Methane Global Market Report 2026

Methane is a flammable, colorless, odorless, and compressed gas with few contaminants. It can be used alone or as a component in gas mixes for various applications, including power generation, antifreeze ingredients in industries, and sanitizing products. Methane is a hydrocarbon and a primary component of natural gas.

The main types of methane sources are natural and synthetic. Natural methane is derived from natural wetlands, soil, and chemical reactions in the atmosphere. It is commonly used as a fuel for heat and light generation and the production of organic compounds. Major production methods for methane include fermentation and gasification. Methane finds applications in various industries, including as fuel, natural gas, chemical feedstock, liquefied natural gas, liquid-methane rocket fuel, power generation, and residential use. Different end-use industries, such as automotive, aerospace and defense, electrical, chemical, and others, utilize methane for various purposes.

Tariffs have impacted the methane market by increasing costs associated with gas processing equipment, storage systems, and transportation infrastructure. These impacts are most significant in liquefied methane and synthetic methane segments, especially in asia pacific and europe. Import duties have raised costs for energy producers and industrial users. Smaller distributors face challenges in maintaining competitive pricing. On the positive side, tariffs are encouraging domestic methane production and investment in alternative gas generation technologies.

The methane market research report is one of a series of new reports from The Business Research Company that provides methane market statistics, including methane industry global market size, regional shares, competitors with a methane market share, detailed methane market segments, market trends and opportunities, and any further data you may need to thrive in the methane industry. This methane market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The methane market size has grown strongly in recent years. It will grow from $126.37 billion in 2025 to $136.94 billion in 2026 at a compound annual growth rate (CAGR) of 8.4%. The growth in the historic period can be attributed to growth in natural gas production, expansion of chemical industries, development of power generation infrastructure, demand for residential energy, industrial heating requirements.

The methane market size is expected to see strong growth in the next few years. It will grow to $198.04 billion in 2030 at a compound annual growth rate (CAGR) of 9.7%. The growth in the forecast period can be attributed to investment in renewable gas technologies, growth in aerospace fuel demand, expansion of power to gas projects, energy security initiatives, rising demand for low carbon fuels. Major trends in the forecast period include growing use as a clean energy fuel, expansion of synthetic methane production, rising demand for power generation applications, increased use as chemical feedstock, growth in LNG and rocket fuel applications.

Rising demand in the automotive industry is expected to drive the growth of the methane market in the coming years. The automotive industry includes companies engaged in the manufacturing, sales, maintenance, and customization of motorized vehicles. This sector's growing demand is fueled by the need for cost-effective and cleaner fuel alternatives that reduce emissions and comply with stricter environmental regulations. Methane supports automotive applications as a relatively low-cost, cleaner-burning fuel compared to conventional gasoline and diesel, producing fewer harmful particulates and greenhouse gases. For example, in April 2024, the International Federation of Robotics reported that manufacturing companies in the United States significantly increased automation investments, with total industrial robot installations rising 12% to 44,303 units in 2023. Installations in the automotive segment grew 1% to a record 14,678 units, following a sharp 47% increase in 2022, and automotive manufacturers accounted for 33% of all industrial robot installations in the U.S. in 2023. Consequently, rising demand in the automotive industry is fueling the growth of the methane market.

Major companies operating in the methane market are focusing on innovative products such as methane measurement instruments to expand their customer base, boost sales, and increase revenue. Methane measurement instruments are designed to quantify the concentration of methane gas in a given environment. For example, in October 2023, Schlumberger NV introduced the Methane Point Instrument, a self-installed continuous monitoring system equipped with IoT-enabled sensors. This advanced technology provides a rapid and cost-effective solution for detecting, locating, and quantifying emissions in oil and gas operations. The Methane Point Instrument's industry-leading leak detection sensitivity, combined with its compact and durable 'plug-and-play' design, represents a significant advancement in methane measurement technology, automating continuous monitoring processes and eliminating the need for manual data collection.

On May 3, 2024, ExxonMobil, a US-based energy company specializing in oil and gas, acquired Pioneer Natural Resources for an undisclosed amount. Through this acquisition, ExxonMobil intends to boost its production capacity in the Permian Basin, accelerate its environmental commitments, and generate long-term shareholder value by enhancing operational efficiency. Pioneer Natural Resources is a US-based company involved in hydrocarbon exploration and production.

Major companies operating in the methane market are BP plc, Oil and Natural Gas Corporation, IGas Energy plc, China National Petroleum Corporation, Senex Energy Limited, Shell plc, China National Offshore Oil Corporation, Metgasco Limited, G3 Exploration Ltd., Air Liquide SA, Bhuruka Gases Limited, Chengdu Taiyu Industrial Gases Co. Ltd., Linde plc, Osaka Gas Co. Ltd., Qingdao Guida Special Gas Co. Ltd., Primus Green Energy Inc., Gazprom Neft PJSC, Bharat Petroleum Corp. Ltd., Chevron Corporation, Exxon Mobil Corporation, Honeywell International Inc., TotalEnergies SE, Hess Corporation, Koch Minerals & Trading LLC

North America was the largest region in the methane market in 2025. Europe was the second-largest region in the methane market. The regions covered in the methane market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.

