Solid Oxide Electrolysis Cell (SOEC) Market Size, Share, Growth, and Industry Analysis, By Type (Planar and Tubular), By Application (Industrial and Energy storage), and Regional Forecast to 2033

• 

   Request a Free Sample To Get More Information on this Market

SOLID OXIDE ELECTROLYSIS CELL (SOEC) MARKET REPORT OVERVIEW

The global Solid Oxide Electrolysis Cell (SOEC) market size valued at approximately USD 1.14 billion in 2024 and is expected to reach USD 1.97 billion by 2033, growing at a compound annual growth rate (CAGR) of about 7% from 2025 to 2033.

In the recent years, the SOEC market has gained tremendous growth.The emphasis globally on sustainable energy solutions and transition towards green hydrogen production is creating the impetus for growth in this market.SOEC operates at high temperatures and employs ceramic oxide electrolyte layers that efficiently split water into hydrogen and oxygen.The main benefits of high-temperature operation for this method over others, including Proton Exchange Membrane (PEM) and Alkaline Exchange Membrane (AEM) electrolyzers, lie in the employment of non-platinum group materials as catalysts and in high-purity hydrogen production

GLOBAL CRISES IMPACTING SOLID OXIDE ELECTROLYSIS CELL (SOEC) MARKET

"Solid Oxide Electrolysis Cell (SOEC) Industry Had a Positive Effect Due to supply chain disruption during COVID-19 Pandemic"

The pandemicmadetheurgentnecessityofresilient and sustainable energy systemsveryapparent and hastenedinvestments in clean energy technologies. This strategicdecisionnot only developed hydrogen infrastructure but also intensified competition worldwide in the hydrogen sector.Thismadethe pandemicanenablerthatpushedtheacceptanceanddevelopmentof SOEC technologiesbycountriesseekinggreener andstrongerenergy systemsafter the disaster.

LATEST TREND

"Growing innovation to Drive Market Growth"

Innovation smakeSOECsperformbetter,decreaseproduction costs, and cut the timeframe for production with higher commercial feasibility. Secondly, more attention has been given to the integration of SOECs with renewable sources to produce green hydrogen,whichisin linewithbroaderglobal decarbonization goals.Foremost is the escalating demand for green hydrogen as a clean energy carrier, driven by global decarbonization efforts and the transition to zero-emission vehicles.

SOLID OXIDE ELECTROLYSIS CELL (SOEC) MARKET SEGMENTATION

By Type

Based on Type, the global market can be categorized into Planar and Tubular

• Planar:Planar SOECs are the most widely researched and deployed type due to their simple design, ease of fabrication, and high efficiency in electrolysis processes. These SOECs consist of thin electrolyte layers sandwiched between electrodes, forming a compact and efficient structure. Their key advantage lies in their ability to operate at high current densities, making them suitable for large-scale hydrogen production and integration with industrial applications.
• Tubular: Tubular SOECs differ from their planar counterparts in terms of structural design, featuring a cylindrical configuration that enhances mechanical stability and thermal shock resistance. These SOECs exhibit superior durability and longevity, making them particularly attractive for applications requiring long-term continuous operation. Their robust structure minimizes issues related to sealing and thermal expansion, which are common concerns in planar SOECs.

By Application

Based on application, the global market can be categorized into Industrial and Energy storage

• Industrial:One of the primary applications of SOEC technology is large-scale hydrogen production for industrial processes. Industries such as ammonia production, petrochemical refining, and steel manufacturing require vast amounts of hydrogen, traditionally sourced from fossil fuels.

• Energy storage:SOEC technology plays a crucial role in energy storage and grid stability by enabling the conversion of surplus electricity into hydrogen. Renewable energy sources such as wind and solar power often generate excess electricity during peak production periods, which can be stored as hydrogen through SOEC electrolysis. This stored hydrogen can later be utilized in fuel cells or other applications to generate electricity when needed, effectively addressing intermittency issues in renewable energy systems.

MARKET DYNAMICS

Market dynamics include driving and restraining factors, opportunities and challenges stating the market conditions.

Driving Factors

"Increasing efficiency to Boost the Market"

Hydrogen produced via SOECs is increasingly viewed as a sustainable alternative to fossil fuels, particularly in hard-to-decarbonize sectors such as heavy industry and transportation. In addition tothe highelectricalefficiency ofconverting electricity to hydrogen,SOECscan operate with waste industrial heat, giving it an upper hand. Market growth is enhanced operate with waste industrial heat, giving it an upper hand. Market growth is enhanced by government policies and incentives directed toward clean energy technologies,promptinginvestmentintheresearch, development, andimplementation of SOECs.

Restraining Factor

"High operating temperatures to Potentially Impede Market Growth"TheSOEC markethasmultiplefactorsthatthreatentohindergrowthdespite the attractive prospect. Highoperatingtemperaturesdemandthe use of specific materials, which are more expensive to produce and maybe less durable. The technology of SOECisstillintheearly stages, and manufacturing at large scales is still in its development phase. Thislimitstheeconomies of scale andmakesunit costsrelatively higher.

Opportunity

"Collaborations To Create Opportunity for the Product in the Market"

Thechangingenergy landscapeprovidesmanyopportunities for the SOEC market.Withthe increasingemphasison hydrogen as aprimarycomponent of future energy systems,opportunitiesfor SOEC applicationsarebeingopenedinthepower generation, transportation, and industrial processessectors.Innovations are being fostered throughcollaborations between research institutions and industry players,whichareleading to advancements in SOEC technology and reductions in production costs. Forexample, partnerships aimed at improving manufacturing processes and scaling up production capacity are paving the way for broader adoption of SOECs. Supportive government policies and funding for clean energy projectsalsocreate a conducive environment for the growth of the SOEC market.

