The electrolyzer market is witnessing a surge in companies venturing into the development of electrolyzer stacks and production facilities as the demand for green hydrogen continues to rise. These companies have various objectives, including supplying core electrolyzer stack technology and constructing large-scale green H2 production facilities.
There are four primary electrolyzer technologies for green hydrogen production: alkaline water (AWE or AEL), proton exchange membrane (PEMEL or PEMWE), anion exchange membrane (AEMEL or AEMWE), and solid oxide electrolyzers (SOEC or SOEL). Established water electrolysis companies based in Europe, North America, and China dominate the market, supplying alkaline and PEM electrolyzer products. Some examples include thyssenkrupp nucera, Plug Power, and Peric Hydrogen Technologies.
Large corporations are also entering the hydrogen industry, either through investments or developing their own products. Companies such as Toyota and LONGi Hydrogen from China are focusing on hydrogen technologies as a key area for future business and product development strategies.
Small and medium enterprises (SMEs) and start-ups are also active in the electrolyzer market. Some SMEs have not scaled up to the level of established players, while start-ups are developing new or improved electrolyzer technologies. These include companies like ErreDue, Next Hydrogen, Hysata, Versogen, and Genvia.
According to IDTechEx’s market forecast, the water electrolyzer market value is expected to exceed $70 billion by 2034, with a compound annual growth rate (CAGR) of 40.7% from 2024 to 2034. This growth will be driven by national low-carbon hydrogen targets, technological developments, and electrolyzer manufacturing capacities.
The electrolyzer market operates within the hydrogen industry, which is experiencing significant growth due to the increasing demand for green hydrogen. Green hydrogen is produced through electrolysis, a process that uses electricity to split water into hydrogen and oxygen.
There are four primary electrolyzer technologies that are used for green hydrogen production. These include alkaline water electrolyzers (AWE or AEL), proton exchange membrane electrolyzers (PEMEL or PEMWE), anion exchange membrane electrolyzers (AEMEL or AEMWE), and solid oxide electrolyzers (SOEC or SOEL). Established water electrolysis companies based in Europe, North America, and China dominate the market, supplying alkaline and PEM electrolyzer products. Some examples of these companies are thyssenkrupp nucera, Plug Power, and Peric Hydrogen Technologies.
Large corporations are also entering the hydrogen industry, either through investments or developing their own hydrogen-related products. Companies like Toyota and LONGi Hydrogen from China have recognized hydrogen technologies as a key area for future business and product development strategies.
In addition to established companies and large corporations, small and medium enterprises (SMEs) and start-ups are actively participating in the electrolyzer market. While some SMEs have not yet reached the scale of established players, they contribute with their innovative technologies. Start-ups are focused on developing new or improved electrolyzer technologies. Some notable companies in this category include ErreDue, Next Hydrogen, Hysata, Versogen, and Genvia.
According to IDTechEx’s market forecast, the water electrolyzer market is projected to exceed $70 billion by 2034, with a compound annual growth rate (CAGR) of 40.7% from 2024 to 2034. This growth will be driven by several factors including national low-carbon hydrogen targets, ongoing technological advancements, and the scaling up of electrolyzer manufacturing capacities.
For more information about the electrolyzer market and the hydrogen industry, you can visit the following link: IDTechEx.