PEM Fuel Cell Market Size - By Application (Stationary, Portable, Transport), 2025 – 2034

PEM Fuel Cell Market Size

The global PEM fuel cell market size was valued at USD 4.3 billion in 2024 and is estimated to reach USD 10.1 billion by 2034, growing at a CAGR of 9% from 2025 to 2034. Surging demand for renewable energy adoption in power grids along with extensive applicability of reliable & low emission devices will drive the business trends. For instance, the European Union has set a target of 40 GW of installed electrolysis capacity by 2030, aiming to produce 10 million tons of renewable hydrogen per year.
 

Key factors including rapid start-up and response times, allowing for quick & efficient power delivery coupled with growing investments in the development of fuel cell infrastructure will complement the fuel cell market growth. For instance, in January 2023, Ballard Power Systems signed an agreement with Adani Enterprises Limited to construct a hydrogen fuel cell mining truck powered by 120 kW PEM fuel cell technology of Ballard Power Systems.
 

Enhancements in catalysts, membrane materials, and stack designs have increased their lifespan, reducing maintenance costs in conjunction with rising deployment of PEM fuel cell for stationary applications will foster the PEM fuel cell market dynamics. For instance, in January 2023, Ballard Power Systems received an order from CrossWind for deployment of PEM fuel cell system for 1 MW stationary offshore wind project in Netherlands.
 

Ongoing regulations, codes, standards, and guidelines concerning hydrogen use are already established owing to its application in aerospace and industries while multiple organizations are engaged in commercializing hydrogen and PEM systems across other applications. The Small Business Innovation Research (SBIR) program, funded by the HFTO in 2021, supports research and development for fuel cells and hydrogen fuels, including MEAs and gas diffusion layers for heavy-duty PEM fuel cells, with a focus on high durability and efficiency.
 

PEM Fuel Cell Market Trends

• Technological advancements and favorable government regulations, codes, and standards for safety operations and adoption in various applications are expected to drive the growth of the PEM fuel cell business. For citation, in May 2023, TECO 2030 is building the giga production facility for hydrogen PEM fuel cell stacks and modules in Norway. The facility's production capacity will see a gradual increase, targeting outputs of up to 120 MW to 1.6 GW between 2024 to 2030.
   
• Increasing demand for clean energy solutions and the need to reduce carbon emissions in various sectors, will contribute to PEM fuel cell market growth. To cite an instance, In February 2024, Plug Power Inc. partnered with Uline to provide on-site Hydrogen Infrastructure and fuel cell solutions for Uline’s campus in Kenosha, Wisconsin. The partnership comprises the installation of 18 thousand gallons of hydrogen storage tank, 17 units of hydrogen dispensers and 250 fuel cell forklifts running on hydrogen produced from the infrastructure integrated by Plug Power.
   
• Several major industry players including Blue World Technologies have been involved in developing new innovative products. For instance, on February 2023, Danish fuel cell developer and manufacturer Blue World Technologies introduces the CellPack Stationary PEM fuel cell technology based on methanol fuel cell power generator.
   
• Inorganic growth strategies adopted by the leading market players including Nedstack and AVL among others will further influence the market statistics. For instance, in August 2022, Nedstack and AVL have formed an Industrialization Support Partnership aimed at advancing the industrialization of Nedstack’s 3rd generation stack platform. AVL will contribute co-development, sampling, and verification services to enhance the platform's power and durability for demanding stationary and maritime applications.
   

PEM Fuel Cell Market Analysis

• Based on application, the market is segmented into Stationary, Portable and Transport. The PEM fuel cell industry amounted to USD 3.8 billion, USD 4 billion and USD 4.3 billion in 2022, 2023 and 2024 respectively.
   
• The stationary segment is set to reach more than USD 1.4 billion by 2034 on account of their high efficiency, low emissions, and quick start-up and ramp-up characteristics. This flexibility allows them to be used in a variety of settings, including remote areas with limited access to the grid, industrial facilities, and commercial buildings thereby stimulating the market growth. Key players are investing in developing advanced product with no environmental damage, thereby creating opportunities for PEM fuel cell market growth. For instance, in October 2023, Horizon Fuel Cell Group delivered a PEM fuel cell CHP system having 2MW capacity and plans to deploy zero-emission stationary power plants up to 100MW.
   
