According to a report by Technavio, the global fuel cell market is poised for substantial growth, with a forecasted CAGR of 30.57% from 2024 to 2028. The market expansion is primarily attributed to increasing demand for clean energy solutions, government incentives, and ongoing technological advancements.
The report highlights key market drivers, including the adoption of fuel cell vehicles powered by PEM and SOFC technology. These vehicles offer reduced environmental impact and lower carbon emissions compared to traditional internal combustion engine vehicles. Additionally, the integration of fuel cells in data centers and UPS systems is boosting market growth due to their enhanced energy and water management capabilities.
The market is segmented by type, with Proton Exchange Membrane Fuel Cells (PEMFCs) dominating the landscape. PEMFCs offer advantages such as water-based electrolyte, lower operating temperatures, fast start-up times, and higher efficiency. Major players like Ballard Power Systems and PLUG POWER are actively involved in the development and production of PEMFCs.