Fuel Cell Electrolyte Market size will expand at a decent CAGR growth rate from 2022 to 2028. Increasing application of fuel cell technology across several industrial verticals like automobiles, aircraft, military, and defense, power generation will fuel the demand for fuel cell electrolytes in the foreseeable future. Growing population across the globe leading to an upsurge in demand for public and private transport vehicles will bolster the industry outlook during the projected timeframe.
There has been a considerable rise in public awareness towards the efficient utilization of clean energy resources. Rising concerns about climate change and carbon footprint along with stringent government regulations to reduce the emissions of toxic pollutants and greenhouse gases will further support the market forecast over the analysis period.
Furthermore, increasing number of R&D activities and collaborations by key players coupled with rising prices and depleting stocks of fossil fuels may propel the fuel cell electrolyte market growth. However, high installation charges and limited hydrogen infrastructure may hamper the industry expansion.
The caustic potash solution segment may drive significant momentum during the projection period given to its extensive application in alkali fuel cells. Alkali fuel cells offer high performance due to the fast-paced chemical reactions taking place inside the cells. Also, they have illustrated efficiencies of over 60% in space applications, further pushing the segment growth in the forthcoming years.
SOFC may lend significant impetus to the fuel cell electrolyte market driven by its several benefits. These cells offer high CHP efficiency and power generation and are fuel flexible, enabling them to provide ease of operation across industrial applications.
Polymer membrane electrolyte fuel cells are gaining immense popularity and may continue the trend in the upcoming years. These cells are considered ideal for powering automobiles and stationary power production. They work at a relatively low temperature and can vary their output quickly to meet shifting power demands.
The Asia Pacific and North America regions may experience substantial progression driven by the strict government norms to reduce carbon footprints and the surging demand for fuel cell automobiles. Rising R&D investments for technological advancement sand improved infrastructure in North America will boost the fuel cell electrolyte market demand.
In December 2021, Sentient labs, a subsidiary of KPIT technologies Ltd., indigenously developed India's first Hydrogen fuel cell bus in collaboration with CSIR, NCL, and CSIR-CECRI with a vision to build sustainable mobility solutions.
Some of the notable players of the fuel cell electrolyte industry include SOFC Power, Fuel Cell Energy, Novofuel, Delphi, Ultra Electronics Ami, Aisin Seiki, Aquafairy, Hexis, Watt Fuel Cell, Danthem Power, ACAL Energy, Symbio FCell, Oorja Protonics, Baxi Innotech, Ceres Power Holdings, Infinitium Fuel Cell Systems, EnergyOr, H2 Logic, Intelligent Energy Acumentrics, Ceramic Fuel Cells, Protonex Technology, and Electro Power Systems.
The advent of the global pandemic adversely affected the fuel cell electrolyte market during 2020. Implementation of strict lockdown restrictions across major economies of the world resulted in an economic slowdown and investment deficits severely impacting the industry growth. In addition, declining disposable incomes significantly reduced the leisure expenditure on automobiles which further hampered the market outlook.
However, industry players are adopting different strategies to maintain their operational efficiency. Alongside, governments have also taken necessary initiatives to help companies fill their revenue gap that will ensure industry expansion over the next few years.