The green ammonia market is anticipated to advance at a phenomenal rate of 90 percent over the next decade, according to the Green Ammonia Market report by Future Market Insights.

The study on the green ammonia market finds that solar and wind energy have advanced at a higher pace than other renewable energy, thanks to rising investment and reduced power generation costs.

The switch to renewables, productivity, and automation, as per the Global Renewables Outlook 2020, will drive socioeconomic development. Therefore, rising green ammonia production and underlying storage requirements will push the green ammonia market forward.

By the end of 2028, the European green ammonia market is expected to have the largest market share and generate revenue of $558.03 million, up from $7.49 million in 2019, thanks to an estimated CAGR of 65.37 percent over the forecast period of 2022-2032. Asia Pacific is expected to hold the second-largest market share, with a revenue potential of $190.69 million.

As for individual countries, The Netherlands is likely to have the largest market revenue of $227.12 million in 2028, while Germany's market is expected to grow at the fastest rate of 86.35 percent over the forecast period.

The capital-intensive nature of green ammonia plants is a major hindrance to the market's advancement. General ammonia manufacturers will not be able to move from traditional ammonia production to green ammonia production unless the cost of renewable energy and electrolyzers drops further.

The marine industry is undergoing a major transformation. The maritime industry is under pressure to reduce emissions by switching to cleaner energy sources, which is likely to be a pathway for green ammonia producers to capture more revenue.

The green ammonia market is segmented based on technology into alkaline water electrolysis, proton exchange membrane, and solid oxide electrolysis. Amongst these green ammonia technology segments, the solid oxide electrolysis segment is anticipated to hold the largest market revenue of $496.38 million by the end of 2028, up from $7.89 million in 2019. Europe will be the largest market for this as well with $323.67 million in 2028.

As per the green ammonia market trends during the forecast period, the alkaline water electrolysis segment in the Netherlands is expected to grow at the highest rate of 57.2 percent.

The main problem with the adoption of green ammonia is a lack of awareness among chemical manufacturers. For the green ammonia production process, the largest chemical companies in China, Japan, and Russia continue to use natural gas steam methanation technology. With increased knowledge of electrolysis technology and lower costs of renewable energy generation, the market for green ammonia is likely to rise throughout the forecast period.

“The secret to meeting the dual concerns of growth and environment-friendliness of the twenty-first century is green ammonia. By switching to renewable electricity to make ammonia, CO2 emission of about 40 million tons of CO2 can be curbed in Europe alone and over 360 million tons worldwide. As a result, the green ammonia market prospect is high and lucrative,” said the research analyst.