Hydrogen generation market seen topping $241B by 2030

The global hydrogen generation market is projected to surpass $241 billion by 2030, with Asia-Pacific and China leading growth. On-site systems will account for most of the market as governments, industry and clean-energy investments push hydrogen deeper into decarbonization plans.

Why it matters: - Hydrogen generation is moving from a niche industrial input to a central clean-energy market. - The forecasted scale suggests hydrogen will play a larger role in decarbonizing refining, steel, chemicals, transportation and power. - On-site production is set to dominate, signaling a shift toward local supply, lower transport costs and more resilient industrial operations.

What happened: - The Business Research Company forecast the hydrogen generation market will exceed $241 billion by 2030. - The market is projected to grow at an 8% compound annual growth rate through 2030. - The report says Asia-Pacific will be the largest regional market in 2030, reaching $109 billion. - China is expected to be the largest country market, at $58 billion by 2030. - On-site hydrogen generation is projected to account for 88% of the market in 2030, or $212 billion.

The details: - The hydrogen generation market was valued at nearly 3% of the broader chemicals industry, which is expected to reach $7,007 billion by 2030. - Asia-Pacific is projected to grow from $72 billion in 2025 to $109 billion in 2030, a 9% CAGR. - China is forecast to rise from $40 billion in 2025 to $58 billion in 2030, also at an 8% CAGR. - The report links Asia-Pacific growth to government investment, clean and green hydrogen policy, renewable power expansion and industrial decarbonization. - On-site generation is favored because it reduces transportation expenses, supports uninterrupted industrial supply and uses modular technologies. - The market is segmented by type into on-site and portable systems. - The market is also segmented by source into blue, gray and green hydrogen. - By generation and delivery mode, the market includes captive and merchant segments. - Technology categories include steam methane reforming, coal gasification, electrolysis and partial oxidation. - Applications include methanol and ammonia production, petroleum refining, transportation, power generation and other industrial uses. - Government backing, including hydrogen roadmaps, tax incentives, subsidies and carbon reduction programs, is projected to add about 2.4% annual growth. - Rising industrial demand for low-carbon hydrogen is expected to add about 2.1% annual growth. - Electrolysis improvements and renewable power integration are forecast to contribute about 1.8% annual growth. - On-site and portable hydrogen generation together are expected to add more than $76 billion in market value between 2025 and 2030. - On-site production alone is projected to grow by $66 billion, while portable systems are expected to add $10 billion.

Between the lines: - The report points to a market that is still fragmented, but consolidating around a few major energy and industrial gas players. - The top 10 companies accounted for 21% of revenue in 2025, showing room for competition even among established firms. - Entry barriers remain high because of technology needs, safety rules, infrastructure requirements and reliability demands. - Shell plc held the largest market share in 2025 at 3%, tied with Air Liquide S.A. - Linde plc, Air Products Inc., ExxonMobil Corp., Saudi Aramco, TotalEnergies SE, BP Plc., Chevron Corp. and ENGIE S.A. each held 2%. - The report lists Shell plc, Air Liquide S.A., Linde plc, Air Products Inc., ExxonMobil Corp., Saudi Arabian Oil Company (Saudi Aramco), TotalEnergies SE, BP Plc., Chevron Corp. and ENGIE S.A. among the leading companies. - The report also names Sinopec Corp., Nippon Sanso Holdings Corporation, China National Petroleum Corporation (PetroChina), Yara International ASA, ACWA Power Co., Repsol S.A., Taiyo Nippon Sanso Corporation, Adani New Industries Limited, Uniper SE, Equinor ASA, Messer SE & Co. KGaA, Iwatani Corporation, BayoTech Inc. and Plug Power Inc. as notable competitors. - Green hydrogen and transport infrastructure are emerging as a major theme across the sector. - In May 2024, DORIS, ROSEN Group and SPIECAPAG formed the Pipeline Transition Alliance to repurpose natural gas pipelines for hydrogen transport. - The collaboration reflects a broader push to convert existing energy infrastructure instead of building entirely new networks from scratch.

What's next: - The report expects companies to keep expanding green hydrogen production capacity and renewable integration. - Further investment in hydrogen infrastructure is likely as producers seek to improve supply chain access and reliability. - Advanced electrolysis technologies are expected to remain a key battleground for efficiency and scalability. - The market may see more strategic partnerships, capacity expansions and technology upgrades as demand for clean hydrogen increases. - The Business Research Company said the 2026 report package includes market attractiveness scoring, TAM analysis, company scoring matrices, forecasting dashboards, hotspot infographics and trend analysis.

The bottom line: - Hydrogen generation is moving into a much larger commercial phase, with on-site production, Asia-Pacific growth and green hydrogen infrastructure driving the market's next leg up.