Carbon Composite Hydrogen Tanks Market: Industry Overview and Forecast (2024-2030)

Carbon Composite Hydrogen Tanks Market Overview:

Hydrogen can be physically stored as a gas or as a liquid. In gaseous form, hydrogen is stored in high-pressure tanks with 350-700 bar working pressure. Type III and Type IV carbon composite hydrogen tanks are built of carbon fibre.

 

The Type III tank features a metal liner (aluminum or steel) with a full composite overwrap, whereas the Type IV tank is entirely built of carbon fibre with an inner liner made of polyamide or polyethylene plastic.

 

The transportation industry's demand for alternative fuel vehicles, such as CNG, RNG, and hydrogen fuels, is predicted to rise due to strict environmental legislation, government incentives for alternative fuels, and advancements in fueling infrastructure. However, due to COVID-19, sales of natural and energy cell vehicles have decreased, resulting in a decrease in demand for CNG, RNG, and hydrogen tanks.

 

 

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Carbon Composite Hydrogen Tanks Market Dynamics:

The Carbon Composite Hydrogen Tanks Market is majorly influenced by governmental policies and support emphasizing the importance of clean fuel in the public transportation sector. A reduction in the price of carbon fibres is expected to boost the demand for type 3 and type 4 tanks.

 

A key driver of the Carbon Composite Hydrogen Tanks Market is the increasing tax incentive for CNG vehicles and infrastructure. Tax breaks have been extended or enhanced in several regions, including APAC and North America.

 

For example, in May 2019, the Government of the United States, state of Oklahoma reviewed and enacted legislation relating to tax credits for compressed natural gas (CNG) vehicles and refueling. The tax was extended from January 1, 2020, until December 31, 2027. This will ensure that Oklahoma will continue to lead the country in promoting natural gas as the most superb fuel option for vehicles. This will stimulate demand for the company's product while also helping to keep the environment clean by focusing on the highest mileage and dirtiest automobiles while also providing economic benefit to the state and its people.

 

However, one of the most significant restraints in the Carbon Composite Hydrogen Tanks Market is that Carbon fibre and glass fibre are highly capital demanding, and the high cost of entry discourages many potential companies from entering the market. The price of carbon fibre and glass fibre, two primary raw materials used in Type 3 and Type 4 CNG composite tanks, is relatively high, adding to the overall cost of Type 3 and Type 4 CNG composite tanks. Identifying and defining low-cost solutions for commercial manufacturing of low-cost carbon and glass fibre composites is one of the essential concerns for manufacturers worldwide.

 

Impact of COVID-19 on the Carbon Composite Hydrogen Tanks Market:

 

COVID-19 has had a detrimental effect on global demand for CNG, RNG, and hydrogen tanks due to a decline in natural gas and fuel cell electric cars. In addition, due to extensive lockdowns and travel bans throughout the world, the bulk transportation of CNG, RNG, and hydrogen tanks has declined drastically.

 

However, the influence of COVID-19 is estimated to be short-lived, and the natural fuel demand is expected to rise in the coming years, causing a surge in demand for CNG, RNG, and hydrogen in the Carbon Composite Hydrogen Tanks Market.

 

Carbon Composite Hydrogen Tanks Market Segment Analysis:

The Carbon Composite Hydrogen Tanks Market is segmented into Gas Type, Application Type, and Tank Type.

 

Based on Gas Type, Carbon Composite Hydrogen Tanks Market is segmented into CNG, RNG, and Hydrogen. In terms of value and volume of the CNG gas segment dominated the Carbon Composite Hydrogen Tanks market. This is due to increased awareness of CNG gas in comparison to other gases, as well as the fact that using CNG in fuel tanks and transportation tanks is less harmful than using hydrogen gas. Globally, more importance is given to the environment, and climate activists worldwide are now promoting the use of environment-friendly fuels.

 

The global impact of COVID-19 is expected to reduce the market size of the gas type segment in terms of value and volume in 2020. The revelation of COVID-19 has resulted in complete or partial lockdown in several major economies, including the United States, China, Germany, Japan, the United Kingdom, India, and France. However, it is expected that after 2022, the hydrogen gas market will increase at the fastest rate in terms of volume.

 

 

Based on Application Type, Carbon Composite Hydrogen Tanks market is segmented into transportation, gas storage and distribution, and others. The transportation industry is expected to maintain unquestionable market dominance during the study period, owing to the high demand for FCEVs. Toyota Mirai, Hyundai Nexo, and Honda Clarity are the primary fuel cell automobiles on the road, constantly adding impetus to the market.

 

Based on Tank Type, The Carbon Composite Hydrogen Tanks market has been segmented into Type I, Type II, Type III, Type IV, and Type V. Type I Tanks are metal Tanks with a maximum temperature of Steel 200 bar. Type II Type II tanks are metal tanks made of aluminium, with filament windings like glass/fibre. The approximate maximum pressure is glass 263 bars. Type III are tanks made from composite material, fiberglass/aramid or carbon fiber with a metal liner (aluminium or steel). Having an approximate maximum pressure, aluminium/glass 305 bars. Whereas Type IV tanks are made up of Composite tanks such as carbon fiber with a polymer liner. These types have a maximum approximate maximum pressure of 700 bars. Type V is all-composite, linerless tank. The approximate maximum pressure is 1000 bars.

