The United Kingdom carbon dioxide (CO2) market plays a pivotal role in a variety of industries, including food and beverage, healthcare, chemicals, and manufacturing. CO2 is utilized in multiple applications such as carbonating beverages, preserving food, in fire extinguishers, and in medical treatments. As of 2024, the market has achieved a volume of 725.8 KMT (kilotonnes) and is projected to continue its steady growth in the coming years, driven by the increasing demand for CO2 across various sectors.
In 2024, the United Kingdom carbon dioxide market reached a substantial volume of 725.8 KMT. Over the forecast period from 2025 to 2034, the market is expected to grow at a modest CAGR of 1.5%. By 2034, the market is projected to reach a volume of approximately 840.5 KMT. This growth will be fueled by both the expanding industrial applications of CO2 and the increasing demand for sustainable practices in CO2 production and consumption.
Several key trends are influencing the United Kingdom carbon dioxide market, including:
Sustainability and Environmental Considerations: There is an increasing push for reducing the environmental impact of CO2 production. This has led to more focus on carbon capture, utilization, and storage (CCUS) technologies. Companies are looking for greener ways to produce and use CO2, aligning with the broader global focus on sustainability.
Expansion of Food and Beverage Industry: The UK’s food and beverage sector is one of the largest consumers of CO2, particularly in the carbonation of soft drinks and beers. This industry’s growth is a key driver of the overall market.
Medical and Healthcare Applications: CO2 is used in various medical applications such as respiratory treatments and as a part of medical gas mixtures. The increasing demand for medical gases in the healthcare industry is another major trend that is expected to positively impact the CO2 market.
Growing Use in Industrial Applications: CO2 is also used in the production of chemicals, such as urea, and as a refrigerant. These industrial applications will continue to drive demand for CO2 in the coming years.
The UK carbon dioxide market is projected to grow at a steady CAGR of 1.5% from 2025 to 2034. The growth is primarily driven by the continued demand from industries such as food and beverage, healthcare, and manufacturing. Additionally, the development of more energy-efficient and sustainable CO2 production methods is expected to support market growth. Companies are focusing on reducing carbon emissions from CO2 production and improving CO2 recovery systems, which will further foster market growth.
The market for carbon dioxide in the United Kingdom is well-established and dominated by a few key players who supply CO2 for various applications. These companies not only provide CO2 but also invest in technology that helps capture and reuse carbon dioxide, thus contributing to the growth of the market. The industry also benefits from the UK government’s emphasis on sustainability and its policies aimed at reducing carbon footprints.
The market is characterized by steady demand in food and beverage carbonation, medical applications, and industrial uses. However, challenges remain related to the cost of producing CO2 in an environmentally friendly manner. Advancements in CO2 recovery technologies and improved carbon capture methods are anticipated to provide a competitive edge to market players in the future.
Looking ahead, the UK carbon dioxide market is expected to maintain steady growth. By 2034, the market volume is projected to reach approximately 840.5 KMT, driven by both industrial demand and ongoing technological advancements in CO2 production and recovery. Innovations aimed at improving efficiency and reducing environmental impacts will likely be key factors in the market’s expansion during the forecast period.
Additionally, the food and beverage sector will continue to be the largest consumer of CO2, while demand from the medical and industrial sectors is also expected to grow steadily.
The United Kingdom’s carbon dioxide market is highly competitive, with several key players dominating the industry. These companies are focusing on expanding their capabilities to meet growing demand and improving the sustainability of their production methods. Some of the prominent players include:
Ensus UK Limited: A major player in the production of CO2, Ensus UK Limited is known for providing high-quality carbon dioxide solutions across multiple industries.
BioCarbonics Ltd.: Specializing in sustainable CO2 production, BioCarbonics is a key player in the market, focusing on environmentally friendly methods of CO2 generation.
Tata Chemicals Europe Limited: Tata Chemicals is a significant player in the UK carbon dioxide market, producing CO2 for various industrial and chemical applications.
Yara International ASA: Yara’s CO2 production is closely linked to its ammonia manufacturing process. As one of the leading companies in the industry, Yara has a strong presence in the UK market.
Air Products PLC: A global leader in industrial gases, including CO2, Air Products plays an important role in the UK market by supplying CO2 for a variety of applications such as food preservation, chemical production, and medical gases.
BOC Limited (Linde): A division of Linde, BOC is one of the largest suppliers of CO2 in the UK, serving industries such as healthcare, food and beverage, and manufacturing.
Air Liquide UK Ltd.: Air Liquide is a leading industrial gas supplier, providing CO2 to industries such as food and beverage, pharmaceuticals, and energy.
Nippon Gases: This company serves the UK market with a range of industrial gases, including CO2, to support applications in food, beverage, healthcare, and other sectors.
Progases (UK) Ltd: Specializing in the supply of industrial gases, Progases is a notable player in the UK CO2 market, serving industries that require CO2 for a variety of applications.
Others: These companies, along with others, are working towards increasing CO2 production efficiency, developing sustainable solutions, and meeting the growing demand for carbon dioxide across various industries.