PUBLISHER: MarketsandMarkets | PRODUCT CODE: 1883073
PUBLISHER: MarketsandMarkets | PRODUCT CODE: 1883073
The electrolyzers market is projected to reach USD 14.48 billion by 2031 from USD 2.08 billion in 2025, registering a CAGR of 38.2%. Market growth is driven by the increasing deployment of renewable energy systems, industrial decarbonization programs, and clean mobility initiatives, all of which rely on electrolyzers for sustainable hydrogen production.
| Scope of the Report | |
|---|---|
| Years Considered for the Study | 2020-2031 |
| Base Year | 2024 |
| Forecast Period | 2025-2031 |
| Units Considered | Value (USD Million) and Volume (kW) |
| Segments | By Power Rating, Technology, Component, and Application. |
| Regions covered | Europe, Asia Pacific, North America, and RoW |
Electrolyzers play a crucial role in enabling the supply of green hydrogen to industries such as chemicals, steel, refineries, and power generation, helping reduce emissions and ensure operational continuity across various applications. Government initiatives that promote renewable energy integration, net-zero targets, and energy security are accelerating the adoption of electrolyzers across industrial, utilities, mobility, and commercial sectors.

"<500 KW Segment, by Power Rating, to Record Highest CAGR from 2025 to 2031"
Electrolyzers with a power rating of <500 kW are expected to witness the highest CAGR due to their flexibility and suitability for small-scale and decentralized hydrogen production. These compact systems are widely used in hydrogen refueling stations, small industrial operations, and residential or community energy storage. Their lower upfront cost, ease of installation, and ability to support localized green hydrogen production make them highly attractive, especially in regions without access to large-scale hydrogen infrastructure. Rising demand for on-site hydrogen generation in renewable energy projects and mobility applications is further accelerating growth in this segment.
"Anion Exchange Membrane (AEM) Electrolyzers, by Technology, to Record Highest CAGR from 2025 to 2031"
AEM electrolyzers are expected to record the highest CAGR during the forecast period because they offer cost-effective hydrogen production without relying on expensive precious metal catalysts, such as platinum or iridium. AEM systems combine the key advantages of both alkaline and PEM technologies-good efficiency and compact design-while keeping costs low. Their ability to integrate easily with renewable energy for on-site hydrogen generation makes them increasingly attractive for industries and governments seeking affordable and sustainable green hydrogen solutions.
"Asia Pacific to account for largest share of electrolyzers market in 2031"
The Asia Pacific region is poised to emerge as a significant growth engine for the global electrolyzers market, driven by the expansion of renewable energy capacity, national hydrogen roadmaps, and increasing investment in domestic manufacturing. Countries such as China, India, Japan, South Korea, and Australia are developing large, integrated hydrogen hubs that combine electrolysis, ammonia synthesis, and export-oriented infrastructure. The increasing focus on energy security, industrial competitiveness, and the adoption of clean mobility, including hydrogen buses, trucks, and port equipment, is driving project development. Strong public-private partnerships, incentives for local production, and rapid cost declines in solar and wind technologies continue to accelerate the deployment of electrolyzers across the region.
By Company Type: Tier 1 - 60%, Tier 2 - 25%, and Tier 3 - 15%
By Designation: C-level Executives - 33%, Directors - 24%, and Others - 43%
By Region: North America - 25%, Europe - 25%, Asia Pacific - 30%, and Rest of the World - 20%
Note: The tiers of the companies are defined based on their total revenues as of 2024. Tier 1: >USD 1 billion, Tier 2: USD 500 million to USD 1 billion, and Tier 3: <USD 500 million. Others include sales managers, engineers, and regional managers.
thyssenkrupp nucera (Germany), Siemens Energy (Germany), John Cockerill, Nel (Norway), Cummins Inc. (US), Plug Power Inc. (US), LONGi (China), Asahi Kasei Corporation (Japan), Envision Group (China), ITM Power plc (UK), Sunfire GmbH (Germany), Enapter (Italy), Bloom Energy (US), SUNGROW (China), Next Hydrogen (Canada), Shandong AUYAN New Energy Technology Co., Ltd. (China), Quest One GmbH (Germany), TOPSOE (Denmark), Erre Due s.p.a. (Italy), Hygreen Energy (China), iGas energy GmbH (Germany), Cipher Neutron (Canada), HydrogenPro (Norway), Ohmium (US), and PERIC Hydrogen Technologies Co., Ltd. (China) are some major players in the electrolyzers market. The study includes an in-depth competitive analysis of these key players in the electrolyzers market, with their company profiles, recent developments, and key market strategies.
The report defines, describes, and forecasts the electrolyzers market by power rating (<500 kW, 500-2,000 kW, above 2,000 kW), technology (alkaline electrolyzer, proton exchange membrane, solid oxide electrolyzer, anion exchange membrane), application (energy, mobility, industrial, grid injection), component (stack, balance of plant), and region (North America, Europe, Asia Pacific, Rest of the World). The report's scope encompasses detailed information regarding the major factors, including drivers, restraints, challenges, and opportunities, which influence the growth of the electrolyzers market. A thorough analysis of the key industry players has provided insights into their business overview, solutions, and services, as well as key strategies such as contracts, partnerships, agreements, expansions, joint ventures, collaborations, and acquisitions. It also highlights recent developments associated with the electrolyzers market. This report provides a competitive analysis of emerging startups in the electrolyzers market ecosystem.
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