Green Ammonia Market - By Technology (Electrolysis, Photocatalysis, Biological Nitrogen Fixation), By End Use (Agriculture, Power & Energy, Transportation, Chemicals and Others (Pharmaceutical and textiles)) & Forecast, 2024 – 2032

Green Ammonia Market Size

Green Ammonia Market was valued at around USD 320.2 million in 2023 and is anticipated to register a CAGR of over 66.3% between 2024 and 2032. Governments and organizations around the world are pushing for decarbonization to cut down carbon emissions.
 

Green ammonia, made from renewable energy, is seen as a key solution for reducing carbon in industries like agriculture (as a fertilizer) and transportation (as a fuel). Advancement in electrolyser technologies and renewable energy use has lowered the cost of producing green ammonia. New technologies, such as solid oxide electrolysers and improved catalysts, make production more efficient and scalable, making green ammonia more affordable.
 

Additionally, the rise of the green hydrogen economy is increasing the demand for green ammonia. Green ammonia is a good way to store and transport hydrogen because it has a higher energy density and is easier to liquefy than hydrogen gas. This makes it a practical option for energy storage and long-distance transport, boosting its demand in the renewable energy sector. market is expanding due to several key factors. One major driver is the push for decarbonization by governments and organizations worldwide. They are implementing strict regulations to reduce carbon emissions. Green ammonia, produced using renewable energy sources, is seen as a vital solution for decarbonizing various industries. It is particularly important in agriculture, where it is used as a fertilizer, and in transportation, where it serves as a fuel.
 

Continuous advancements in electrolyser technologies and renewable energy integration have significantly reduced the production cost of green ammonia. Innovations such as solid oxide electrolysers and new catalysts enhance efficiency and scalability, making green ammonia more commercially viable. Furthermore, the emerging green hydrogen economy is playing a crucial role in driving the demand for green ammonia. As an effective means of storing and transporting hydrogen, green ammonia offers higher energy density and easier liquefaction compared to hydrogen gas. This makes it a viable option for energy storage and long-distance energy transport, thereby increasing its demand in the renewable energy sector.
 

The global green ammonia market faces a major challenge of high initial investment costs. Setting up production facilities requires a lot of money for electrolysers, renewable energy infrastructure, and other equipment. These high costs can be a barrier, especially in areas with limited financial resources, slowing market growth. Additionally, switching to green ammonia needs big changes in supply chains, storage, and transportation. The current infrastructure is mainly for conventional ammonia, so adapting it for green ammonia requires significant financial and logistical efforts. This includes creating new distribution channels and ensuring storage facilities can handle green ammonia, adding to the complexity and cost.
 

Green Ammonia Market Trends

The green ammonia industry is changing due to new technologies and a global push for sustainability. Companies are investing in research to make production more efficient and cheaper. Partnerships between energy firms, tech providers, and industrial users are becoming common to speed up the adoption of green ammonia technologies. There is also growing interest in using green ammonia as fuel for ships and as a hydrogen carrier for energy storage and long-distance transport. This helps decarbonize these sectors and takes advantage of green ammonia's high energy density. Governments and international organizations support green ammonia projects through policies and incentives like funding for pilot projects, renewable energy subsidies, and carbon pricing. This creates a favourable environment for market growth. The agricultural sector is also looking at green ammonia as a sustainable alternative to traditional fertilizers, which can significantly reduce the carbon footprint of farming practices. These trends show a shift towards a more integrated and collaborative approach to green ammonia production and use, highlighting the industry's commitment to sustainability and innovation.
 

Green Ammonia Market Analysis

Based on technology, the market is segmented into biological nitrogen fixation, photocatalysis and electrolysis. Electrolysis held the dominant market share of USD 198.9 million in 2023 and is expected to grow significantly with CAGR of 65% till 2032. Electrolysis technologies lead the green ammonia market due to their efficiency in producing hydrogen, a key element in ammonia synthesis. Proton exchange membrane (PEM) electrolysis is highly efficient and works well with renewable energy sources like wind and solar. Alkaline water electrolysis (AWE) is a mature, cost-effective technology known for its simplicity and long operational life. solid oxide electrolysis (SOE) operates at high temperatures, improving energy conversion rates. These methods make green ammonia production scalable and feasible, outperforming emerging methods like photocatalysis and biological nitrogen fixation, which are still in the research and development stage.
 