 

Due to low cost and increasing demand from countries such as China, India, Pakistan, Brazil, Iran, and others, the Type 1 cylinder segment will lead the CNG, RNG, and hydrogen tanks market in 2020. However, type 4 CNG tanks are expected to be the fastest-growing market with the highest CAGR because of their light weight.

 

The growing environmental consciousness, rising pollution concerns, fatigue resistance, high storage density, and a low total cost of ownership and demand for lighter-weight tanks are expected to propel the Type 4 tank market globally. However, type III tanks are expected to grow at a higher and faster rate during the next five years. Japan and South Korea are the key markets for type IV, while China maintains the leading market for type III.

 

Carbon Composite Hydrogen Tanks Market Regional Analysis

Europe is expected to witness the highest growth during the projected period. Toyota Mirai (Japan), Hyundai Nexo (South Korea), and Honda Clarity (Japan) are the region's three primary FC passenger vehicles. Continuous investments and the development of many regulations aimed at promoting sustainable energy are underway throughout Europe, helping to cushion the region's strong growth in the coming years.

 

Asia-Pacific, including countries like China and India, the world's largest truck manufacturers, has also heavily invested in developing fuel cell MHCVs. Hydrogen-powered cars are more prevalent in countries such as South Korea and Japan, where their respective governments have offered subsidies for these vehicles and have also provided finance for building the necessary infrastructure.

 

Furthermore, in the United States, California offers incentives for the usage of fuel-cell-powered automobiles. These incentives may ensure that the country continues to promote natural gas as the greatest fuel option for vehicles, thereby fuelling the Carbon Composite Hydrogen Tanks Market.

 

This will stimulate demand for the company's product while also helping to keep the environment clean by focusing on the highest mileage and dirtiest automobiles while also providing economic benefit to the state and its people. Therefore, the market in regions like North America has been anticipated to witness a steady rise during the forecast period.

 

The report aims to provide stakeholders in the Carbon Composite Hydrogen Tanks market with a detailed market outline. The research discusses the most critical Carbon Composite Hydrogen Tanks sector trends and how these trends have been estimated to impact future business investments and marketing strategies throughout the forecast period. By studying market leaders, market followers, and regional players, the report also aids in the understanding of the Carbon Composite Hydrogen Tanks Market dynamics, economic fundamentals, and competitive structure.

 

 

The qualitative and quantitative data in the Carbon Composite Hydrogen Tanks Market research has been forecasted to help determine which market segments, regions, and influencing factors are expected to grow at faster rates and significant opportunity areas that are expected to drive the market and market growth during the projected period.

 

The competitive landscape of essential players in the market and their recent advances in the Carbon Composite Hydrogen Tanks Market is also included in the report. The study examines company size, market share, market growth, revenue, production volume, and profitability of the Carbon Composite Hydrogen Tanks Market's major players.

 

Carbon Composite Hydrogen Tanks Market Scope:

Carbon Composite Hydrogen Tanks Market
Market Size in 2023	USD 2.53 Bn.
Market Size in 2030	USD 4.87 Bn.
CAGR (2024-2030)	9.8%
Historic Data	2018-2022
Base Year	2023
Forecast Period	2024-2030
Segment Scope	by Gas Type CNG RNG Hydrogen
	by Application Transportation Gas Distribution Storage Others
	by Tank Type Type I Type II Type III Type IV Type V
Regional Scope	North America- United States, Canada, and Mexico Europe – UK, France, Germany, Italy, Spain, Sweden, Austria, and Rest of Europe Asia Pacific – China, India, Japan, South Korea, Australia, ASEAN, Rest of APAC Middle East and Africa - South Africa, GCC, Egypt, Nigeria, Rest of the Middle East and Africa South America – Brazil, Argentina, Rest of South America

 

Carbon Composite Hydrogen Tanks Market Players:

The Carbon Composite Hydrogen Tanks Market has become competitive, with various players in the market have adopted product launches and business expansion as their developmental strategies to expand their market share, increase profitability, and remain stable in the market.

To grow their product range and acquire a competitive edge in the market, key players in the market are employing various business tactics such as business expansion. To strengthen their market position, significant organizations in the industry are pursuing various business strategies such as mergers and acquisitions.

 

Some of the most prominent and loved players in the Carbon Composite Hydrogen Tanks Market from all over the world are:

 

• Iljin Composites (Wanju-gun, South Korea)
• Toyota Motor Corporation (Aichi, Japan)
• Hexagon Composites (Alesund, Norway)
• Luxfer Holdings (United Kingdom)
• Worthington Industries (Ohio, United States)
• Quantum Fuel Systems (California, United States)
• NPROXX (Limburg, Netherlands)
• Faber Industries (Fabriano, Italy)
• Steelhead Composites (Colorado, United States)
• Faurecia (Nanterre, France)