Global Polymer Electrolyte Fuel Cells Market is segmented By Type (Proton Exchange Membrane Fuel Cells (PEMFC), Direct Methanol Fuel Cells (DMFC)), By Power Output (Up to 1 kW, 1 kW to 10 kW, Above 10 kW), By Components (Fuel Cell Stacks, Balance of Plant (BoP) Components, Electrolyte Materials, Catalysts and Electrodes), By Distribution Channel (Original Equipment Manufacturers (OEMs), Distributors and Resellers, Online Retailers), By Application (Transportation, Portable Power, Stationary Power Generation, Auxiliary Power Units (APUs)), By End-User (Automotive, Electronics, Power Generation, Residential and Commercial Buildings, Military and Defense, Others), and By Region (North America, South America, Europe, Asia Pacific, Middle East, and Africa) – Share, Size, Outlook, and Opportunity Analysis, 2023-2030
Polymer Electrolyte Fuel Cells Market Size
Global Polymer Electrolyte Fuel Cells Market reached Value of US$ 3.0 billion in 2022 and is expected to reach US$ 11.9 billion by 2030, growing with a CAGR of 18.8% during the forecast period 2023-2030.
Fuel cell electric vehicles (FCEVs) are being developed, the automotive industry provides PEFCs an important prospect for expansion. The market for PEFCs is being fueled by investments being made in the development of FCEVs by governments and manufacturers to lessen their reliance on fossil fuels and lower their environmental effects.
Asia-Pacific is among the growing regions in the global polymer electrolyte fuel cells market covering more than 1/3rd of the market owing to the large expenditures in fuel cell technology coming from countries such as Japan and South Korea, Asia Pacific accounts for the majority of the market for polymer electrolyte fuel cells. Reduced nuclear energy use will improve the availability of other energy sources, according to plans from Japan and South Korea.
Polymer Electrolyte Fuel Cells Market Scope
| Metrics | Details |
| CAGR | 18.8% |
| Size Available for Years | 2021-2030 |
| Forecast Period | 2023-2030 |
| Data Availability | Value (US$) |
| Segments Covered | Type, Power Output, Components, Distribution Channel, Application, End-User, and Region |
| Regions Covered | North America, Europe, Asia-Pacific, South America and Middle East & Africa |
| Fastest Growing Region | Asia-Pacific |
| Report Insights Covered | Competitive Landscape Analysis, Company Profile Analysis, Market Size, Share, Growth, Demand, Recent Developments, Mergers and Acquisitions, New Equipment Type Launches, Growth Strategies, Revenue Analysis, Porter’s Analysis, Pricing Analysis, Regulatory Analysis, Supply-Chain Analysis and Other key Insights. |
To Know More: Download Sample
Polymer Electrolyte Fuel Cells Market Dynamics
Increasing Demand For Clean Energy
Hydrogen produced by renewable energy sources including wind, solar, and hydroelectric power may be effectively used by PEFCs. When surplus electricity is electrolyzed into hydrogen and then used in PEFCs for on-demand power production, the intermittent nature of renewable energy may be efficiently handled. This fusion of renewable energy and PEFCs promotes the development of the market while assisting in the development of a sustainable energy system.
According to the Center for Climate and Energy Solutions, the U.S. fastest-growing energy source is renewable energy, which will be increasing by 42% between 2010 and 2020 and by 90 percent between 2000 and 2020. The majority of the renewable energy used to generate utility-scale electricity in the U.S. in 2020 came from hydropower (7.3%) and wind power (8.4%). The fastest-growing source of power in the U.S. is solar production, which accounted up 3.3 percent of all generation in 2020. In 2020, renewable energy sources generated 29% of the world's electricity, with hydropower accounting for the majority (16.8%).
Growing Technological Innovation And Quick Acceptance
The market is growing as a result of ongoing improvements in PEFC technology. The efficiency, longevity, and cost-effectiveness of PEFCs are the main goals of innovations. This covers improvements in catalyst and membrane materials as well as in electrode design and system integration. As a result of technological advancements, PEFCs are more competitive and appealing to a variety of sectors and applications thanks to their increased power output, longer lifespan, enhanced reliability, and lower prices.
In addition to government regulations, customer preferences, and environmental concerns, the market for clean and sustainable energy solutions is growing quickly. PEFCs are in a good position to profit from these chances for early adoption. They have benefits including zero emissions, excellent energy efficiency, quick startup, and silent operation. PEFCs can easily become accepted in a variety of industries, including automotive, portable power, and stationary power applications, as the demand for clean energy solutions increases.
The Lack Of Hydrogen Refueling Stations
The lack of hydrogen refueling stations creates a barrier for customers who might be interested in buying portable power equipment or cars made from PEFC. Concerns concerning comfort, range anxiety, and the usefulness of employing PEFCs arise from the sparse availability of refueling stations. This may discourage purchasers and reduce market demand.
According to the Royal Society of Chemistry, there are only a few hundred hydrogen refueling stations (HRSs) available worldwide, which presents an additional barrier to the widespread use of fuel-cell electric vehicles Japan has set a goal of constructing 320 stations by 2025 and 900 by 2030 to aid in overcoming this difficulty. Getting to 1500 stations by 2025 is on Europe's road map. China reportedly has over 40 HRSs and has spent $17 billion on infrastructure for hydrogen.
