Hydrogen Vehicles Market, Share & Trends Analysis Report, By Technology (PAFC (Phosphoric Acid Fuel Cell), DMFC (Direct Methanol Fuel Cell), and PEMFC (Proton Exchange Membrane Fuel Cell)), By Fuel Capacity, By Vehicle Category, and By Region, and Segment Forecasts, 2023-2031

The Hydrogen Vehicles Market Size is valued at USD 57.1 Bn in 2023 and is predicted to reach USD 427.3 Bn by the year 2031 at a 29.4% CAGR during the forecast period for 2024-2031.

The world of science is moving toward environmentally friendly energy sources due to the harmful effects of emissions from conventional fuel cars. Among the various options, hydrogen is an ideal renewable energy source for powering vehicles. As an energy carrier, hydrogen can transport enormous amounts of energy, similar to electricity. Fuel cell electric vehicles (FCEVs) use this electricity to power an electric motor, much like all-electric vehicles. However, unlike other electric cars that rely solely on batteries, FCEVs generate electricity using hydrogen-powered fuel cells. This process involves a chemical reaction between hydrogen and oxygen, producing electricity and emitting only water vapor as a byproduct. This makes FCEVs a clean and efficient alternative for sustainable transportation.

For instance, emerging countries like India (2023) have introduced national hydrogen policies that focus on the development and infrastructure of hydrogen, including vehicles. These policies set the stage for future regulations. The Mission will enable India to take the lead in green hydrogen technology and market share, significantly reduce its dependency on imports of fossil fuels, and decarbonize the economy. Additionally, the European Parliament approved A resolution highlighting the potential of hydrogen for energy-intensive industry, transportation, and seasonal energy storage in July 2020.

Competitive Landscape

Some of the Major Key Players in the Hydrogen Vehicles Market are

• AB Volvo
• Audi AG
• Ballard Power System
• BMW AG
• DAF
• Daimler AG
• FAW
• FuelCell Energy Inc.
• General Motors
• GM Hydrogenics
• Hinduja Group
• Honda Motor Company Ltd.
• Hydrogen Vehicle Systems Ltd (HVS)
• Hyperion Motors
• Hyundai Motor Company
• Hyzon Motors Inc.
• MAN SE
• Mercedes-Benz
• Nikola Motors
• Riversimple
• SAIC Motors
• Tevva Motors Limited.
• Toyota Motor Corporation
• Yutong
• Other Prominent Players

Market Segmentation:

The market is segmented based on the type of technology, type of fuel capacity, and vehicle capacity. Based on the technology, they segmented into PAFC (Phosphoric Acid Fuel Cells), DMFC (Direct Methanol Fuel Cells), and PEMFC (Proton Exchange Membrane Fuel Cells). By fuel capacity, the segment is categorized into up to 75 kW, 76 to 100 kW, 101 to 150 kW, and above 150 kW. By Vehicle Category, the segmented into, passenger, commercial.

The PEMFC (Proton Exchange Membrane Fuel Cells) Segment is Expected to have the highest growth rate during the forecast period

Based on the technology, the market is categorized into PAFC (Phosphoric Acid Fuel Cells), DMFC (Direct Methanol Fuel Cells), and PEMFC (Proton Exchange Membrane Fuel Cells). Among these, the PEMFC (Proton Exchange Membrane Fuel Cells) Segment is Expected to have the highest growth rate during the forecast period. PEMFC technology is more mature and has been the focus of significant research and development, leading to improved durability, cost reduction, and overall performance. These advancements make PEMFCs the preferred choice for hydrogen vehicles. Additionally, the existing and planned hydrogen refueling infrastructure is primarily designed to support PEMFC-based vehicles, further driving the adoption of PEMFCs in the hydrogen vehicle market.

The Commercial Vehicle Segment Dominate The Market

Based on the vehicle category the market is segmented into passenger, and commercial. Among these, the commercial vehicle segment dominates the market. Environmental concerns, infrastructure development, technology developments, carmaker commitment, government assistance, pilot programs, demonstrations, and industry stakeholder collaborations contribute to the increasing acceptance of hydrogen-powered passenger automobiles. Hydrogen-powered passenger cars are driving the market's growth as a sustainable and effective form of transportation.

North America Have the Largest Market Share During Forecast Period

North America accounts for the largest share due to many leading companies and research institutions focused on advancing hydrogen fuel cell technology. Continuous R&D efforts have led to improvements in fuel cell efficiency, durability, and cost-effectiveness. North America has a growing awareness and demand for environmentally friendly transportation options. Many North American corporations and public sector entities are adopting hydrogen vehicles as part of their sustainability initiatives. This includes using hydrogen-powered buses, trucks, and fleet vehicles, which helps drive market growth.

Recent Developments:

• In April 2024, Ballard Power announced that its customer Wrightbus (https://wrightbus.com/), a UK-based bus manufacturer deploying hydrogen-powered buses in the UK and Europe, has placed multiple purchase orders totaling seventy FCmove®-HD hydrogen fuel cell engines. Ballard anticipates that the buses will go into operation in 2025 and that the fuel cell engines will be delivered in 2024. In Germany and the UK, hydrogen fuel cell motors will propel single- and double-decker buses.

• In May 2024, Toyota Motor North America (TMNA) declared that it would be calling its new North American Hydrogen Headquarters (H2HQ) the TMNA R&D California office. The new H2HQ's office space was recently remodeled for its teams working on everything from research and development to commercialization planning and sales of hydrogen-related products and technologies. Plans call for adding significant elements to the H2HQ facility, including a sustainable customer education center and a flexible microgrid.

Hydrogen Vehicles Market Report Scope