The Italy Hydrogen market demand stood at roughly 1200 thousand tonnes in 2023 and is expected to grow at a CAGR of 3.5% during the forecast period until 2034.
Hydrogen holds a vital role in various sectors such as the ammonia industry, notably in the Haber-Bosch process that merges hydrogen and nitrogen to generate ammonia, a critical component in fertilizers. Additionally, hydrogen is essential in methanol refining, a key raw material for diverse chemical products. The significance of hydrogen is further highlighted in oil refining processes, where it facilitates the transformation of crude oil into practical fuels. During refining, crude oil undergoes a hydrogen-infused mixture, contributing to the removal of sulphur until it reaches acceptable levels for the desired fuel. Hydrogen forms bonds with sulphur, resulting in hydrogen Sulfide, which can be extracted in subsequent refining stages. Presently, hydrogen finds applications in industrial processes, serves as rocket fuel, and powers vehicles through fuel cells for electricity generation.
The factors influencing the Hydrogen market in Italy are predominantly influenced by various end-use sectors. Chiefly, hydrogen is utilized in refineries to reduce the sulphur content of diesel, and this particular application currently commands the largest share in the hydrogen market. Italy is positioned for a surge in hydrogen adoption, primarily due to its alignment with the European Hydrogen Backbone initiative. Italy's extensive infrastructure complements this pan-European vision, envisioning the development of a hydrogen transmission network across Europe. The European Hydrogen Backbone aims to expand from 6,800 km in 2030 to 23,000 km in 2040, involving both retrofitted and repurposed gas infrastructure (75%) and the integration of new pipeline stretches (25%). Italy's infrastructural abundance aligns seamlessly with this plan, offering a robust foundation for the growth of hydrogen transmission. This initiative not only enhances Italy's hydrogen connectivity within Europe but also positions the country as an active participant in the broader European hydrogen ecosystem. The collaborative efforts under the European Hydrogen Backbone contribute to Italy's readiness to capitalize on hydrogen's potential applications, spanning industries, transportation, and energy sectors. The surge in hydrogen demand is further driven by Italy's commitment to sustainable practices, as hydrogen serves as a key player in decarbonizing various sectors, including industry and transport. In the transportation sector, hydrogen is likely to find initial applications in public transport, particularly for long-distance routes, commercial freight fleets, and non-electrified sections of the rail network. Regional or local transport companies are expected to operate hydrogen refueling stations based on a thorough analysis of fleet demand and varying requirements for both light and heavy vehicles. The development of hydrogen fuel cell trains is a potential avenue for non-electrified commercial rail routes, with around 4,763km of Italy's main network still relying on diesel technology. Owing to these reasons, Italy Hydrogen market is likely to reach roughly 1750 thousand tonnes in 2034.
Based on the end-user industry, the Italy Hydrogen market is segmented into Refining, Ammonia, Chemical, Fuel, and Others. As of 2023, the Refining Industry dominates hydrogen consumption, holding a significant market share of 49%. Moreover, Italy's hydrogen market exhibits notable penetration in the ammonia industry, substantiating a considerable market share. Beyond its pivotal role in ammonia production, hydrogen assumes a critical function in methanol production. Methanol, acting as a primary chemical building block, substantially contributes to the synthesis of diverse chemical compounds, fuels, and additives. This dual engagement in the ammonia and methanol sectors underscores hydrogen's multifaceted significance within Italy's industrial landscape, aligning with the nation's strategic positioning in the evolving hydrogen market.
Major players in the Italy Hydrogen market are Air Liquide, Air Products, Ansaldo Energia, Rivoira S.p.A., Sapio, and Linde plc. Other players in the global Hydrogen market are Phillips 66 Company, Valero, Cenex Harvest States Coop, Wrb Refining Lp, Delaware City Refining Co Llc, Hyundai-Wison, Flint Hills Resources Lp, Deokyang, Sinopec, Bp West Coast Products Llc, Martinez Refining Co Llc, and Others.
Years considered for this report:
Historical Period: 2015- 2022
Base Year: 2023
Estimated Year: 2024
Forecast Period: 2025-2034
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Objective of the Study:
• To assess the demand-supply scenario of Italy Hydrogen which covers production, demand and supply of Hydrogen market in Italy.
• To analyse and forecast the market size of Italy Hydrogen
• To classify and forecast Italy Hydrogen market based on end-use and regional distribution.
• To examine competitive developments such as expansions, mergers & acquisitions, etc., of Hydrogen market in Italy.
To extract data for Italy Hydrogen market, primary research surveys were conducted with Hydrogen manufacturers, suppliers, distributors, wholesalers and Traders. While interviewing, the respondents were also inquired about their competitors. Through this technique, ChemAnalyst was able to include manufacturers that could not be identified due to the limitations of secondary research. Moreover, ChemAnalyst analyzed various segments and projected a positive outlook for Italy Hydrogen market over the coming years.
ChemAnalyst calculated Hydrogen demand across the Italy region by analysing the volume of Hydrogen consumed by the end-user industries and the forecast is calculated based on the growth rate of end-use industries. ChemAnalyst sourced these values from industry experts and company representatives and externally validated them by analyzing the historical sales data of respective manufacturers to determine the overall market size. Various secondary sources such as company websites, association reports, annual reports, etc., were also studied by ChemAnalyst.
Key Target Audience:
• Hydrogen manufacturers and other stakeholders
• Organizations, forums and alliances related to Hydrogen distribution
• Government bodies such as regulating authorities and policy makers
• Market research organizations and consulting companies
The study is useful in providing answers to several critical questions that are important for industry stakeholders such as Hydrogen manufacturers, customers and policy makers. The study would also help them to target the growing segments over the coming years, thereby aiding the stakeholders in taking investment decisions and facilitating their expansion.
Report Scope:
In this report, Italy Hydrogen market has been segmented into following categories, in addition to the industry trends which have also been detailed below:
Attribute
Details
Market size Volume in 2023
1200 thousand tonnes
Market size Volume by 2034
1750 thousand tonnes
Growth Rate
CAGR of 3.5% from 2024 to 2034
Base year
2023
Estimated Year
2024
Historical Data
2015 – 2022
Forecast period
2025 – 2034
Quantitative units
Demand in thousand tonnes and CAGR from 2024 to 2034
Report coverage
Industry Market Size, Capacity by Company, Capacity by Location, Operating Efficiency, Production by Company, Demand by End- Use, Demand by Region, Demand by Sales Channel, Demand-Supply Gap, Foreign Trade, Company Share, Manufacturing Process.
Segments covered
By End-Use: (Refining, Ammonia, Chemical, Fuel, and Others)
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Member - Board of Directors
Osaka Gas Co. Ltd
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What was the size of Italy Hydrogen market in terms of volume in 2023?
Ans:
The size of Italy Hydrogen market has grown significantly in the historic period and reached approximately 1200 thousand tonnes in 2023.
Q2.
Which industry is leading as the leading consumer of Hydrogen?
Ans:
Refining industry is the leading consumer of Hydrogen.
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