on End-Use Application, Electrolyzer Type, and Region – Analysis and Forecast, 2022-2031 first appeared on CRI Report.

A substitute for water electrolysis and increase in the cost of water electrolyzes are some factors causing hindrance in the market for water electrolysis.
China Water Electrolysis Market: Regions

In terms of value and volume, China accounted for XX% of total market volume share in 2019
Various technologies are being introduced in retail stores with the use of hydrogen, such as hydrogen powered bus and hydrogen powered forklifts. Therefore the increased use of hydrogen is expected to boost the demand for water electrolysis. Strict government regulation to minimize the carbon footprint in the local area is expected to contribute further to the growth of the water electrolysis market during the forecast period. Electrolysis of water can be applied in many fields. In China, FCEVs, power plants, steel plants, electronics and photovoltaics, and industrial gases are primarily used in energy storage or fueling.
China Water Electrolysis Market: Competitive landscape

Some factors that improve the role in the market of the key players within the China Water Electrolysis Market have been the improvement in healthcare facilities among key players and availability of favorable reimbursement policies and FDA approvals in developed regions coupled with the growth in preference for minimally invasive procedures.
China Water Electrolysis Market: Key players

• Cook Medical
o Company Overview
o Business Strategy
o Key Product Offerings
o Financial Performance
o Key Performance Indicators
o Risk Analysis
o Recent Development
o Regional Presence
o SWOT Analysis
• Boston Scientific Corporation
• Conmed Corporation
• Richard Wolf GmbH
• Johnson and Johnson
• Fujifilm Holdings
• Medtronic PLC
• Olympus Corporation
• Other prominent players
The China Water Electrolysis Market report also contains analysis on:
China Water Electrolysis Market segments: –

• By Product:

o Proton exchange membrane
o alkaline water electrolysis

• By End User:
o Chemicals
o electronics and semiconductor
o power plants
o petroleum
o pharmaceuticals
o others

• China Water Electrolysis Market dynamics
• China Water Electrolysis Market size
• Supply & Demand
• Current Trends/Issues/Challenges
• Competition & Companies Involved in the Market
• Value Chain of the Market
• Market Drivers and Restraints

The post China Water Electrolysis Market Outlook 2030: Industry Insights & Opportunity Evaluation, 2019-2030 first appeared on CRI Report.