• The portable segment contributed to 0.8% of the market share in 2024 owing to increasing demand for clean and sustainable energy sources fuels their adoption of portable electronic devices such as smartphones, laptops, drones, and medical devices. Advancements in technology have led to improvements in efficiency, durability, and stability, making them more attractive for portable applications. For instance, in June 2022, ZBT GmbH showcased their research on a PEMFC hybrid system with the casting of 3D printing on a portable application.
   
• Transport PEM fuel cell market size is anticipated to grow significantly over coming years. Government initiatives, such as research funding, tax incentives, and subsidies, will encourage industry growth and investment in PEMFC technology for mobility sector. Moreover, increasing demand for fuel cell electric vehicles as an alternative to existing vehicles coupled with new product launched with advancement in technology will stimulate product adoption. For instance, in April 2022, Doosan Fuel Cell Co., Ltd in partnership with Ballard Power Systems & HyAxiom announced the launch of PEM fuel cell for mobility applications in South Korea.
   

• The U.S. PEM fuel cell market size crossed USD 960 million, USD 970 million and USD 980 million in 2022, 2023 and 2024 respectively. North America accounted for over 24% market share in 2024. Government organizations and private institutions including DOE, Credit Suisse, New Enterprise Associates and DAG Ventures are funding the industry to achieve their emission reduction targets.
   
• The region is experiencing significant growth driven by various regulations and policies. For instance, on September 2022, the U.S. Department of Energy (DOE) collaborates with industrial partners, universities, and national laboratories to address technical challenges in fuel cell development, focusing on durability and setting ambitious targets for system lifetime.
   
• Europe PEM fuel cell market will grow at a CAGR of more than 8% till 2034. Expansion of sustainable transportation system and efforts to reduce dependence on fossil fuels will fuel the business statistics. Moreover, the governments worldwide are providing support and financial incentives to promote the adoption of fuel cells. Major players are teaming up to boost technological advancement in design and development of PEM system which has also led to more efficient and comparatively low-cost product across the region. With the EU's CO2 emission reduction targets for trucks by 2025 and 2030, Bosch projects that 20% of global electric vehicles will utilize fuel cells by 2030.
   
• These measures include research and development grants, tax incentives, subsidies and directives for fuel cell installations which supports the manufacturers and encourages investment in commercialization of fuel cell technologies. For instance, in July 2022, the government of UK launched national clean-hydrogen subsidy scheme, which will employ a Contracts for Difference (CfD) model to assist fund green and blue hydrogen projects while it seeks to increase hydrogen production capacity by 2030.
   
• Asia Pacific PEM fuel cell market will grow at over 10% CAGR up to 2034, on account of significant backing of hydrogen potential in the countries including Australia, South Korea and Japan have led to the exploration of hydrogen as an energy transition fuel. In Australia, the Clean Energy Finance Corporation initiated the Advancing Hydrogen Fund of around USD 300 million to foster the commercial and technical viability of hydrogen in the country. In addition to this, the Australian Renewable Energy Agency (ARENA) invested USD 1.28 million for the establishment of the Australian Hydrogen Centre.
   

PEM Fuel Cell Market Share

• Top 5 players operating in the PEM fuel cell industry include Eminent players operating in the industry include Cummins, Ballard Power Systems, Plug Power, Nuvera Fuel Cells, and Nedstack Fuel Cell Technology. Key players operating across the PEM fuel cell industry are focusing on strategic partnerships and alliances to gain a competitive edge over the others.
   
• The industry is widely funded by private and public investment firms that are providing financial support for innovation and research & development over the years. The major investment firms involved in the fuel cell market are Credit Suisse, Emerald Technology, New Enterprise Associates, GSV Capital, Rolls-Royce, and DAG Ventures. Few industry players are fully integrated in the value chain being involved in manufacturing, installation, and operation of fuel cell power plants.
   

