Global Carbon Capture Utilization and Storage Market Size Likely to Expand at a CAGR of 10.70% By 2034

Carbon Capture Utilization and Storage Market Size

As per the Carbon Capture Utilization and Storage Market size analysis conducted by the CMI Team, the global Carbon Capture Utilization and Storage Market is expected to record a CAGR of 10.70% from 2025 to 2034. In 2025, the market size is projected to reach a valuation of USD 64.55 Billion. By 2034, the valuation is anticipated to reach USD 161.19 Billion.

Carbon Capture Utilization and Storage Market Overview

According to industry experts at CMI, the implementation of new strategies and technologies by manufacturers presents lucrative opportunities for players in the Carbon Capture Utilization and Storage Market during the forecast period. Furthermore, the growing significance of organized retailing is expected to drive the future growth of the market.

Carbon Capture Utilization and Storage Market Growth Factors and Dynamics

• Integration with the Hydrogen Economy: The rise of low-carbon hydrogen, particularly blue hydrogen derived from natural gas with carbon capture, is fueling CCUS deployment. As governments invest in hydrogen infrastructure to decarbonize transport, industry, and heating, CCUS becomes essential to reduce emissions from conventional hydrogen production. Major energy companies are integrating CCUS into hydrogen hubs to meet rising demand for clean energy carriers. This trend is further supported by national hydrogen strategies and global alliances promoting hydrogen adoption. As the hydrogen economy grows, capturing and storing CO₂ or carbon capture and storage become deeply important. CCUS allows for cutting emissions while also helping diversify power and improve energy security.

• Development of CCUS Hubs and Clusters: CCUS hubs and industrial clusters are becoming real game changers for better infrastructure connection and lower costs too. So clusters bunch up lots of different sources of pollution, like cement plants, steel mills, and power plants, near shared infrastructure such as transport routes and storage. By grouping up the volumes of CO2, or carbon, it makes better use of big teams and improves the economics of the deal. Organizations within the United States, United Kingdom, and Europe are getting funding to work on things that speed up clean energy and make different places around these regions less polluting. These networks also foster public-private partnerships and cross-sector collaboration. As more countries adopt this model, CCUS hubs are becoming a blueprint for scalable, replicable decarbonization, boosting both deployment speed and investor confidence.

• Advancements in Direct Air Capture (DAC) Technologies: Direct Air Capture (DAC) is gaining traction as a high-potential CCUS solution that removes CO₂ directly from the atmosphere. With recent advances in sorbent materials and better designs, DAC systems are getting easier to operate and way cheaper to run now. We’ve also figured out how to mix energy into them better. Strong new players plus big tech giants are pouring huge amounts of cash into DAC plants right now and getting support from government grants and corporate programs that have extra carbon offset. DAC complements traditional CCUS by enabling negative emissions, especially when paired with geological storage. As countries around the globe are committed to removing more CO2, Direct Air Capture (DAC) tech is poised to balloon into a big deal in the space of Carbon Capture and Utilization , and it may help us get to net zero.

• Growing Carbon Markets and CO₂ Credit Monetization: The growth of carbon markets is showing us that removing carbon is really getting to be a successful business idea. We’re learning that developing systems that capture and store carbon can pay off very well financially now. As more jurisdictions introduce carbon pricing and cap-and-trade systems, captured CO₂ becomes a valuable asset that can be monetized through carbon credits. We’re also seeing voluntary markets evolve and develop nicely with growing demand for really high-quality credits that are spot-on about carbon dioxide removal (sometimes just CDR, detached from credits). Think of it like this: as people realize that fighting climate change really matters, companies and other folks are really hungry for verification that they really are removing a whole bunch of CO2. It’s like everybody wants to put that stamp of approval on their efforts to avoid or remove greenhouse gases. This trend incentivizes investments in CCUS projects that deliver measurable and permanent CO₂ reductions. With new ways of certifying and trading carbon credits emerging, developers of projects are thinking of capture and use of CO₂ not just as one useful thing for the environment but also increasingly as a way to earn money. This new thinking is driving growth in the whole market into the future.