The countries covered in the methane market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain

The methane market consists of sales of biomethane, fossil methane, compressed methane, and liquefied methane. Values in this market are 'factory gate' values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

Methane Market Global Report 2026 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.

This report focuses methane market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.

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Where is the largest and fastest growing market for methane ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward, including technological disruption, regulatory shifts, and changing consumer preferences? The methane market global report from the Business Research Company answers all these questions and many more.

The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, total addressable market (TAM), market attractiveness score (MAS), competitive landscape, market shares, company scoring matrix, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.

• The market characteristics section of the report defines and explains the market. This section also examines key products and services offered in the market, evaluates brand-level differentiation, compares product features, and highlights major innovation and product development trends.
• The supply chain analysis section provides an overview of the entire value chain, including key raw materials, resources, and supplier analysis. It also provides a list competitor at each level of the supply chain.
• The updated trends and strategies section analyses the shape of the market as it evolves and highlights emerging technology trends such as digital transformation, automation, sustainability initiatives, and AI-driven innovation. It suggests how companies can leverage these advancements to strengthen their market position and achieve competitive differentiation.
• The regulatory and investment landscape section provides an overview of the key regulatory frameworks, regularity bodies, associations, and government policies influencing the market. It also examines major investment flows, incentives, and funding trends shaping industry growth and innovation.
• The market size section gives the market size ($b) covering both the historic growth of the market, and forecasting its development.
• The forecasts are made after considering the major factors currently impacting the market. These include the technological advancements such as AI and automation, Russia-Ukraine war, trade tariffs (government-imposed import/export duties), elevated inflation and interest rates.
• The total addressable market (TAM) analysis section defines and estimates the market potential compares it with the current market size, and provides strategic insights and growth opportunities based on this evaluation.
• The market attractiveness scoring section evaluates the market based on a quantitative scoring framework that considers growth potential, competitive dynamics, strategic fit, and risk profile. It also provides interpretive insights and strategic implications for decision-makers.
• Market segmentations break down the market into sub markets.
• The regional and country breakdowns section gives an analysis of the market in each geography and the size of the market by geography and compares their historic and forecast growth.
• Expanded geographical coverage includes Taiwan and Southeast Asia, reflecting recent supply chain realignments and manufacturing shifts in the region. This section analyzes how these markets are becoming increasingly important hubs in the global value chain.
• The competitive landscape chapter gives a description of the competitive nature of the market, market shares, and a description of the leading companies. Key financial deals which have shaped the market in recent years are identified.
• The company scoring matrix section evaluates and ranks leading companies based on a multi-parameter framework that includes market share or revenues, product innovation, and brand recognition.

Scope

• Markets Covered:1) By Source: Natural; Synthetic
• 2) By Production Method: Fermentation; Gasification
• 3) By Application: Fuel; Natural Gas; Chemical Feedstock; Liquefied Natural Gas; Liquid-Methane Rocket Fuel; Power Generation; Residential; Other Applications
• 4) By End Users: Automotive; Aerospace And Defense; Electrical; Chemical; Other End Users
• Subsegments:
• 1) By Natural: Conventional Natural Gas; Biogas; Landfill Gas
• 2) By Synthetic: Methanol-To-Gas (MTG); Power-To-Gas; Gasification Processes
• Companies Mentioned: BP plc; Oil and Natural Gas Corporation; IGas Energy plc; China National Petroleum Corporation; Senex Energy Limited; Shell plc; China National Offshore Oil Corporation; Metgasco Limited; G3 Exploration Ltd.; Air Liquide SA; Bhuruka Gases Limited; Chengdu Taiyu Industrial Gases Co. Ltd.; Linde plc; Osaka Gas Co. Ltd.; Qingdao Guida Special Gas Co. Ltd.; Primus Green Energy Inc.; Gazprom Neft PJSC; Bharat Petroleum Corp. Ltd.; Chevron Corporation; Exxon Mobil Corporation; Honeywell International Inc.; TotalEnergies SE; Hess Corporation; Koch Minerals & Trading LLC
• Countries: Australia; Brazil; China; France; Germany; India; Indonesia; Japan; Taiwan; Russia; South Korea; UK; USA; Canada; Italy; Spain
• Regions: Asia-Pacific; South East Asia; Western Europe; Eastern Europe; North America; South America; Middle East; Africa
• Time Series: Five years historic and ten years forecast.
• Data: Ratios of market size and growth to related markets, GDP proportions, expenditure per capita,
• Data Segmentations: country and regional historic and forecast data, market share of competitors, market segments.
• Sourcing and Referencing: Data and analysis throughout the report is sourced using end notes.
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