PEM Fuel Cell Market Companies

• Cummins is a global leader in the design, manufacture, and distribution of engines, power generation systems, and related technologies. The company operates in 190+ countries and territories, with more than 600 facilities, including plants, research centers, and distribution hubs. The company recorded a revenue of USD 8 Billion in Q4 of 2024. In addition, the company, in 2022 started the production of its new hydrogen PEM fuel cell systems in Herten, Germany.
   
• Nuvera Fuel Cells is a leading manufacturer of heavy-duty, zero-emission fuel cell engines and power systems. The company specializes in developing clean, safe, and efficient products tailored for industrial vehicles and various transportation sectors. Recently, the company announced USD 14 Million of investment tax credits from the U.S. Internal Revenue Service. Further, the 48C program, which provides up to 30% investment tax credits for selected clean energy manufacturing projects.
   
• Robert Bosch is a German multinational engineering and technology company divided into four business models including Mobility, Consumer Goods, Industrial Technology and Energy & Building Technology. The company reported sales of over USD 94.9 Billion in 2024. The company started constructing prototypes for electrolysis using PEM membranes, to make 1.25-megawatt prototypes available for pilot applications, and is on track to start volume production in 2025.  
   

Eminent players operating in the PEM fuel cell market are:

• Cummins
• Ballard Power Systems
• Plug Power
• Nuvera Fuel Cells
• Nedstack Fuel Cell Technology
• Panasonic Corporation
• Doosan Fuel Cell
• SFC Energy
• Robert Bosch
• TW Horizon Fuel Cell Technologies
• Air Liquide Energies
• Hyundai Motor Company
   

PEM Fuel Cell Industry News

• In January 2024, Nedstack Fuel Cell Technology BV entered a partnership with Groeneveldt to deliver portable fuel cell systems to power the workboat for Overijssel Province. The MPU 20-400C PEM fuel cell system will be used to recharge battery when shore power is not available and can be detached to use across the other mobile applications. Moreover, it can operate as a standalone unit for autonomous hydrogen microgrids. Thereafter, the company will be contributing towards environmentally friendly energy efficient solutions across marine industry.
   
• In May 2023, Nedstack Fuel Cell Technology BV entered into a partnership with RWTH Aachen University’s Chair of Production Engineering of E-Mobility Components and AE Driven Solutions GmbH for industrialization of PEM fuel cell technology in Europe. The partnership also aims to contribute to the EU’s target of net-zero emission by 2050. The participants will influence the development of advanced PEM fuel cells and serve the Europe’s hydrogen economy. The collaboration will enable the organizations to build strong position across the region and in the PEM fuel cell market.
   
• In April 2022, Cummins Inc. secured an order to supply its PEM fuel cell systems to Scania for heavy duty transport applications. These fuel cell systems set to be utilized in 20 fuel cell electric vehicles delivered by HyTrucks. The project aims to provide vehicles with heavier payloads, shorter refueling times and longer driving ranges. The company has substantially contributed to carbon free vehicle development and enhanced its portfolio across the market.
   
• In March 2022, Cummins Inc. started the production of its new hydrogen fuel cell systems in Herten, Germany. The company aims to expand and scale up the hydrogen technologies and accelerate the alternative power systems across Europe. The plant focuses on providing Proton Exchange Membrane (PEM) fuel cell systems to Alstom’s hydrogen-powered passenger trains named Coradia iLint. This site enhanced the Cummins’ customer base and solidified its presence as a technology leader across the globe.
   

The PEM fuel cell market research report includes in-depth coverage of the industry with estimates & forecast in terms of ‘MW & USD Million’ from 2021 to 2034 for the following segments:

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Market, By Application

• Stationary
• Portable
• Transport

The above information has been provided for the following regions and countries:

• North America
  • U.S
  • Canada
• Europe
  • Germany
  • UK
  • France
  • Italy
  • Spain
  • Austria
• Asia Pacific
  • Japan
  • South Korea
  • China
  • India
  • Philippines
  • Vietnam
• Middle East & Africa
  • South Africa
  • Saudi Arabia
  • UAE
• Latin America
  • Brazil
  • Peru
  • Mexico