Asia-Pacific to Witness Highest Growth Rate in the Fuel Cell Market

Introduction

Impact of COVID-19

The pandemic will significantly impact the fuel cell market. International trades have come to a halt, and the pandemic had struck when economies across the globe were already grappling with an impending recession and protectionist policies adopted by various economies. However, the trade incentives, initiatives by various governments, and the bailout packages will bring the global economy back on track. Still, even that will take time, optimistically till the second quarter of 2021.

Regional Analysis

Asia-Pacific will be witnessing the highest growth rate in terms of adopting fuel cell technology. With economies such as Japan and South Korea, which already have a clear roadmap related to using hydrogen fuel for powering equipment, drives the market growth. A significant number of Chinese companies are now actively developing and investing in the production of fuel cells. In addition to this, the environment in China has been conducive towards investors who want to set up manufacturing facilities in China for various purposes. The economy has been focusing on the usage of fuel cells for public transportation.

Several projects have been ongoing in Europe, which will enable the players to extend their product portfolios. In addition to this, the development in Europe with respect to alternative energy is also projected to bring down the overall cost of production of hydrogen fuel cells across the globe. The Middle Eastern countries, such as the UAE, Saudi Arabia, and Qatar, are expected to witness healthy growth rates as these economies are now focusing their attention on creating diversified sources of income and investing in fuel cell technologies.

Competitive Players

1. AISIN CORPORATION
2. Ballard Power Systems
3. Bloom Energy
4. Ceres
5. Cummins Inc.
6. FUSION – FUEL
7. GenCell Ltd.
8. Horizon Fuel Cell Technologies
9. KYOCERA Corporation
10. Mitsubishi Power
11. Nedstack Fuel Cell Technology
12. Nuvera Fuel Cells, LLC
13. Panasonic Holdings Corporation
14. Plug Power Inc.
15. Robert Bosch GmbH
16. SOLIDPower GmbH
17. Toshiba Energy Systems and Solutions Corporation
18. Zepp Solutions B.V.
19. Others

Recent Developments

Recent Developments

• February 2024 - TECO 2030 and Yokogawa announced a partnership to deliver a 100 kW TECO fuel cell stack. As part of this collaboration, Yokogawa will conduct research and development focused on enhancing the fuel cell stack’s efficiency, technical specifications, and lifespan. This aims to optimize TECO 2030’s product and software portfolio, reinforcing its commitment to advancing fuel cell technology.
• January 2024 - Hyzon, a leading manufacturer of high-power hydrogen fuel cell (FC) technology and a global supplier of zero-emission heavy-duty FCEVs, launched 19 FCEVs across three continents. This rollout features advanced single-stack 200 kW FC technology, progressing from B- to C-sample development. 

Analyst Opinion

As per our analyst, the global market is projected to grow steadily, fueled by a combination of technological advancements, stringent environmental regulations, and a rising global demand for clean energy. Manufacturers are increasingly focused on innovating novel types with enhanced capacities to meet the growing energy needs of the industrial, commercial, and transportation sectors, thereby playing a pivotal role in market expansion.

Moreover, the push for stringent emission standards and the drive to reduce dependency on fossil fuels are significant contributors to the development. Prominent manufacturers are making substantial investments in research and development to enhance their efficiency and durability, making them more viable for commercial applications.

The versatility of FCs, which can utilize fuels such as hydrogen, natural gas, and biogas, further broadens their application scope across various sectors. Additionally, government subsidies and incentive programs are playing a crucial role in promoting the development and adoption of fuel cell technologies worldwide, creating a favorable environment for sustained market growth.

Segmentation

1. By Type
   1. Proton Exchange Membrane Fuel Cell (PEMFC)
   2. Solid Oxide Fuel Cell (SOFC)
   3. Molten Carbonate Fuel Cell (MCFC)
   4. Direct Methanol Ful Cell (DMFC)
   5. Alkaline Fuel Cell (AFC)
   6. Others
2. By Fuel Type
   1. Hydrogen
   2. Methanol
   3. Ammonia
   4. Hydrocarbon
   5. Others
3. By End-User
   1. Aerospace
   2. Energy & Power
   3. Marine
   4. Residential
   5. Transportation
   6. Others