Global Hydrogen Gas Sensor Market - Forecasts from 2023 to 2028

The global hydrogen gas sensor market is estimated to grow at a CAGR of 7.46% to reach US$594.445 million in 2028 from US$359.255 million in 2021.

The demand for hydrogen as an alternative option to traditional fuel has been rising recently. As this transition towards a cleaner and more sustainable source of energy increases, the demand for hydrogen sensors will increase, as these sensors are used to ensure that safe storage, handling, and usage are done properly, and there is no leak registered in various end-user industries.

Increasing Research Investments

Various research organizations are investing in hydrogen gas as it is a cleaner and safer option. For instance, Bhabha Atomic Research Centre launched a hydrogen gas sensor (model: TDP-BARC H2-054P). This is a catalytic-type detector and can be used for the detection of hydrogen gas ranging from 0.5-4%. This gas sensor has a long lifespan, can be used continuously, is simple to use, and can be easily installed and calibrated.

Increasing Utilization in End-User Industries

Hydrogen sensors are widely used in various end-user industries, one such major being the automotive sector. Hydrogen is a feasible alternative fuel that can reduce pollution and promote a sustainable environment. In the coming year, the automotive industry is shifting towards electric vehicles (EVs), and there has been an increase in the production of fuel-cell electric vehicles (FCEVs). Companies recently are launching cars that are fully hydrogen fuel cell-based. For instance, in June 2022, Toyota presented ‘Toyota Mirai’ its first fully hydrogen cell-based vehicle. The car will feature three fuel tanks for hydrogen storage. The increasing launches of such products in the market are promoting the use of hydrogen gas on a larger scale. As more and more industries start using hydrogen, the need for sensors that can detect leaks in the manufacturing unit will increase in the projected period.

Increasing Environmental Concern

Carbon dioxide emission from combustion and industrial processes increased by 321 Mt, which is a 0.9% growth from 2021 to 2022; 36.8 Gt is an all-time high registered by the IEA. The increasing use of carbon dioxide is polluting the environment, and governments of different countries are trying to promote a more sustainable option such as hydrogen. The commercial use of hydrogen is expected to provide a cleaner environment in the coming years. Commercial use will increase the demand for hydrogen sensors, as these sensors will help detect the production, storage, distribution, or use of hydrogen, and these features of hydrogen sensors will propel the market growth.

Expanding Automotive Sector

Hydrogen gas sensors are used in the automotive industry to monitor and detect hydrogen leaks from fuel cells, optimizing a vehicle’s safety performance. The automotive sector has shown a significant boom owing to the growing demand for fuel-efficient vehicles coupled with rapid urbanization and technological advancements, which has provided a positive scope for the hydrogen gas sensors market demand for automotive applications. According to the European Automobile Manufacturers Association, global automotive production in 2022 reached 85.4 million units, which represented a 5.7% increase over 80.7 million units produced globally in 2021. Additionally, as per the same source, North America witnessed a 9.6% increase in production in 2022.

Increasing Demand from Oil & Gas Industry

The need for enhanced safety measures and leak detection in hydrogen-based processes and the rising focus on environmental sustainability are driving investments in hydrogen-related projects and infrastructure within the oil and gas sector. For instance, according to the Department of Energy, natural gas reforming, a mature process, contributes 95% of hydrogen production in the US. It is crucial for fuel-cell electric vehicles and other applications in near-term hydrogen production. Future integration of renewables and low-carbon sources is expected to enhance hydrogen production from natural gas further. Additionally, In the competitive landscape of the hydrogen gas sensor market, several prominent companies offer cutting-edge hydrogen gas sensors tailored for the oil and gas industry. North America is Expected to Grow Considerably

Growth in the USA is driven by the increasing adoption of hydrogen fuel cells in various applications, government support for clean energy initiatives, the expansion of the industrial sector, and a growing emphasis on workplace safety and environmental regulations. Hydrogen gas sensors ensure safety and efficiency by detecting and monitoring hydrogen leaks. President Biden's ambitious emission reduction goal, targeting a 50 to 52% decrease from 2005 levels by 2030, emphasizes the importance of hydrogen as a clean power source. Backed by substantial government support, the U.S. Department of Energy has allocated over $162 million for projects to reduce carbon emissions, including investments in fuel cells and hydrogen technologies. The Fuel Cell and Hydrogen Energy Association's advocacy further boosts hydrogen integration across various sectors, creating increased demand for hydrogen gas sensors.

Market Developments:

• In July 2023, Posifa Technologies launched its “PGS4100,” built on MEMS hydrogen sensor technology. The sensor provides thermal runaway detection for the EV battery management system, enabling rapid triggering of battery failure alarms in EVs.
• In March 2023, H2scan launched a new HY-ALERTA 5021, a hydrogen sensor for maintenance-free battery room safety monitoring. The company claims the product can detect low-level hydrogen leaks even in the presence of other gases.
• In February 2023, BMW launched its first fleet of the “iX5 Model,” based on hydrogen fuel cell technology. The launch came as a strategic move by the automotive giant for further development and adoption of hydrogen fuel cell technology to provide emission-free mobility.
• In January 2023, MG MOTOR INDIA launched its hydrogen fuel cell-based multi-purpose vehicle (MPV) “EUNIQ 7” at Auto Expo 2023, showcasing its commitment to providing clean traveling.
• In March 2023, Hyundai Kefico launched its hydrogen gas sensor that provides real-time monitoring of the smallest hydrogen leaks in fuel cell electric vehicles (FCEV).

Market Segmentation:

By Technology

• Electrochemical
• Metal Oxide Semiconductor
• Catalytic
• Optical
• Others

By End-User Industry

• Automotive
• Oil and Gas
• Healthcare
• Aerospace
• Others

By Geography

• North America
• United States
• Canada
• Mexico
• South America
• Brazil
• Argentina
• Others
• Europe
• Germany
• France
• United Kingdom
• Others
• Middle East and Africa
• Saudi Arabia
• Israel
• Others
• Asia Pacific
• China
• Japan
• India
• South Korea
• Others