Hydrogen Aircraft Market Expected to Reach $489 Billion by 2050

According to a new report published by Allied Market Research, titled, “Hydrogen Aircraft Market," The hydrogen aircraft market was valued at $27.7 billion in 2030, and is estimated to reach $489 billion by 2050, growing at a CAGR of 15.4% from 2030 to 2050.

Hydrogen aircraft market is expected to grow significantly owing to the urgency to transition toward sustainability, with hydrogen emerging as a promising solution due to its potential to decarbonize aviation. The CEOs and executives of various companies underscore the urgency and importance of transitioning aviation toward sustainability through the adoption of alternative propulsion technologies, particularly hydrogen. David Morgan, Chief Operating Officer, easyJet stated that the easyJet company aims to reduce carbon emissions. He mentioned that hydrogen is capable of decarbonizing short-haul flights due to its higher energy density and potential to minimize or eliminate non-CO2 emissions.The hydrogen aircraft market size has expanded significantly as advancements in hydrogen fuel technology and environmental concerns drive demand for sustainable aviation solutions.

Moreover, Val Miftakhov, Founder and CEO, ZeroAvia acknowledges the significance of understanding the mitigation of aviation's climate impact with battery and hydrogen-powered flight. He believes that hydrogen fuel cell aircraft is expected to be a suitable solution for balancing electrification benefits with aircraft design requirements. Similarly, Glenn Llewellyn, Vice President, Zero-Emission Aircraft, Airbus acknowledges the importance of innovative technologies in significantly reducing aircraft emissions in the next decade. According to him, Alternative hydrogen propulsion is seen as a crucial technology by Airbus to bring zero-emission commercial aircraft to the market by 2035, aligning with the industry's collective commitment to sustainability.

Proactive government initiatives aimed at advancing hydrogen-powered aircraft offer substantial opportunities for the development and acceptance of this cutting-edge technology. Governments wield major influence in shaping policies, regulations, and incentives that expedite the progress and implementation of hydrogen aircraft. Through the introduction of supportive measures such as research grants, subsidies, tax breaks, and regulatory frameworks, governments stimulate investment in hydrogen aviation ventures and foster collaboration among industry players.The hydrogen aircraft market size is expected to expand as aerospace companies and governments worldwide increasingly invest in research and development to propel the adoption of hydrogen-powered aircraft.

The hydrogen aircraft market share is steadily increasing as aerospace companies compete to establish their presence and capitalize on the growing demand for eco-friendly aviation solutions. Moreover, government-driven efforts facilitate the establishment of essential infrastructure for hydrogen production, storage, and distribution, effectively addressing key adoption challenges. For instance, in February 2023, the UK government announced an investment of $140 million in hydrogen and all-electric flight technologies to revolutionize air travel and achieve guilt-free, zero-emission flights. Collaborating with industry partners under the Aerospace Technology Institute (ATI) Programme, the government aims to drive innovation and accelerate the development of zero-emission aviation solutions. Such proactive government backing has the potential to spur innovation and technological advancements in the aerospace sector by allocating funds for research and development endeavors related to hydrogen propulsion systems and infrastructure.

Furthermore, the governments of various countries aim to create innovation in sustainable aviation and reduce carbon emissions from air travel. For instance, in April 2024, the Japanese government announced its investment of $110 million (¥17.3bn) in two hydrogen research projects which underscores its commitment to advancing hydrogen propulsion technology for aviation. One of these projects aims to develop and demonstrate a massive 4MW fuel cell propulsion system for use in aircraft, which would be the largest of its kind globally. innovation in sustainable aviation and reducing carbon emissions from air travel. The hydrogen aircraft market forecast indicates a promising trajectory, with projections suggesting substantial growth driven by advancements in technology and supportive regulatory measures promoting the adoption of hydrogen-powered aviation. The hydrogen aircraft market analysis reveals a landscape with significant potential, marked by increasing investment, technological innovation, and a growing emphasis on sustainability within the aviation industry.

Companies develop sustainable aviation solutions to mitigate climate change and reduce the environmental footprint of the aviation industry. For instance, in July 2023, ZeroAvia completed its initial prototype ZA600, retrofitted 19-seat aircraft flight testing campaign at Cotswold Airport in the UK. The campaign involved testing a Dornier 228 aircraft retrofitted with ZeroAvia's hydrogen-electric engine, marking a significant milestone in the development of hydrogen-powered aviation technology. Therefore, development of various prototypes of hydrogen aircraft with less than 100 passenger capacity is expected to drive the segmental growth in the future.Thus, the hydrogen aircraft industry represents a significant shift towards sustainable aviation, driven by the urgent need to reduce carbon emissions and mitigate environmental impact.

Governments, especially in Europe, are funding the development of hydrogen aircraft that carry up to 200 passengers. For instance, in March 2024, the Hydrogen in Aviation Alliance (HIA), consisting of prominent players in the aviation industry, such as easyJet and Airbus, requested the UK government to develop a clear strategic plan for the commercialization of hydrogen-fueled passenger planes. Airbus, as part of the Hydrogen in Aviation Alliance, aims to operate hydrogen-fueled passenger planes with at least 100 seats by 2035.

Moreover, companies are focusing on developing hydrogen propulsion systems specifically intended for larger aircraft having a seating capacity of around 100 passengers. For instance, in March 2023, ZeroAvia, a developer of hydrogen-electric aircraft propulsion systems, reported significant progress in testing its high-temperature proton exchange membrane (HTPEM) systems within its hydrogen fuel cells. It is expected to enable electric propulsion systems to become feasible for large aircraft capable of seating over 100 passengers, such as the Boeing 737 and Airbus A320 families.

Several leading manufacturers are focusing on development of full-scale hydrogen-fueled aircraft that are able to carry more than 200 passengers as large capacity aircraft are anticipated to be in high demand in the future. For instance, in 2020, Airbus revealed three concepts for the hydrogen-powered zero-emission commercial aircraft with 120-200 passenger capacity and a range of 2,000+ nautical miles, which could enter service by 2035. Such factors are expected to fuel the hydrogen aircraft industry growth in the future.

KEY FINDINGS OF THE STUDY

• By passenger capacity, the more than 200 segment is anticipated to exhibit significant growth in the near future.
• By range, the short long haul segment is anticipated to exhibit significant growth in the near future.
• By application, the cargo aircraft segment is anticipated to exhibit significant growth in the near future.
• By power source, the hydrogen fuel cell aircraft segment is anticipated to exhibit significant growth in the near future.
• By power output, the 1MW and above segment is anticipated to exhibit significant growth in the near future.
• By region, Asia-Pacific is anticipated to register the highest CAGR during the forecast period.

Key players operating in the global hydrogen aircraft market include Thales, AeroVironment, Inc., GKN AEROSPACE, PIPISTREL, URBAN AERONAUTICS LTD, Alaka'I, Airbus, AeroDelft, HES Energy Systems, and ZeroAvia, Inc.