Asia Pacific Coal Gasification Liquid Hydrogen Market Size

Asia Pacific Coal Gasification Liquid Hydrogen Market Size

Asia Pacific coal gasification liquid hydrogen market was valued at USD 898.7 million in 2023 and is anticipated to grow at a CAGR of 3.5% from 2024 to 2032. It is a process that converts coal into synthetic gas, which primarily consists of carbon monoxide, hydrogen, carbon dioxide, and methane. This is achieved by reacting coal at very high temperatures with controlled amounts of oxygen and/or steam. The syngas produced can be used for electricity generation, chemical production, and as a precursor for hydrogen production.

Abundance of coal reserves in China, India, and Australia makes the process cost effective leading to uplift its adoption for clean fuel generation. Increasing countries focus on energy security and reducing dependence on imported fossil fuels will propel the process penetration for hydrogen production. Rising government support, including China’s 14th Five-Year Plan emphasis the development of coal-based hydrogen projects as a strategic approach to achieve energy security and reduce reliance on external energy sources will additionally drive the industry growth.
 

Rising demand for clean energy in the region, particularly for decarbonizing sectors supported by government incentives such as the India National Hydrogen Mission emphasizes the use of indigenous resources, including coal, to produce hydrogen as part of its strategy to become a global hydrogen hub will strengthen process penetration. Growing advancements in gasification technology and CCS to make the process more efficient and environmentally sustainable will impact business growth.