Written by The United Kingdom carbon dioxide (CO₂) market has been experiencing steady growth, with 2024 witnessing a volume of 725.8 KMT. This market is projected to grow at a compound annual growth rate (CAGR) of 1.5% from 2025 to 2034, ultimately reaching a volume of 840.5 KMT by the end of the forecast period. The demand for CO₂ is being driven by several industries, including food and beverage, chemicals, and pharmaceuticals, alongside growing concerns about carbon emissions and environmental sustainability.
In this blog post, we will dive into the key aspects of the United Kingdom’s carbon dioxide market, including an overview, market size, trends, growth, analysis, and forecast, as well as a competitor analysis.
United Kingdom Carbon Dioxide Market Size
In 2024, the United Kingdom carbon dioxide market reached a volume of 725.8 KMT. This figure reflects the market’s continuous expansion due to increasing demand from several key industries. These sectors require CO₂ in various forms, including liquid, gaseous, and solid CO₂. The market size is expected to continue expanding as CO₂ applications diversify and grow across multiple verticals.
The projected market volume for 2034 is 840.5 KMT, which indicates a steady increase in demand. This growth trajectory is supported by the rise in demand for CO₂ in the food and beverage industry for carbonated drinks, the growing chemical industry, and increased reliance on CO₂ for medical and industrial processes.
United Kingdom Carbon Dioxide Market Trends
Several trends are currently shaping the United Kingdom’s carbon dioxide market:
Sustainability and Carbon Capture: The drive toward sustainability has led to a rise in demand for CO₂ capture and storage technologies. As industries adopt more environmentally responsible practices, the market for CO₂ capture systems and its subsequent storage is expected to grow.
Increased Use in Food and Beverage Industry: CO₂ is a crucial component in the food and beverage industry, especially for carbonated drinks. The demand for beverages like soda, sparkling water, and alcoholic drinks is expected to maintain strong growth, bolstering the demand for CO₂.
Technological Advancements: New technologies in CO₂ production, such as enhanced methods for CO₂ recovery and purification, are allowing more efficient production and usage, which could drive down costs and expand applications.
Healthcare Applications: CO₂ plays a role in medical procedures, particularly in respiratory treatments and as an anesthetic. This has further expanded its use in the healthcare sector, contributing to the overall market growth.
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United Kingdom Carbon Dioxide Market Segmentation
Source:
Ammonia
Ethyl Alcohol
Substitute Natural Gas and CCU
Production:
Biological
Combustion
End Use:
Food and Beverages
Oil and Gas
Medical
Metal Fabrication
Others
United Kingdom Carbon Dioxide Market Growth
The United Kingdom carbon dioxide market is set to grow at a steady CAGR of 1.5% from 2025 to 2034. Several factors contribute to this growth:
Growing Industrial Demand: The continued expansion of the industrial sector in the UK, including oil refining, chemical production, and food processing, fuels the demand for CO₂.
Environmental Regulations: Increasing environmental regulations promoting sustainability and carbon neutrality in various industries will further drive demand for CO₂ capture and utilization technologies.
Market Diversification: As more industries recognize the importance of CO₂ in their operations, new applications are emerging. For instance, CO₂’s role in enhanced oil recovery and water treatment technologies could further bolster the market.
United Kingdom Carbon Dioxide Market Analysis
A detailed analysis of the United Kingdom CO₂ market reveals that both domestic production and imports play a crucial role in meeting the growing demand. Major suppliers of CO₂ include companies with robust supply chains capable of providing both bulk and specialty CO₂ for industrial applications.
Furthermore, the growing interest in sustainable solutions for capturing and storing carbon will likely impact the market dynamics in the coming years. Increasing investments in CO₂ storage infrastructure and advancements in carbon capture technologies are expected to reduce costs and expand market opportunities for CO₂.
The market is segmented by application, which includes food and beverage, chemical production, healthcare, water treatment, and others. Among these, the food and beverage industry holds the largest share due to the widespread use of CO₂ in carbonated drinks, preservation, and refrigeration processes.
United Kingdom Carbon Dioxide Market Forecast
The forecast for the United Kingdom carbon dioxide market indicates a growth trajectory of 1.5% CAGR from 2025 to 2034, reaching an estimated volume of 840.5 KMT by 2034. This steady growth is driven by multiple factors:
Sustainability Initiatives: As the UK strives to meet its climate targets, industries will likely adopt more CO₂ capture and storage solutions, contributing to long-term demand.
Increasing Consumer Demand for Carbonated Beverages: The global and UK-specific trends in the food and beverage industry will continue to boost the demand for CO₂ in this sector.
Technological Innovations: Advancements in CO₂ production processes, such as more efficient CO₂ recovery techniques and usage methods, will increase market efficiency and affordability, fueling further growth.
Competitor Analysis: Key Players in the United Kingdom Carbon Dioxide Market
The United Kingdom carbon dioxide market is highly competitive, with several key players dominating the supply chain. These companies have significant market share and play a pivotal role in driving innovation and maintaining supply reliability.
Ensus UK Limited: Ensus is a leading player in the UK carbon dioxide market, specializing in the production of CO₂ for various industrial applications.
BioCarbonics Ltd.: Known for its focus on sustainable CO₂ solutions, BioCarbonics Ltd. is another significant player in the market, providing CO₂ for the food and beverage sector.
Tata Chemicals Europe Limited: Tata Chemicals is a global player with a significant presence in the UK, offering CO₂ for industrial and healthcare purposes.
Yara International ASA: Yara International provides CO₂ for industrial applications, including agricultural fertilizers and environmental solutions.
Air Products PLC: Air Products is a multinational supplier of CO₂ and other gases, offering solutions for a range of industries in the UK.
Air Liquide UK Ltd: A global leader in gases for industry and health, Air Liquide offers high-quality CO₂ products to meet diverse industrial needs in the UK.
Nippon Gases: Nippon Gases supplies CO₂ for various applications, including food preservation, chemical processes, and medical purposes.
Others: Numerous other players contribute to the carbon dioxide market in the UK, either through local production or as part of global supply chains.
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