Carbon Dioxide Market Size, Share & Analysis Report By Source (Hydrogen, Ethyl Alcohol, Ethylene Oxide, Substituted Natural Gas), By Application (Food & Beverages, Oil & Gas, Medical), and Regional Forecasts, 2023 - 2030

Report Overview

The Carbon Dioxide Market was valued at 11.02 Billion in 2022 and expected to grow at CAGR of 5.9% over forecast period. 

As global warming and carbon emissions become more prominent, CO2 is being targeted for capture and utilization in a variety of industries, including carbon capture and storage (CCS), enhanced oil recovery (EOR), and food and beverage production. By promoting CO2 mitigation technologies, government policies and international agreements aimed at reducing greenhouse gas emissions accelerate market growth. CO2 capture, utilization, and storage techniques have advanced in line with global efforts to transition to a low-carbon economy.

The need to achieve carbon neutrality, improve energy efficiency, and implement circular economy practices drives the demand for CO2 as a valuable resource. Collaborations between industries, research institutions, and regulatory bodies foster innovation by refining CO2 utilization technologies, optimizing efficiency, and contributing to a more sustainable future by harnessing CO2 for a variety of applications that reduce environmental impact and promote resource efficiency.

Source Outlook

Based on Source, the Carbon Dioxide Market is segmented into Hydrogen, Ethyl Alcohol, Ethylene Oxide, Substituted Natural Gas. Ethyl Alcohol segment accounted for largest share in 2022. Ethanol has demonstrated potential as a solvent and absorbent for CO2 capture, and research into its effectiveness in reducing greenhouse gas emissions from industrial processes is ongoing. The ability of ethanol to interact with CO2 and form stable compounds opens up possibilities for carbon capture technologies. The pressing need to address climate change, reduce carbon emissions, and develop innovative solutions is driving up demand for CO2 capture and utilization technologies.

The incorporation of hydrogen into the carbon dioxide (CO2) market is being driven by a dynamic mix of factors emphasizing hydrogen's critical role in decarbonization, renewable energy integration, and sustainable practices. Hydrogen produced using environmentally friendly methods such as electrolysis can be used in processes such as carbon capture, resulting in the formation of compounds that reduce CO2 emissions.

Application Outlook

Based on Application, Carbon Dioxide Market is segmented into Food & Beverages, Oil & Gas, Medical. Food & Beverages accounted for largest share in 2022. One of the significant drivers in the Food & Beverages carbon dioxide market is the growing demand for carbonation in various beverages. Carbon dioxide (CO2) is a key component used to create the effervescence in carbonated drinks, enhancing their taste, texture, and consumer appeal. As consumer preferences continue to evolve towards a wide range of carbonated beverages such as sodas, sparkling water, and alcoholic beverages, the demand for CO2 remains robust. Additionally, the trend towards sustainable and eco-friendly practices in the food and beverage industry has led to a focus on utilizing CO2 captured from industrial processes, reducing emissions and promoting circular economy principles. 

During laparoscopic and endoscopic procedures, medical-grade carbon dioxide is insufflated to provide a clear surgical field by displacing surrounding tissues and improving visibility. Furthermore, CO2's use as a contrast agent in medical imaging techniques such as angiography and radiography contributes to its rising demand.

Regional Outlook

North America is emerged as leading market for Carbon Dioxide Market in 2022. The increasing adoption of carbon dioxide capture, utilization, and storage (CCUS) technologies to reduce greenhouse gas emissions is a significant driver in the North American carbon dioxide market. As governments and industries in North America ramp up their efforts to combat climate change, there is a growing emphasis on reducing carbon dioxide emissions from industrial processes and power generation. 

Europe is expected to be the second-most prominent area in terms of Carbon Dioxide Market share. As Asia Pacific countries experience robust economic growth, industries are looking for efficient and sustainable solutions for processes such as food preservation, water treatment, and welding, in which carbon dioxide plays a critical role. Furthermore, rising environmental awareness and the implementation of regulations to reduce emissions are encouraging investments in carbon capture, utilization, and storage (CCUS) technologies, propelling the market forward even further.

Carbon Dioxide Market Report Scope

Global Carbon Dioxide Market Report Segmentation

Carbon Dioxide Market, By Source

• Hydrogen
• Ethyl Alcohol
• Ethylene Oxide
• Substituted Natural Gas

Carbon Dioxide Market, By Application

• Food & Beverages
• Oil & Gas
• Medical

Carbon Dioxide Market, Regional Outlook

North America

• U.S.
• Canada
• Mexico

Europe

• Germany
• UK
• Spain
• Russia
• France
• Italy

Asia Pacific 

• China 
• Japan
• India
• South Korea
• Australia 

CSA

• Brazil
• Argentina 

MEA

• UAE
• Saudi Arabia
• South Africa