U.S. Carbon Dioxide Market (By Source: Hydrogen, Ethyl Alcohol, Ethylene Oxide, SNG; By Application: Food & Beverages, Fire Fighting, Oil & Gas, Medical, Rubber) - Global Industry Analysis, Size, Share, Growth, Trends, Revenue, Regional Outlook and Forecast 2022-2030

The U.S. carbon dioxide market was valued at USD 3,190.61 million in 2021 and it is predicted to surpass around USD 6.79 billion by 2030 with a CAGR of 8.75% from 2022 to 2030

Report Highlights

• In terms of revenue, ethyl alcohol accounted for the largest share of 32.11% in 2021. 
• In terms of revenue, the food & beverages segment led the market in 2021 by accounting for a share of 30.2% of the market. 

Increasing usage of carbon dioxide for Enhanced Oil Recovery (EOR) in oil & gas plants is anticipated to result in the growth of the market. In terms of revenue, the hydrogen segment accounted for a significant share in 2021. The growth of this segment can be attributed to the presence of leading hydrogen-producing companies in the country that have CO2 manufactured as a byproduct during hydrogen production.

Substitute Natural Gas (SNG) is expected to be one of the major sources of the production of CO2 in the U.S. This is due to a rise in the discovery of natural gas reserves in the U.S. with the deployment of shale technology. The oil & gas application segment accounted for a significant share in 2021 owing to the application of carbon dioxide-based EOR in oil fields of the U.S. for efficient and effective oil production. Moreover, the usage of CO2 in the food & beverages and medical industries is anticipated to increase in the U.S. over the forecast period.

The growth of this segment can be attributed to the presence of a large base of food and beverage manufacturing facilities in the country, which is projected to expand further over the forecast period. The spread of COVID-19 hindered the growth of the market in 2020 and 2021 owing to the factors, such as the reduction in demand for CO2 in the country owing to lockdowns. However, an increase in demand for CO2 from the manufacturers of pharmaceuticals and essential commodities, such as fire safety products, has been witnessed in the U.S., as well as across the world.

Scope of The Report

Source Insights

Based on the source, the market has been segmented into hydrogen, ethyl alcohol, ethylene oxide, substituted natural gas, and others. In terms of revenue, ethyl alcohol accounted for the largest share of 32.11% in 2021. CO2 is obtained as a by-product in the production of ethyl alcohol through alcoholic fermentation. In addition, the combustion of ethanol also leads to the release of CO2 and water vapor. CO2 obtained from these processes is primarily used for food & beverage applications, such as carbonation, and as a chilling, cooling, and freezing agent. Carbon dioxide captured from hydrogen production has increased significantly owing to the need to curb annual CO2 emissions resulting from hydrogen production using coal and natural gas.

Furthermore, initiatives taken by the U.S. government to move toward a hydrogen economy will boost the production of hydrogen coupled with growth in the production of CO2over the forecast period. The production of Substitute Natural Gas (SNG) or synthetic natural gas creates CO2 as a by product. SNG is derived from the gasification of coal and emits other by products, such as hydrogen, carbon monoxide, and methane.  There are different methods for the production of SNG like steam‐oxygen gasification, hydrogasification, and catalytic steam gasification.

Application Insights

Based on application, the market has been segmented into food & beverages, oil & gas, medical, rubber, and others. In terms of revenue, the food & beverages segment led the market in 2021 by accounting for a share of 30.2% of the market. CO2 is used for a wide range of applications in the food & beverage industry. In the food industry, the product is used for Modified Atmospheric Packaging (MAP), chilling & freezing, and controlling the temperature of products during transportation & storage. Due to the ongoing shortage of CO2since, since the start of the COVID-19 pandemic, some food and beverage companies are looking for a replacement for CO2.

Nitrogen is a strong contender as a substitute for CO2. This might hamper the demand for carbon dioxide in the forecast period. Carbon dioxide is an excellent fire suppression agent and is used in a number of fire protection systems. It is used in fire extinguishing systems for inerting, total flooding, and local application. It is used to extinguish the fire by removing oxygen from the surrounding area, which then allows the local application systems to remove the heat by breaking the fire triangle. CO2 fire suppression systems are commonly used for generator rooms, engine rooms, power stations, and large flammable areas.

Though CO2 fire suppression systems are highly efficient, they pose a health risk compared to other agents, and hence, are used in non-occupied environments. Medical-grade CO2 is used as a pure gas or it is mixed with other gases to form specialized mixtures for various purposes including anesthesia, breathing stimulation, and equipment sterilization. It is also used for minimally invasive surgeries, including endoscopy, arthroscopy, and laparoscopy, as an insufflation gas, where it helps expand and stabilize the operating areas for better visibility.

Key Players

• Linde plc
• Air Products Inc.
• Air Liquide
• Matheson Tri-Gas, Inc.
• Messer
• Continental Carbonic Products, Inc.
• Greco Gas Inc.
• Taiyo Nippon Sanso Corporation
• Universal Industrial Gases, Inc.
• Zephyr Solutions, LLC

Market Segmentation

• By Source Outlook

• Hydrogen
• Ethyl Alcohol
• Ethylene Oxide
• Substituted Natural Gas
• Others
• By Application Outlook
• Food & Beverages
• Oil & Gas
• Medical
• Rubber
• Fire Fighting
• Others