South America Hydrogen Market Size, Share, and COVID-19 Impact Analysis, By Production Method (Steam Methane Reforming, Electrolysis, Gasification, and Biomass Gasification), By Application (Transportation, Industrial, Power Generation, Chemical Processing), By End User (Fuel Cells, Refiners, Ammonia Production, Metallurgy), and South America Hydrogen Market Insights, Industry Trends, Forecast to 2035

South America Hydrogen Market Insights Forecasts to 2035

• The South America Hydrogen Market Size Was Estimated at USD 672.3 Million in 2024
• The Market Size is Expected to Grow at a CAGR of Around 4.41% from 2025 to 2035
• The South America Hydrogen Market Size is Expected to Reach USD 1081.3 Million by 2035

According to a research report published by Spherical Insights & Consulting, The South America Hydrogen Market Size Is Anticipated To Reach USD 1081.3 Million By 2035, Growing At A CAGR Of 4.41% From 2025 To 2035. The market is driven by the Favourable policies and initiatives by governments in the region, which are promoting the adoption of clean energy solutions.

Market Overview

The hydrogen market is set to experience strong expansion because hydrogen serves as the primary feedstock for ammonia production. Ammonia, a key industrial chemical which serves as a nitrogen fertilizer in agriculture, depends on hydrogen for its production through the Haber-Bosch process. The process requires nitrogen and hydrogen to be combined under controlled conditions for ammonia production. Hydrogen functions as a clean energy carrier which people can use to accomplish their environmental sustainability objectives. The connection between these two elements will increase hydrogen adoption across South American industries which will drive market expansion during the upcoming forecast period.

In December 2025, South America plans for $263 billion in hydrogen projects which face challenges because of unpredictable international market conditions. Data drawn from EICAsset Map and EIC Stream shows that the region has a pipeline of 143 hydrogen projects which will require approximately $263 billion in capital expenses with most projects focusing on green hydrogen development.

The Ministry of Mines and Energy (MME) announced the selection of 12 low-carbon hydrogen hub projects for the decarbonization of Brazilian industry. The selected projects from the public call notice were submitted by the following companies: CSN Group, EDP Renováveis Brasil, Neoenergia, Atlas Agro, Petrobrás, Prumo Logística, Copel GET.

Report Coverage

This research report categorizes the market for the South America hydrogen market based on various segments and regions, and forecasts revenue growth and analyses trends in each submarket. The report analyses the key growth drivers, opportunities, and challenges influencing the South America hydrogen market. Recent market developments and competitive strategies, such as expansion, product launch, development, partnership, merger, and acquisition have been included to draw the competitive landscape in the market. The report strategically identifies and profiles the key market players and analyses their core competencies in each sub-segment of the South America hydrogen market.

Driving Factors

The hydrogen market in South America is driven by the demand for clean energy solutions is rising because of technological advancements that are developing in the market. The market will experience strong growth until the end of the forecast period because hydrogen is viewed as a crucial element for achieving worldwide decarbonization targets. More companies are now choosing blue hydrogen solutions that use natural gas combined with carbon capture and storage (CCS) technology to reduce their emissions, which helps create a stronger industry network.

Restraining Factors

The hydrogen market in South America is hindered by the hydrogen storage system requires multiple system components which currently do not exist in their entirety. The value chain requires various technologies which include specialized maritime vessels designed for liquid hydrogen and gas turbines that operate entirely on hydrogen but these technologies have not reached commercial availability.

Market Segmentation

The South America hydrogen market share is categorised into production method, application and end user.

• The steam methane reforming segment accounted for the largest revenue market share in 2024 and is expected to grow at a significant CAGR during the forecast period. 

The South America hydrogen market is segmented by production method form into steam methane reforming, electrolysis, gasification, and biomass gasification. Among these, the steam methane reforming segment accounted for the largest revenue market share in 2024 and is expected to grow at a significant CAGR during the forecast period. The growth of the segment is driven by the process achieves efficient and cost-effective results for producing hydrogen. The system operates by using natural gas as its primary feedstock which it converts into hydrogen and carbon dioxide through methane processing. SMR technology benefits from its established operational methods and extensive infrastructure network but it faces growing challenges because of carbon emission concerns.

• The transportation segment dominated the market in 2024 and is projected to grow at a substantial CAGR during the forecast period.  

Based on application, the South America hydrogen market is segmented into transportation, industrial, power generation, chemical processing. Among these, the transportation segment dominated the market in 2024 and is projected to grow at a substantial CAGR during the forecast period. The segmental growth is driven by fuel cell technology progress enables hydrogen vehicle systems to operate together with existing infrastructure. The automotive industry keeps growing because manufacturers launch fresh vehicle models while governmental bodies promote sustainable technology adoption.

• The fuel cells segment accounted for the largest revenue market share in 2024 and is expected to grow at a significant CAGR during the forecast period. 

The South America hydrogen market is segmented by end user into fuel cells, refiners, ammonia production, metallurgy. Among these, the fuel cells segment accounted for the largest revenue market share in 2024 and is expected to grow at a significant CAGR during the forecast period. The growth of the segment is driven by the process of decreasing greenhouse gas emissions together with the enhancement of energy efficiency needs to be applied across all sectors. The systems use hydrogen to generate electricity which makes them suitable for both electric vehicle operation and clean energy applications. The market presence of the company exists because it has received substantial investments while developing new technologies which result in lower operational costs and better system performance.

Competitive Analysis:

The report offers the appropriate analysis of the key organizations/companies involved within the South America hydrogen market, along with a comparative evaluation primarily based on their product offering, business overviews, geographic presence, enterprise strategies, segment market share, and SWOT analysis. The report also provides an elaborate analysis focusing on the current news and developments of the companies, which includes product development, innovations, joint ventures, partnerships, mergers & acquisitions, strategic alliances, and others. This allows for the evaluation of the overall competition within the market.

List of Key Companies                                                                                                                          

• Hytron
• Genersol
• Hydroshen
• H1DROGEN
• Hidreo Energy Solutions
• HyVolution Chile
• Energia Solar Heliplast
• Hydrocar Chile SA
• Hybrytec
• Genesis Hydrokinetic
• Others

Key Target Audience

• Market Players
• Investors
• End-users
• Government Authorities 
• Consulting and Research Firm
• Venture capitalists
• Value-Added Resellers (VARs)
•  

Market Segment

This study forecasts revenue at the South America, regional, and country levels from 2020 to 2035. Spherical Insights has segmented the South America Hydrogen Market based on the below-mentioned segments:

South America Hydrogen Market, By Production Method

• Steam Methane Reforming
• Electrolysis
• Gasification
• Biomass Gasification

South America Hydrogen Market, By Application

• Transportation
• Industrial
• Power Generation
• Chemical Processing

South America Hydrogen Market, By End User

• Fuel Cells
• Refiners
• Ammonia Production
• Metallurgy