United Kingdom Carbon Dioxide Market Outlook

The United Kingdom’s carbon dioxide (CO2) market has been witnessing a steady growth trajectory, reaching a volume of 725.80 KMT in 2024. With its projected growth at a CAGR of 1.50% during the forecast period of 2025-2034, the market is poised to achieve a volume of 842.32 KMT by 2034. This growth is underpinned by various factors such as increasing demand from industries like food and beverage, healthcare, and manufacturing, as well as technological advancements in CO2 capture and storage solutions.

Market Overview

Carbon dioxide, a versatile compound, is extensively used across diverse industries. In the UK, it finds application in food and beverage production, medical procedures, chemical manufacturing, and as a key component in green technologies such as enhanced oil recovery and carbon sequestration. The market’s growth is being driven by the rising focus on sustainability and stringent environmental regulations.

Key Statistics:

  • Market Volume in 2024: 725.80 KMT

  • Projected Market Volume by 2034: 842.32 KMT

  • CAGR (2025-2034): 1.50%

Get a Free Sample Report with Table of Contents@ https://www.expertmarketresearch.com/reports/united-kingdom-carbon-dioxide-market/requestsample

Drivers of Growth

  1. Rising Demand in Food and Beverage Industry:

    • The food and beverage sector remains the largest consumer of CO2 in the UK. Carbon dioxide is used for carbonation in beverages, modified atmosphere packaging (MAP) for extending the shelf life of food products, and flash freezing processes. With the growing consumption of ready-to-eat meals and beverages, the demand for CO2 is set to increase significantly.

  2. Advancements in Carbon Capture and Storage (CCS):

    • The UK government’s commitment to achieving net-zero emissions by 2050 has spurred investment in CCS technologies. CO2 captured from industrial processes is being repurposed or stored underground to mitigate climate change, creating a circular economy for carbon usage.

  3. Healthcare Industry Applications:

    • In the medical field, CO2 is widely used for minimally invasive surgeries, respiratory stimulation, and as an insufflation gas in laparoscopy. The growing adoption of advanced healthcare procedures is further fueling demand.

  4. Growing Focus on Green Technologies:

    • Enhanced oil recovery (EOR) using CO2 and other sustainable industrial applications are gaining prominence. Additionally, the development of bio-based CO2 solutions and its utilization in producing sustainable fuels are adding momentum to market growth.

Challenges Facing the Market

  1. Supply Chain Disruptions:

    • Dependence on by-product CO2 from industries like ammonia production can lead to supply shortages, as witnessed during recent plant closures. Developing alternative CO2 sources is critical to ensuring market stability.

  2. Stringent Environmental Regulations:

    • While environmental policies drive CCS adoption, compliance costs for industries generating CO2 can be a significant challenge. Transitioning to low-carbon operations often requires substantial investment.

  3. Volatility in Energy Prices:

    • Energy-intensive processes involved in CO2 production are impacted by fluctuating energy costs, which can indirectly affect CO2 pricing.

Industry Segmentation

  1. By Source:

    • Natural Sources: Extraction from underground reservoirs.

    • Industrial By-products: CO2 captured during ammonia and ethanol production or other chemical processes.

  2. By Application:

    • Food & Beverage: Carbonation, freezing, and packaging.

    • Healthcare: Medical-grade CO2 for surgeries and therapy.

    • Industrial Uses: Welding, fire suppression, and chemical synthesis.

    • Environmental Applications: Carbon sequestration and EOR.

  3. By End-User Industry:

    • Food and Beverage

    • Healthcare

    • Oil & Gas

    • Manufacturing

Competitive Landscape

The UK carbon dioxide market comprises several prominent players, each contributing to the industry’s evolution with innovative solutions and robust supply chains. Leading companies in the sector include:

  • BOC Limited: A pioneer in industrial gases, offering comprehensive CO2 solutions.

  • Air Products PLC: Known for its extensive portfolio of CO2 applications.

  • Air Liquide UK Ltd.: A key player leveraging advanced technologies to ensure consistent CO2 supply.

  • Nippon Gases UK Limited: Specializes in high-purity CO2 for diverse industries.

  • PROGASES (UK) Ltd: Focuses on niche applications and customer-specific requirements.

Trends Shaping the Market

  1. Sustainability Initiatives:

    • Companies are increasingly adopting sustainable practices, such as utilizing renewable energy for CO2 production and focusing on recycling and reuse.

  2. Technological Innovations:

    • Developments in direct air capture (DAC) technologies are enabling the extraction of CO2 directly from the atmosphere, opening new avenues for the market.

  3. Partnerships and Collaborations:

    • Industry players are forming strategic alliances to expand their footprints and enhance their technological capabilities.

  4. Government Policies and Incentives:

    • Policies aimed at reducing carbon footprints and encouraging CCS adoption are providing a conducive environment for market growth.

Future Outlook

The UK carbon dioxide market is expected to grow steadily, supported by technological advancements and increasing demand from key industries. Investments in CCS and DAC technologies are set to redefine the market’s landscape, ensuring sustainable growth. Additionally, expanding applications in emerging sectors like alternative fuels and synthetic biology hold promise for further market expansion.

Media Contact:

Company Name: Claight Corporation
Contact Person: Eren smith, Corporate Sales Specialist – U.S.A.
Email: [email protected]
Toll Free Number: +1-415-325-5166 | +44-702-402-5790
Address: 30 North Gould Street, Sheridan, WY 82801, USA
Website: https://www.expertmarketresearch.com
Aus. Site: https://www.expertmarketresearch.com.au