As per the current market research conducted by the CMI Team, the US Carbon Capture Utilization and Storage Market size is expected to record a CAGR of 7.1% from 2023 to 2050. In 2023, the market size is projected to reach a valuation of USD 13.57 Billion. By 2032, the valuation is anticipated to reach USD 36.94 Billion.
US Carbon Capture Utilization and Storage Market: Growth Factors and Dynamics
- Government Support and Policies: Substantial government support, driven by policies and incentives, fosters the growth of the US Carbon Capture Utilization and Storage market. Financial backing and regulatory frameworks encourage investment in research, development, and large-scale deployment of carbon capture technologies.
- Industry Partnerships and Collaborations: Strategic collaborations between government agencies, industry leaders, and research institutions drive innovation and investment in CCUS projects. Partnerships contribute to knowledge exchange, technological advancements, and the scaling up of carbon capture initiatives.
- Advancements in CCUS Technologies: Continuous advancements in carbon capture technologies, including improved capture methods and storage techniques, enhance efficiency and reduce costs. Technological innovation is a key driver, making CCUS solutions more economically viable and scalable.
- Emission Reduction Targets: Growing emphasis on meeting emission reduction targets, both at the federal and corporate levels, propels the adoption of CCUS technologies. Industries and power plants deploy these solutions to minimize their carbon footprint and comply with environmental regulations.
- Energy Transition and Clean Energy Goals: The US energy transition towards cleaner sources aligns with CCUS growth. Carbon capture plays a crucial role in mitigating emissions from traditional energy sources, supporting the country’s shift towards cleaner and more sustainable energy systems.
- Investor Interest and Funding: Increasing investor interest in sustainable and green technologies directs funding towards CCUS projects. As financial institutions and private investors prioritize environmentally responsible initiatives, the US CCUS market experiences growth, fostering research, development, and implementation efforts.
- Carbon Pricing and Market Mechanisms: The potential implementation of carbon pricing mechanisms and market-driven approaches creates economic incentives for industries to adopt CCUS technologies. Market-driven initiatives, such as carbon trading, encourage businesses to invest in carbon capture solutions as part of their carbon management strategies.
- Resilience and Adaptation Strategies: CCUS technologies are increasingly viewed as integral components of resilience and adaptation strategies. Industries recognize the importance of mitigating climate change risks, and CCUS provides a pathway to reduce emissions, ensuring adaptability in a changing regulatory and environmental landscape.
US Carbon Capture Utilization and Storage Market: Partnership and Acquisitions
- In 2023, ADNOC and Occidental collaborated on a preliminary engineering study for the first megaton-scale direct air capture (DAC) facility outside the US. This milestone follows their 2023 strategic collaboration agreement to explore carbon capture, utilization, and storage (CCUS) projects in the UAE and the United States, marking progress towards global DAC deployment.
- In 2022, ONGC will partner with Shell for Carbon Capture, Utilization, and Storage (CCUS) studies. The agreement centers on a collaborative CO2 storage study and EOR screening assessment, targeting key basins, such as depleted oil and gas fields and saline aquifers, to advance sustainable energy practices.
- In 2021, Royal Dutch Shell, Equinor ASA, and TotalEnergies invested USD 682.3 million in the Northern Lights carbon capture and storage project in Norway. The collaboration aims to establish a joint-venture company, underlining its commitment to advancing carbon capture, utilization, and storage technologies.
Report Scope
| Feature of the Report | Details |
| Market Size in 2023 | USD 13.57 Billion |
| Projected Market Size in 2032 | USD 36.94 Billion |
| Market Size in 2022 | USD 10.69 Billion |
| CAGR Growth Rate | 7.1% CAGR |
| Base Year | 2023 |
| Forecast Period | 2024-2033 |
| Key Segment | By Service, Transportation, Utilization, Technology, End Use Industry and Region |
| Report Coverage | Revenue Estimation and Forecast, Company Profile, Competitive Landscape, Growth Factors and Recent Trends |
| Country Scope | US |
| Buying Options | Request tailored purchasing options to fulfil your requirements for research. |
US Carbon Capture Utilization and Storage Market: COVID-19 Analysis
The COVID-19 pandemic has had a significant impact on the US Carbon Capture Utilization and Storage (CCUS) Market, with the industry experiencing both positive and negative effects. Here are some of the key impacts:
- Project Delays and Funding Challenges: The pandemic caused delays in CCUS projects and presented funding challenges. Economic uncertainties and disruptions in supply chains affected project timelines, while financial constraints hindered new investments in carbon capture initiatives.
- Reduced Industrial Activity and Emissions: Temporary reductions in industrial activity during lockdowns resulted in lower carbon emissions. While this was a positive environmental outcome, the immediate demand for CCUS technologies was impacted as industries prioritized cost-cutting over sustainability initiatives.
- Government Stimulus Packages and Incentives: The US government introduced stimulus packages and financial incentives to revive the economy. Increased funding for green initiatives, including CCUS projects, encourages industry players to resume and accelerate their efforts.
- Supportive Regulatory Environment: A supportive regulatory environment, including clear guidelines and incentives for carbon capture initiatives, helps the US CCUS market recover. Clarity in regulations and policies provides the necessary framework for companies to plan and execute CCUS projects.
- Private Sector Partnerships and Investments: Collaborations and partnerships within the private sector and with financial institutions become crucial for securing funding and investments. Joint ventures and alliances help overcome financial challenges and contribute to the recovery of the US CCUS market.
- Technology Innovation and Digital Transformation: The pandemic accelerates the adoption of digital technologies in the CCUS industry. Remote monitoring, data analytics, and automation become crucial tools for maintaining and optimizing operations, improving efficiency in a post-COVID landscape.
In conclusion, the COVID-19 pandemic has had a mixed impact on the US Carbon Capture Utilization and Storage Market, with some challenges and opportunities arising from the pandemic.
List of the prominent players in the US Carbon Capture Utilization and Storage Market:
- Occidental Petroleum Corporation
- Chevron Corporation
- ExxonMobil Corporation
- Southern Company
- Air Products and Chemicals Inc.
- Linde plc
- Equinor ASA
- TotalEnergies SE
- NRG Energy Inc.
- Kiewit Corporation
- Cenovus Energy Inc.
- NextDecade Corporation
- Berkshire Hathaway Energy
- Global Thermostat LLC
- NET Power LLC
- Others
The US Carbon Capture Utilization and Storage Market is segmented as follows:
By Service
- Capture
- Transportation
- Utilization
- Storage
By Transportation
- Ships
- Pipelines
- Terminals
By Utilization
- E-fuel
- E-chemical
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