• Policy-Driven Investment and Regulatory Support: Governments all around the globe are putting some pretty cool moves in place to really speed up some really important sticky situations. That’s calling for carbon capture and utilization and storage, or CCUS. Stuff like providing tax breaks has really struck a chord and scores big. There are also grants and other funding programs that help move CCUS right along. And then regulatory mandates like strong regulations and codes requiring specific outcomes also really take it to the next level. In the United States, really what they are doing is beefing up something called the expanded 45Q tax credit, which really helps to get projects that work really well in terms of economics. On the other side, in Europe they are also doing something under the Innovation Fund that is putting huge amounts of money towards industrial decarbonization. So really, both places are pushing hard to use big money to get industries and projects that actually emit low or almost no carbon. National strategies in Canada, Japan, and Australia also prioritize CCUS in climate action plans. This new round of regulatory backing is smoothing the investment path by cutting risks, speeding up permits, and facilitating cooperation among different countries.

Report Scope

Carbon Capture Utilization and Storage Market SWOT Analysis

• Strengths: CCUS technologies offer a direct pathway to significantly reduce carbon dioxide (CO₂) emissions from large point sources, such as power plants and industrial facilities. CCUS allows for the continued operation of existing fossil fuel-based power plants and industrial facilities while mitigating their environmental impact. Captured CO₂ can be utilized in various industries, including enhanced oil recovery (EOR), production of chemicals, building materials, fuels, and even in the food and beverage industry.

• Weakness: The initial investment for capturing, transporting, and storing CO₂ can be substantial, making projects economically challenging, especially without strong financial incentives. CCUS processes can be energy-intensive, leading to significant operating expenses and potentially reducing the overall efficiency of the power plant or industrial facility. The energy required for CO₂ capture and compression can reduce the net output of power plants, requiring more fuel input.

• Opportunities: Rising carbon prices through mechanisms like carbon taxes and emissions trading schemes will improve the economic viability of CCUS projects. As industries and consumers increasingly demand low-carbon products and processes, CCUS can provide a competitive advantage to companies that adopt it.

• Threats: The large capital investment required for CCUS projects carries significant financial risks, especially if policies change or the economic benefits do not materialize as expected. Lack of long-term policy certainty and inconsistent government support can hinder investment and project development. The emergence of new, more cost-effective, or environmentally benign technologies for emissions reduction could make CCUS less competitive in the future.

List of the prominent players in the Carbon Capture Utilization and Storage Market:

• Air Products and Chemicals Inc.
• Aker Solutions
• BP plc
• Chevron Corporation
• Equinor ASA
• ExxonMobil Corporation
• Mitsubishi Heavy Industries Ltd.
• Royal Dutch Shell plc
• Schlumberger Limited
• TotalEnergies SE
• Fluor Corporation
• Linde Plc
• JGC Holdings
• Honeywell International
• Halliburton Company
• Others

The Carbon Capture Utilization and Storage Market is segmented as follows:

By Service

• Capture
• Transportation
• Utilization
• Storage

By Technology

• Pre-Combustion Capture
• Oxy-Fuel Combustion Capture
• Post-Combustion Capture

By End Use Industry

• Oil & Gas
• Power Generation
• Iron & Steel
• Chemical & Petrochemical
• Cement
• Others

Regional Coverage:

North America

• U.S.
• Canada
• Mexico
• Rest of North America

Europe

• Germany
• France
• U.K.
• Russia
• Italy
• Spain
• Netherlands
• Rest of Europe

Asia Pacific

• China
• Japan
• India
• New Zealand
• Australia
• South Korea
• Taiwan
• Rest of Asia Pacific

The Middle East & Africa

• Saudi Arabia
• UAE
• Egypt
• Kuwait
• South Africa
• Rest of the Middle East & Africa

Latin America

• Brazil
• Argentina
• Rest of Latin America