The United Kingdom carbon dioxide market is an essential industry in the UK, spanning sectors such as food and beverage, healthcare, and industrial applications. As of 2024, the market attained a volume of 725.80 KMT (kilotons), and it is expected to grow at a CAGR of 1.50% between 2025 and 2034, reaching 842.32 KMT by 2034. This steady growth trajectory can be attributed to several factors, including the increasing demand for CO2 in key industrial applications and technological innovations aimed at more sustainable CO2 production.
In this article, we will provide a comprehensive overview of the United Kingdom carbon dioxide market, discussing its size and share, market dynamics, trends, growth potential, opportunities, challenges, and a competitive analysis.
Overview of the United Kingdom Carbon Dioxide Market
The United Kingdom carbon dioxide market plays a significant role in various sectors such as food and beverage, healthcare, chemical production, and energy. Carbon dioxide is widely used in applications ranging from carbonating beverages to medical treatments, making it a critical resource for numerous industries.
In 2024, the UK carbon dioxide market reached 725.80 KMT, showing the market’s importance across various industries. The market’s steady growth rate, projected at a CAGR of 1.50% between 2025 and 2034, will see its volume rise to 842.32 KMT by 2034.
Key market drivers include the ongoing demand for CO2 in food packaging and preservation, carbon capture technologies, medical procedures, and enhanced oil recovery (EOR) applications. As the UK strives to meet its net-zero emissions target by 2050, the role of CO2 in industrial applications will continue to evolve, with companies innovating in more sustainable and efficient production methods.
Size & Share of the United Kingdom Carbon Dioxide Market
The United Kingdom carbon dioxide market is seeing substantial growth in terms of both volume and value. Below are key statistics and projections that highlight the market’s current standing and future outlook:
Market Volume in 2024:
- 725.80 KMT of carbon dioxide produced and consumed in the UK.
Projected Market Volume by 2034:
- 842.32 KMT, with a CAGR of 1.50% from 2025 to 2034.
This increase in market volume reflects the expanding applications of carbon dioxide in multiple industries, including food and beverage production, pharmaceuticals, chemicals, and energy. Furthermore, CO2 production remains an essential aspect of enhanced oil recovery and greenhouse gas management as industries adopt more sustainable practices.
Market Dynamics & Trends in the United Kingdom Carbon Dioxide Market
The United Kingdom carbon dioxide market is influenced by various dynamics and emerging trends. Understanding these factors is critical for predicting future market behavior and identifying new opportunities.
- Increasing Demand from the Food and Beverage Industry :The food and beverage industry is a key driver for the UK carbon dioxide market. CO2 is crucial for the carbonation of beverages, as well as food preservation through controlled atmosphere packaging (CAP). The market for carbonated drinks, processed foods, and ready-to-eat meals is continually expanding, leading to greater demand for CO2.
- Rise in Carbon Capture and Storage (CCS) Technologies :The UK government’s commitment to achieving net-zero emissions by 2050 has spurred significant advancements in carbon capture and storage (CCS) technologies. These technologies allow for the capture of CO2 emissions from industrial processes and their storage or utilization for other purposes, such as enhanced oil recovery or the production of synthetic fuels.
- Growth in Healthcare Applications :In the healthcare sector, carbon dioxide plays a critical role in various medical applications, such as insufflation during surgeries, where CO2 is used to expand body cavities for better visibility. It is also used in respiratory treatments and the production of medical gases.
- Industrial Use and Enhanced Oil Recovery (EOR) :In addition to food and medical uses, carbon dioxide is heavily used in various industrial applications. CO2 plays a role in chemical manufacturing, welding, and pH control in industrial processes. Additionally, CO2 is employed in enhanced oil recovery (EOR), where it is injected into oil reservoirs to increase production. The demand for CO2 in EOR operations is expected to remain strong, particularly as the UK continues to focus on maximizing its energy resources.
Growth of the United Kingdom Carbon Dioxide Market
The United Kingdom carbon dioxide market is poised for steady growth, driven by several key factors. Industrial expansion, technological advancements, and a supportive regulatory environment will contribute to long-term market development.
