Industrial Carbon Dioxide - Global Strategic Business Report

The global market for Industrial Carbon Dioxide was estimated at US$5.2 Billion in 2024 and is projected to reach US$6.0 Billion by 2030, growing at a CAGR of 2.3% from 2024 to 2030. This comprehensive report provides an in-depth analysis of market trends, drivers, and forecasts, helping you make informed business decisions. The report includes the most recent global tariff developments and how they impact the Industrial Carbon Dioxide market.

Global Industrial Carbon Dioxide Market - Key Trends & Drivers Summarized

How Has the Industrial Landscape Shifted with the Rising Utilization of Carbon Dioxide?

The industrial carbon dioxide market has witnessed transformative shifts in recent years, spurred by evolving industrial applications, tightening environmental policies, and advancements in carbon capture technologies. Traditionally viewed as a greenhouse gas with detrimental environmental consequences, carbon dioxide is increasingly being harnessed as a valuable industrial feedstock. Sectors such as food and beverage, healthcare, welding and metal fabrication, and oil recovery have significantly scaled up their consumption of CO2. In the food and beverage sector, CO2 is widely used for carbonation, refrigeration, and packaging, while in healthcare, it plays a critical role in surgeries, cryotherapy, and respiratory treatments. Simultaneously, as industries pivot toward greener practices, carbon dioxide captured from industrial emissions is being redirected into commercial use rather than being released into the atmosphere. The growing deployment of Carbon Capture and Storage (CCS) and Carbon Capture, Utilization and Storage (CCUS) systems has provided a much-needed infrastructure for capturing CO2 efficiently. These systems are being increasingly integrated with ammonia plants, ethanol production units, and natural gas processing facilities, especially across North America and Europe. The result is a multi-pronged value chain that not only reduces emissions but also commercializes CO2, thereby altering its perception from pollutant to resource.

Why Is Demand Surging in Non-Traditional Sectors and Emerging Markets?

A striking trend in the industrial CO2 market is the expanding demand from non-traditional and emerging sectors, alongside robust activity in developing economies. While legacy sectors like carbonated drinks and fire extinguishers continue to be significant users, industries such as green building materials, synthetic fuels, and alternative proteins are increasingly absorbing CO2 into their processes. The cement industry, for example, has begun utilizing carbon dioxide in the curing process of concrete to enhance material properties while reducing emissions. Additionally, the burgeoning field of algae-based biofuels, which consumes CO2 for biomass cultivation, represents a niche but high-potential application. Another noteworthy development is the application of industrial carbon dioxide in dry ice production, a sector that experienced dramatic growth during the COVID-19 pandemic for vaccine storage and continues to remain important for cold chain logistics. Meanwhile, Asia-Pacific, especially countries like China, India, and Indonesia, is emerging as a hotspot for market growth. These nations are investing in expanding industrial infrastructure and are simultaneously implementing stricter emissions control laws, thereby boosting the availability and use of captured CO2. Moreover, localized production supported by governmental initiatives is reducing reliance on imports and making the market more resilient to global supply shocks.

Could Innovation in CO2 Conversion Redefine the Industrial Value Chain?

One of the most disruptive trends in the industrial carbon dioxide market is the rapid pace of innovation in CO2 conversion technologies. Scientific advancements have paved the way for novel methods of converting CO2 into value-added chemicals, fuels, and materials. For example, electrochemical and photochemical conversion processes are being developed to transform carbon dioxide into methanol, formic acid, and even polymers. These technologies are of particular importance to industries aiming to decarbonize their operations without compromising profitability. The automotive and plastics industries are exploring CO2-derived polyols for use in foam production and vehicle interiors. Furthermore, start-ups and research institutions are collaborating with industrial players to commercialize artificial photosynthesis and direct air capture (DAC) technologies, both of which have the potential to create circular carbon economies. Importantly, these innovations are being supported by a wave of new patents, international research grants, and private-sector investment, particularly in Europe and the U.S. The outcome is a market environment where carbon dioxide is not just a byproduct but a building block for a wide range of sustainable solutions. Such developments are also helping industries meet net-zero goals, thereby aligning economic growth with climate responsibility in an unprecedented manner.

What's Fueling the Acceleration of Market Growth?

The growth in the industrial carbon dioxide market is driven by several factors that reflect the intersection of technological advancement, end-user behavior, and global policy shifts. The first major driver is the scaling of carbon capture infrastructure across industrial plants, refineries, and power stations, which has dramatically increased the availability of high-purity CO2 for downstream use. Another significant force is the growing demand from the food and beverage industry for processed and packaged goods, especially in emerging markets where urbanization and changing dietary habits are accelerating consumption. Thirdly, the expansion of the pharmaceutical and healthcare sectors, particularly in respiratory therapy and surgical applications, has fueled sustained CO2 demand. Additionally, enhanced oil recovery (EOR) remains a key segment, particularly in North America, where CO2 injection technologies are prolonging the life of mature oil fields. The market is also benefiting from the rising adoption of CO2-based refrigeration systems, especially in Europe, where hydrofluorocarbon (HFC) alternatives are being phased out due to their high global warming potential. Furthermore, the increase in clean energy initiatives is catalyzing the use of CO2 in power-to-gas and synthetic fuel production. Finally, government mandates encouraging net-zero goals are pushing industries to adopt CO2 reuse technologies rather than incur carbon taxes or emission penalties. These cumulative forces are reinforcing a robust growth trajectory for the global industrial carbon dioxide market.

