H2-ICE Market Emerging Trends, Opportunities and Competitive Benchmarking

H2-ICE Market Size, Trajectory, Investment Hotspots and Emerging Technologies

The H2-ICE market is forecast to grow from USD 9.60 million in 2025 to USD 25361.35 million by 2034, driven by a CAGR of 140% from 2025 to 2034.

Introduction

The H2-ICE market is a prominent branch of the automotive industry. This market deals in manufacturing and distribution of hydrogen internal combustion engine in different parts of the world. These engines are based on different combustion modes comprising of Port fuel injection with spark ignition (PFI-SI), High pressure direct injection (HPDI), Early cycle direct injection with spark ignition (ECDI-SI) and some others. It finds application in various types of vehicles including trucks & buses, construction equipment, mining equipment, crawler excavator, tractors and some others. The rising emphasis on lowering CO2 emission in the environment has boosted the market expansion. This market is projected to rise significantly with the growth of the hydrogen manufacturing sector across the globe.

• According to the Our World in Data, the global CO2 emission in 2020 was 35.13 billion tons that increased to 37.79 billion tons in 2023.

Highlights of the H2-ICE Market

• Europe held the largest share of the H2-ICE market due to the presence of various specialty vehicle companies in this region.
• Asia Pacific is expected to grow with a significant CAGR due to numerous government initiatives aimed at strengthening the hydrogen infrastructure across this region.
• The construction & mining segment held the largest share of the market due to the rapid infrastructural developments around the world.
• The high-pressure direct injection (HPDI) segment led the industry due to the growing emphasis on reducing emission in the environment.

Key Metrics and Overview

H2-ICE: Trends in the Industry

• The automotive brands are increasing their focus on developing hydrogen engines to curb emission in the environment.
• Several truck brands are collaborating with each other for launching hydrogen trucks with an aim for adopting sustainable transportation.
• Government of various countries are investing heavily for strengthening the hydrogen infrastructure.
• Numerous startup companies are opening up new hydrogen refueling stations to generate significant revenue in the upcoming days.

Industry Leader Announcement

In May 2024, Jan Hjelmgren, the Head of Product Management and Quality at Volvo Trucks announced that,” Trucks where the traditional internal combustion engine remains but runs on hydrogen will have the same performance and reliability as our diesel trucks, but with the added benefit of potentially net zero CO2 emissions well-to-wheel. They will be a valuable complement to our battery electric trucks, which have been on the market for several years.”

Geographical Insights

Europe held the highest share of the H2-ICE market. The rising demand for eco-friendly vehicles in several countries such as Germany, France, UK and some others has boosted the market expansion. Also, the rapid investment by government to develop the hydrogen infrastructure is crucial for the industrial growth. Moreover, the presence of various commercial vehicle manufacturers including Volvo, Man Trucks, Scania and some others is expected to drive the growth of the H2-ICE market in this region.

Competitive Landscape

The H2-ICE market is a consolidated industry with the presence of a few dominating players. Some of the prominent companies in this industry consists of Cummins, Deutz AG, Ashok Leyland, Garett, JCB, Keyou, Liebherr, MAN Trucks and some others. These companies are constantly engaged in developing hydrogen engines and adopting numerous strategies to maintain their dominance in this industry.

• According to the annal report of Deutz, the revenue of the company in 2022 was 1892.1 million euros that increased to 2063.2 million euros in 2023.

Market Segmentations

By Vehicle

• Trucks & buses
• Construction equipment
• Mining equipment
• Crawler excavator
• Tractor
• Others

By Combustion

• Port fuel injection with spark ignition (PFI-SI)
• High pressure direct injection (HPDI)
• Early cycle direct injection with spark ignition (ECDI-SI)

By Power Output

• Below 300 HP
• Above 300 HP

By Region

• North America
• Europe
• Asia Pacific
• Latin America
• Middle East and Africa