- Increasing Industrial Demand :As industries such as steel production, chemical manufacturing, and natural gas processing expand, the demand for CO2 in their respective processes will increase. These industries use CO2 for chemical reactions, pH control, and various other applications. As the UK economy grows, particularly in its industrial and manufacturing sectors, demand for CO2 will see continued growth.
- Technological Innovations and Green Solutions :Technological advancements in CO2 production, such as carbon capture and sequestration technologies, are expected to play a crucial role in expanding the market. New solutions for sustainable CO2 production will help mitigate the environmental impact associated with CO2 emissions. Businesses are also seeking innovative ways to repurpose CO2 into useful products, such as synthetic fuels and chemicals, helping to drive further market growth.
- Supporting Regulatory Frameworks :Government regulations that promote sustainable practices and green technologies are expected to positively impact the UK carbon dioxide market. As the UK pursues its net-zero emissions target, businesses in the market will increasingly be incentivized to adopt more sustainable methods of CO2 production. This regulatory shift will also help create new opportunities for the adoption of carbon capture solutions and CO2 utilization technologies.
Get a Free Sample Report with a Table of Contents:
https://www.expertmarketresearch.com/reports/united-kingdom-carbon-dioxide-market/requestsample
Market Opportunities and Challenges in the United Kingdom Carbon Dioxide Market
The United Kingdom carbon dioxide market presents various opportunities and challenges, which are shaping its future.
Opportunities
- Carbon Capture and Utilization (CCU): The increasing focus on carbon capture and utilization technologies presents a significant growth opportunity. By repurposing CO2 for various industrial applications, such as fuel production or chemicals, businesses can benefit from new revenue streams.
- Healthcare Applications: The growing demand for minimally invasive surgeries and the increasing need for CO2 in respiratory treatments will continue to offer opportunities for growth in the healthcare sector.
- Sustainability Initiatives: The UK’s emphasis on carbon neutrality and green technologies presents opportunities for companies in the CO2 market to engage in sustainable practices, such as green CO2 production and recycling CO2 for use in other applications.
Challenges
- Environmental Impact: As a greenhouse gas, CO2 contributes to global warming, which presents challenges for businesses working to reduce the environmental impact of their operations. Companies must balance demand for CO2 with the need for sustainable and responsible production.
- Regulatory Compliance: Stricter environmental regulations will require companies in the market to invest in compliance with emission reduction targets. This could lead to higher production costs, especially for smaller players in the market.
- Supply Chain Disruptions: CO2 production relies on a complex supply chain, and factors such as fluctuations in natural gas prices, logistical challenges, and supply chain disruptions can impact the availability of CO2 in the market.
Competitor Analysis in the United Kingdom Carbon Dioxide Market
The United Kingdom carbon dioxide market is highly competitive, with several key players involved in the production and distribution of CO2 across various industries.
- BOC Limited (Linde) :BOC Limited is a major player in the United Kingdom carbon dioxide market, offering a wide range of CO2 solutions for industries such as food and beverage, healthcare, and chemical manufacturing. The company is part of the global Linde Group, known for its innovations in gas production and sustainable CO2 solutions.
- Air Liquide UK Ltd :Air Liquide UK Ltd is another key player in the market, providing CO2 for several applications, including food packaging, chemical production, and medical uses. The company is focused on providing environmentally friendly CO2 solutions and is committed to reducing its carbon footprint.
- Nippon Gases :Nippon Gases is a prominent supplier of industrial gases, including CO2, in the UK. The company serves various industries such as food and beverage, pharmaceuticals, and chemical manufacturing. Nippon Gases is also focused on delivering sustainable gas solutions and contributing to carbon reduction strategies.
- Progases (UK) Ltd :Progases (UK) Ltd supplies CO2 to various sectors in the UK, including food, beverage, and medical applications. Known for its customer-centric approach, Progases provides tailored CO2 solutions to meet the specific needs of its clients.
- Others :Other key players in the United Kingdom carbon dioxide market include Praxair, BASF, and A-Gas. These companies play a crucial role in supplying CO2 across industries, ensuring the availability of this critical resource for a variety of applications.
Explore our trending Blogs and Reports :
Toy manufacturers
HVAC Variable Frequency Drive Market