Scope Of Study:

The report analyzes the Industrial Carbon Dioxide market in terms of units by the following Segments, and Geographic Regions/Countries:

Segments: Source (Natural Gas Processing Source, Ammonia Plants Source, Ethanol Plants Source, Production Wells Source, Other Sources); Application (EOR Application, Ammonia Synthesis Application, Carbonation Application, Shielding & Inert Gas Application, Dry Ice Application); End-Use (Food & Beverages End-Use, Oil & Gas End-Use, Chemicals End-Use, Building & Construction End-Use, Medical & Pharmaceuticals End-Use, Metal End-Use, Rubber & Plastic End-Use, Other End-Uses)

Geographic Regions/Countries: World; United States; Canada; Japan; China; Europe (France; Germany; Italy; United Kingdom; Spain; Russia; and Rest of Europe); Asia-Pacific (Australia; India; South Korea; and Rest of Asia-Pacific); Latin America (Argentina; Brazil; Mexico; and Rest of Latin America); Middle East (Iran; Israel; Saudi Arabia; United Arab Emirates; and Rest of Middle East); and Africa.

Key Insights:

• Market Growth: Understand the significant growth trajectory of the Natural Gas Processing Source segment, which is expected to reach US$2.0 Billion by 2030 with a CAGR of a 3.1%. The Ammonia Plants Source segment is also set to grow at 1.5% CAGR over the analysis period.
• Regional Analysis: Gain insights into the U.S. market, estimated at $1.4 Billion in 2024, and China, forecasted to grow at an impressive 4.5% CAGR to reach $1.1 Billion by 2030. Discover growth trends in other key regions, including Japan, Canada, Germany, and the Asia-Pacific.

Why You Should Buy This Report:

• Detailed Market Analysis: Access a thorough analysis of the Global Industrial Carbon Dioxide Market, covering all major geographic regions and market segments.
• Competitive Insights: Get an overview of the competitive landscape, including the market presence of major players across different geographies.
• Future Trends and Drivers: Understand the key trends and drivers shaping the future of the Global Industrial Carbon Dioxide Market.
• Actionable Insights: Benefit from actionable insights that can help you identify new revenue opportunities and make strategic business decisions.

Key Questions Answered:

• How is the Global Industrial Carbon Dioxide Market expected to evolve by 2030?
• What are the main drivers and restraints affecting the market?
• Which market segments will grow the most over the forecast period?
• How will market shares for different regions and segments change by 2030?
• Who are the leading players in the market, and what are their prospects?

Report Features:

• Comprehensive Market Data: Independent analysis of annual sales and market forecasts in US$ Million from 2024 to 2030.
• In-Depth Regional Analysis: Detailed insights into key markets, including the U.S., China, Japan, Canada, Europe, Asia-Pacific, Latin America, Middle East, and Africa.
• Company Profiles: Coverage of players such as Air Liquide, Air Products and Chemicals, Inc., Asia Industrial Gases Pte Ltd, BASF SE, Bhuruka Gases Ltd. and more.
• Complimentary Updates: Receive free report updates for one year to keep you informed of the latest market developments.

Some of the 48 companies featured in this Industrial Carbon Dioxide market report include:

• Air Liquide
• Air Products and Chemicals, Inc.
• Asia Industrial Gases Pte Ltd
• BASF SE
• Bhuruka Gases Ltd.
• Buzwair Industrial Gases Factories
• Ellenbarrie Industrial Gases Ltd.
• Gulf Cryo
• INOX Air Products Ltd.
• Linde plc
• Matheson Tri-Gas, Inc.
• Messer Group GmbH
• Nippon Gases
• Norco, Inc.
• Praxair Technology, Inc.
• SOL Group
• SICGIL India Limited
• Southern Industrial Gas Sdn Bhd
• Taiyo Nippon Sanso Corporation
• Yingde Gases Group Company Limited

This edition integrates the latest global trade and economic shifts as of June 2025 into comprehensive market analysis. Key updates include:

• Tariff and Trade Impact: Insights into global tariff negotiations across 180+ countries, with analysis of supply chain turbulence, sourcing disruptions, and geographic realignment. Special focus on 2025 as a pivotal year for trade tensions, including updated perspectives on the Trump-era tariffs.
• Adjusted Forecasts and Analytics: Revised global and regional market forecasts through 2030, incorporating tariff effects, economic uncertainty, and structural changes in globalization. Includes segmentation by product, technology, type, material, distribution channel, application, and end-use, with historical analysis since 2015.
• Strategic Market Dynamics: Evaluation of revised market prospects, regional outlooks, and key economic indicators such as population and urbanization trends.
• Innovation & Technology Trends: Latest developments in product and process innovation, emerging technologies, and key industry drivers shaping the competitive landscape.
• Competitive Intelligence: Updated global market share estimates for 2025, competitive positioning of major players (Strong/Active/Niche/Trivial), and refined focus on leading global brands and core players.
• Expert Insight & Commentary: Strategic analysis from economists, trade experts, and domain specialists to contextualize market shifts and identify emerging opportunities.
• Complimentary Update: Buyers receive a free July 2025 update with finalized tariff impacts, new trade agreement effects, revised projections, and expanded country-level coverage.