Based on end use, the market is segmented into agriculture, power & energy, transportation, chemicals and others (pharmaceutical and textiles). Agriculture accounted for major market share of 58.6% in 2023 is projected to grow through 2032 at a CAGR of 65%. The agriculture sector leads the green ammonia market because it uses ammonia extensively as a fertilizer. This shift to green ammonia aims to reduce the carbon footprint of traditional ammonia production. Sustainable farming practices and eco-friendly fertilizers are boosting its demand in agriculture. Green ammonia provides a stable nitrogen supply to crops while minimizing environmental impact, making it a preferred choice for farmers and agricultural businesses. Although the power & energy and transportation sectors are exploring green ammonia for energy storage and as a fuel alternative, their adoption rates are currently lower than in agriculture. The chemicals sector benefits from green ammonia as a feedstock for various processes, and its use in the pharmaceuticals and textiles sectors is niche but growing.
 

Europe leads the market due to its strong focus on sustainability and decarbonization. Comprehensive government policies and significant investments in renewable energy infrastructure support this leadership. The European Union's climate goals, like the European green deal aiming for net-zero emissions by 2050, drive high demand for green ammonia as a clean energy carrier and fertilizer. Europe's expertise in hydrogen and electrolyser technologies also strengthens its position. North America follows Europe, with growing investments in green ammonia projects. Supportive policies and increasing awareness of sustainable alternatives to traditional ammonia fuel this growth. However, North America's progress is slower due to higher initial investment costs and infrastructure challenges.
 

Green Ammonia Market Share

Kapsom is a competitive player in the green ammonia industry, emphasizing innovative and sustainable solutions. They focus on providing modular ammonia plants and advanced technologies that facilitate efficient and eco-friendly production processes. Kapsom's strategic investments in R&D and their ability to offer customized solutions help them maintain a strong market position.
 

Yara International is a leading producer of green ammonia, committed to sustainability and environmental stewardship. They provide a wide range of agricultural and industrial products, leveraging their extensive global network and production facilities to stay competitive. Yara's focus on reducing carbon footprints and developing innovative fertilizers aligns with their green ammonia initiatives, enhancing their market presence.
 

Siemens Energy is expanding its footprint in the market through strategic investments and technological advancements. They offer integrated solutions for ammonia production, including electrolysers and renewable energy systems. Siemens Energy's strong presence in Europe and their commitment to sustainability and innovation position them as a key player in the market.
 

Green Ammonia Market Companies

Major players operating in the industry include:

• Air Products Inc       
• BASF SE       
• Haldor Topsoe
• Hiringa Energy        
• Hydrogenics  
• Kapsom        
• MAN Energy Solutions        
• Nel Hydrogen
• Siemens Energy      
• Starfire Energy        
• Technip Energies NV
• ThyssenKrupp AG    
• Uniper ENGIE
• Yara International    
   

Green Ammonia Industry News

• In March 2024: Yara, a leading crop nutrition company and a global leader in ammonia trade and shipping, and GHC SAOC, a wholly owned subsidiary of Acme Cleantech, a leading renewable energy company in India, signed a firm and binding agreement for supply of ammonia with reduced CO2 emissions from Acme to Yara on a long-term basis
   
• In November 2023: German company DAI Infrastruktur has now joined forces with compatriot technology major Siemens Energy to develop its green ammonia project in East Port Said, Egypt. DAI’s project named Ra is planned to have a total production capacity of 2 million tons per annum (mtpa) of green ammonia, with an estimated start in 2028.
   

The green ammonia market research report includes in-depth coverage of the industry, with estimates & forecast in terms of revenue and volume (USD Million) (Kilo Tons) from 2021 to 2032, for the following segments:

Click here to Buy Section of this Report

Market, By Technology

• Electrolysis 
  • Proton Exchange Membrane (PEM) Electrolysis
  • Alkaline Water Electrolysis (AWE)
  • Solid Oxide Electrolysis (SOE) 
• Photocatalysis
• Biological Nitrogen Fixation

Market, By End Use

• Agriculture
• Power & Energy
• Transportation
• Chemicals
• Others

The above information is provided for the following regions and countries:

• North America
  • U.S.
  • Canada 
• Europe
  • Germany
  • UK
  • France
  • Italy
  • Spain
  • Rest of Europe
• Asia Pacific
  • China
  • India
  • Japan
  • South Korea
  • Australia
  • Rest of Asia Pacific
• Latin America
  • Brazil
  • Mexico
  • Argentina
  • Rest of Latin America
• MEA
  • Saudi Arabia
  • UAE
  • South Africa
  • Rest of MEA