Polymer Electrolyte Fuel Cells Market Segmentation Analysis
The global polymer electrolyte fuel cells market is segmented based on type, power output, components, distribution channel, application, end-user and region.
Rising Demand For Transportation Application
The transportation segment holds a major share of the global polymer electrolyte fuel cells market and the need for alternative power systems, including PEFCs, is being driven by the rising popularity of electric vehicles (EVs). When compared to battery-electric vehicles (BEVs), PEFCs offer a longer driving range and faster refueling when utilized as range extenders or in hybrid electric vehicle (HEV) applications. Long driving ranges and quick refueling times provided by PEFCs help overcome some of the drawbacks of battery technology and promote the widespread use of electric vehicles.
Furthermore, the operation of hydrogen fuel cell vehicles (FCVs), which produce power from hydrogen using PEFCs, is emission-free. Customers that seek long-range and quick refueling capabilities may find FCVs to be an alternative because they offer a similar driving range and fueling ease to traditional internal combustion engine cars. The PEFC market is expanding in part because more people are becoming interested in FCVs as a sustainable transportation option.
Polymer Electrolyte Fuel Cells Market Geographical Share
Asia-Pacific Growing Investments in Automotive Industry
The polymer electrolyte fuel cell market accounts for the largest portion of the Asia Pacific region, the hydrogen fuel cell industry in China has been considered to have the highest potential for PEFC owing to favorable national and provincial government subsidies and incentive programs from local authorities, primarily to encourage the adoption of hydrogen vehicles to reduce pollution.
Furthermore, China has multiple domestic businesses that produce PEFC in addition to the potentially large market. Since both domestic supply and demand exist in the country, the market is growing as a result. Additionally, Chinese businesses plan to service both local and international markets by increasing their electrolyzer production capacity to 1.5–2.5 GW in 2022. In addition to China, the meantime expects to produce 100,000 to 200,000 tonnes of renewable hydrogen per year and have a fleet of 50,000 vehicles powered by hydrogen by 2025. The third-biggest market for fuel-cell electric vehicles (FCEVs) and the largest market for fuel-cell trucks and buses, respectively, are both in China.
Polymer Electrolyte Fuel Cells Market Companies
The major global players include Ballard Power Systems, Plug Power Inc., SFC Energy AG, Hydrogenics Corporation, Nuvera Fuel Cells, Doosan Fuel Cell America, ElringKlinger AG, Intelligent Energy, Horizon Fuel Cell Technologies, and Toshiba Energy Systems & Solutions Corporation.
COVID-19 Impact On Polymer Electrolyte Fuel Cells Market
The market for polymer electrolyte fuel cells was negatively impacted by the COVID-19 pandemic. Due to the closure of manufacturing facilities during lockdowns, the COVID-19 epidemic had an impact on output. The production facilities of many original equipment manufacturers (OEMs) were entirely shut down, and raw material movement was suspended, due to the strict social distance restrictions and national lockdowns.
The demand for automobiles declined significantly as personal movement decreased. Additionally, the purchasing power of the end consumer significantly declined as a result of pay freezes or job losses. Because of the COVID-19 pandemic-related uncertainties, the auto market in Ireland shrank by 18%. The demand for proton exchange membrane fuel cells was significantly influenced by the severe negative effects on the automotive industry.
Key Developments
- On April 12, 2023, Toshiba Corporation and its energy business company, Toshiba Energy Systems & Solutions Corporation (ESS), initiated a Virtual Power Purchase Agreement, (VPPA) for the Smart Community Center, Toshiba Group’s business headquarters in Kawasaki, Japan, that will, alongside purchases of feed-in tariff (FIT) non-fossil certificates, ensure that the Center’s energy needs are 100% covered by electricity from renewable sources.
- On August 24, 2022, Toyota Motor North America (Toyota) collaborates with the U.S. Department of Energy's (DOE's) National Renewable Energy Laboratory (NREL) to build, install and evaluate a 1-megawatt (MW) proton exchange membrane (PEM) fuel cell power generation system at NREL's Flatirons Campus in Arvada, Colorado.
- On March 18, 2021, Ballard Power System, fuel cell electric vehicles powered by Ballard Systems traveled more than 75 million km. The fuel-cell electric vehicles used in China account for almost 80% of this 75 million-kilometer milestone. Proton exchange membrane (PEM) fuel cell products and technology are available from Ballard Power System for commercial heavy and medium-duty applications.
Why Purchase the Report?
- To visualize the global polymer electrolyte fuel cells market segmentation based on type, power output, components, distribution channel, application, end-user and region, as well as understand key commercial assets and players.
- Identify commercial opportunities by analyzing trends and co-development.
- Excel data sheet with numerous data points of polymer electrolyte fuel cells market-level with all segments.
- PDF report consists of a comprehensive analysis after exhaustive qualitative interviews and an in-depth study.
- Product mapping available as Excel consisting of key products of all the major players.
The global polymer electrolyte fuel cells market report would provide approximately 85 tables, 91 figures and 181 Pages.
