PUBLISHER: MarketsandMarkets | PRODUCT CODE: 2149766
PUBLISHER: MarketsandMarkets | PRODUCT CODE: 2149766
The carbon capture, utilization, and storage market is projected to grow from USD 5.67 billion in 2026 and is projected to reach USD 13.53 billion by 2031, registering a CAGR of 19.0%.
| Scope of the Report | |
|---|---|
| Years Considered for the Study | 2022-2031 |
| Base Year | 2025 |
| Forecast Period | 2026-2031 |
| Units Considered | Value (USD Million/Billion) |
| Segments | by Service, Technology, End-use Industry, and Region |
| Regions covered | Asia Pacific, North America, Europe, Middle East & Africa, South America |
The growth of the carbon capture, utilization, and storage market is driven by increasing efforts to reduce greenhouse gas emissions and achieve net-zero targets across industries. The adoption of carbon capture, utilization, and storage (CCUS) services is supported by stringent emission regulations, carbon pricing mechanisms, government incentives, and investments in decarbonization infrastructure. Rising demand for low-carbon industrial processes, particularly in hard-to-abate sectors such as cement, steel, chemicals, and power generation, is further encouraging the deployment of CCUS solutions. In addition, advancements in CCUS technologies are improving operational efficiency and reducing costs, while the development of shared CO2 transportation and storage infrastructure is enabling the deployment of large-scale CCUS projects. Growing interest in utilizing captured CO2 for enhanced oil recovery, synthetic fuels, chemicals, and other applications is also creating additional opportunities for market expansion.

"Capture services are expected to hold the largest market share, in terms of value, throughout the forecast period."
Capture services are expected to hold the largest market share, driven by their essential role as the primary gateway for carbon dioxide utilization and storage. Capturing CO2 is the most capital-intensive and technical phase in the value chain, requiring advanced post-combustion, pre-combustion, and oxy-fuel technologies. Growth in the adoption of capture services across power generation, cement, steel, and chemical production is driving the carbon capture, utilization, and storage market. The implementation of stringent decarbonization regulations, alongside ambitious emission reduction targets and an increasing demand for low-carbon labeling, is anticipated to significantly elevate the demand for carbon capture services.
"In terms of value, chemical looping technology is expected to register the highest CAGR during the forecast period."
Chemical looping technology is expected to witness the highest CAGR in the carbon capture, utilization, and storage market during the forecast period. The segment's growth is driven by rising demand for cost-effective and energy-efficient capture processes across power generation and industrial facilities. Chemical looping utilizes metal oxides to transfer oxygen for fuel combustion, inherently separating CO2 without the need for expensive solvent regeneration. This offers low energy penalties, high thermal efficiency, and compatibility with diverse fuels such as coal, natural gas, and biomass. Increasing investments in pilot-to-commercial scale demonstrations, strict environmental norms, and potential co-production of valuable outputs, such as hydrogen, are contributing to the segment's growth. Moreover, rising demand for scalable decarbonization solutions that lower operational expenses is likely to contribute to the growth of the carbon capture, utilization, and storage market.
"In terms of value, the power generation end-use industry is expected to register the second-highest CAGR during the forecast period."
By end-use industry, the power generation segment is expected to witness the second-highest CAGR in the carbon capture, utilization, and storage market over the forecast period. The segmental growth is driven by rising demand for emission reduction in coal- and gas-fired power plants, which are primary candidates for retrofitting with carbon capture equipment. CCUS services/technologies offer significant advantages by enabling rapid, high-volume emission cuts while ensuring low-carbon baseload power alongside renewable energy integration. Several governments are providing tax credits, subsidies, and funding schemes to accelerate electricity decarbonization, while utility providers are investing in CCUS to maintain asset viability under strict climate policies and net-zero goals. Moreover, rising demand for scalable decarbonization solutions that can seamlessly integrate into thermal power generation assets is likely to contribute to the growth of the carbon capture, utilization, and storage market.
"In terms of value, Europe is projected to register the highest CAGR during the forecast period."
By region, Europe is expected to witness the highest CAGR in the carbon capture, utilization, and storage market over the forecast period. The regional growth is driven by stringent environmental policies, including the EU Green Deal and legally binding 2050 net-zero targets, which mandate widespread adoption across power, cement, steel, and chemicals industries. Europe benefits from robust state funding, strong carbon pricing mechanisms under the EU Emissions Trading System (EU ETS), and collaborative cross-border initiatives such as Northern Lights and Porthos. Increasing investments in integrated capture, transport, and storage infrastructure, along with a mature industrial landscape and dedicated low-carbon innovation initiatives, are contributing to the region's growth. Furthermore, rising demand for standardized regulatory frameworks and shared cross-border carbon networks is likely to contribute to the growth of the carbon capture, utilization, and storage market in Europe.
Prominent companies in this market include Fluor Corporation (US), Exxon Mobil Corporation (US), Linde plc (UK), Shell Plc. (UK), Mitsubishi Heavy Industries, Ltd. (Japan), JGC Holdings Corporation (Japan), Schlumberger Limited (US), Aker Solutions (Norway), Honeywell International (US), Equinor ASA (Norway), TotalEnergies SE (France), Hitachi Ltd. (Japan), Siemens AG (Germany), GE Vernova (US), and Halliburton (US), among others.
Research Coverage
This research report categorizes the carbon capture, utilization, and storage market by service (capture, utilization, storage, transportation), technology (chemical looping, solvents & sorbents, membranes, other technologies), end-use industry (oil & gas, power generation, chemicals & petrochemicals, cement, iron & steel, other end-use industries), and region (North America, Europe, Asia Pacific, the Middle East & Africa, and South America). The report covers the major driving factors impacting carbon capture, utilization, and storage market growth, along with restraints, challenges, and opportunities. A comprehensive assessment of key industry players highlights their business profiles, products & services, strategies, and recent developments in the market. The report also provides a competitive landscape of key global and regional players in the carbon capture, utilization, and storage market.
Reasons to Buy this Report
The report will help market leaders/new entrants in this market with information on the closest approximations of revenue for the overall market and its subsegments. This report will help stakeholders understand the competitive landscape, gain insights into their business positioning, and plan suitable go-to-market strategies. The report also helps stakeholders understand the market pulse and provides information on key market drivers, restraints, challenges, and opportunities.