Green Hydrogen Market Projected to Reach USD 74.81 Billion by 2032

Market to expand at 60.0% CAGR as renewable energy integration, policy support and demand from mobility and energy-intensive industries drive growth

The global green hydrogen market is projected to increase from USD 2.79 billion in 2025 to USD 74.81 billion by 2032, registering a compound annual growth rate (CAGR) of 60.0% during the forecast period, according to a MarketsandMarkets report.

The report, titled “Green Hydrogen Market By Technology (Alkaline, PEM), Renewable Source (Wind, Solar), End-use Industry (Mobility, Power, Chemical, Industrial, Grid Injection), and Region (North America, Europe, APAC, MEA, and Latin America) – Global Forecast to 2032,” examines the market across technologies, renewable sources, end-use industries and major regions.

Green Hydrogen Demand Supported by Decarbonisation Efforts

The green hydrogen market is witnessing rapid expansion amid global efforts to reduce carbon emissions, along with developments in electrolysis technologies and renewable energy. Government policies and investments are also supporting market growth.

Green hydrogen's application across multiple sectors is contributing to its adoption. Demand is increasing from fuel cell electric vehicles (FCEVs) as well as high-energy-intensive industries, including steel and ammonia production.

The market is also being supported by the scalability and versatility of green hydrogen as countries and industries pursue lower-carbon energy solutions.

North America Expected to Record Strong Market Growth

North America is projected to be the fastest-growing region in the green hydrogen market in terms of both value and volume during the forecast period. Growth in the region is being supported by policy measures, project development and investment across the US and Canada.

In the US, the Inflation Reduction Act (IRA) is supporting clean hydrogen production through incentives, including the 45V tax credit. The US Department of Energy's USD 7 billion investment in Regional Clean Hydrogen Hubs is also supporting the development of integrated production, storage and end-use ecosystems.

Market Size Estimation

The market study uses both top-down and bottom-up approaches to estimate and validate the overall green hydrogen market size. These methodologies were also applied to estimate various dependent market subsegments.

The research methodology included extensive primary and secondary research to identify key market participants and assess the green hydrogen value chain and market size in terms of value.

Percentage shares, splits and market breakdowns were collected through secondary sources and verified through primary research. The study also considered parameters affecting the market, which were reviewed, verified and analysed to develop the final quantitative and qualitative findings.

Reports, reviews and newsletters from leading market participants were examined, along with interviews with key industry leaders, including CEOs, directors and marketing executives, to gather market perspectives.