Challenge

"Durability Could Be a Potential Challenge for Consumers"

There are variouschallengesthatthe SOEC market has to face before realizing its true potential. Material durability and system integration related technical challenges mustbe addressed for higher reliability and longevity of SOEC systems. The initial high capital expenditure associated with SOEC deploymentwillproveahurdleformostorganizationsin the absence ofwell-established financial incentives or subsidies.

Additionally, the competitive landscape, with alternative hydrogen production technologies such as PEM and AEM electrolyzers,requirescontinuous innovation and cost reduction efforts within the SOEC sector. Thechallengewillbemetby the collaborativeeffortsofstakeholdersalongthe value chain,fromresearcherstomanufacturers, policymakers, and end-users.

• 

   Request a Free Sample To Get Analysis on Major Geographic Market

SOLID OXIDE ELECTROLYSIS CELL (SOEC) MARKET REGIONAL INSIGHTS

• North America

Themarket of SOECs is boomingin North America, particularly the United States SOEC market owing to heavy investment in clean energy technologies andsignificanteffortsingreenhouse gas emissions.Theinitiativesundertakenby the government, coupled withfunding programsonhydrogen production and utilization,promotethe adoption of SOECs. Collaborations between research institutions and industry players are also contributing to technological advancements and the establishment of pilot projects, positioning the region as a significant player in the SOEC market.

• Europe

Europe currently leads the SOEC market, accounting for approximately 39.89% of the global market share in 2023. The region's stringent environmental regulations and ambitious decarbonization targets have accelerated the adoption of green hydrogen technologies, including SOECs.Germany and the United Kingdom areleadingthepackwithagoodnumber of marketsand investmentstargetingscaling up SOEC deployment.

InstrumentaltothisistheconducivepolicyenvironmentwithintheEuropean Union,coupledwith funding mechanisms, thus drivinginnovation and commercialization of SOEC technologies.

• Asia

The Solid Oxide Electrolysis Cell (SOEC) market is growing consistently in Aisa especially in countries like China, India and Japan. Since these are developing countries they pose lots of the opportunities for the market. These countries also have a significant Solid Oxide Electrolysis Cell (SOEC) market share in the region.

KEY INDUSTRY PLAYERS

Key Industry Players Shaping the Market Through Innovation and Market Expansion

The solid oxide electrolysis cellmarket isgrowingatarapidpace.This is largely because ofactive involvementfromsignificantindustry playersindriving innovationwhilescaling up expansion in the market. They are aggressively employing technologies to accelerate the commercialization of SOEC technology through strategic alliances and government help upexpansioninthemarket.Theyareaggressivelyemployingtechnologiesto accelerate the commercializationof SOEC technologythrough strategic alliances and government help. Sunfire, for example, has developed next-generation high-temperature SOECs capable of achieving conversion efficiencies of over 85%, making them one of the most efficient electrolysis technologies available. By optimizing electrode materials, electrolyte compositions, and stack configurations, these companies are pushing the boundaries of what SOECs can achieve in terms of hydrogen production capacity and operational stability.Themostimportantinnovationin this regardis the integration of co-electrolysis capabilities, where SOECsdonot only split water into hydrogen and oxygen but also process carbon dioxide to produce syngas, averyimportantfeedstock for synthetic fuels. Thisinnovationhasbeen advocatedby companies like Solid PowerfromItalyand AVLfromAustria.Ithasnew possibilities forthe production ofcarbon-neutralfuelsasanalternative to conventional fossil fuel-based industrial processes.The company isusingautomation and advanced manufacturing techniques to reduce costs and improve scalability.Strategic Collaborations and Government SupportThisgrowingrecognitionoftheroleof hydrogen in achieving carbon neutralityhasbroughtincreased funding and policy supporttothedevelopmentof SOECs. Industry leaders aretakingadvantageofthistrendby forming strategic alliances with governments, research institutions, and industrial partners.Sunfire,forexample,has been activelycooperatingwith the German government on national hydrogen initiativesandhas securedfunding to furtherdevelopand commercialize its SOEC technology.Similarly, AVL (Austria) hascollaboratedwith European industrialmajorsto integrate SOECs into large-scale hydrogen production projectstoensuretheviability of thetechnologyat an industrial level. The European Union's Hydrogen Strategy has beencrucialinfacilitatingthese collaborations, providing both financial incentives and regulatory frameworks that encourage investment in SOEC infrastructure. Solid Power (Italy) isintensivelydeveloping SOECsoptimizedforCCUapplications,givingindustriesthe chanceto produce synthetic fuels fromCO₂ emissionsthat are captured. In addition, some companies areshiftingfromsellinghardwareto"SOEC-as-a-service" business models, where industries can lease SOEC systems and pay for hydrogen production as a service rather than investing in expensive infrastructure upfront. This model, pioneered by firms like FuelCell Energy, lowers the entry barriers for industries looking to transition to green hydrogen, further accelerating market adoption.Key industry players are shaping the SOEC market through relentless innovation, large-scale production expansion, and strategic partnerships.Improving efficiency, reducing costs, and collaborating with governments and industrial partnerswillacceleratethe commercialization of SOEC technology. Asdemand for green hydrogen and sustainable energy solutions continues togrow, these market leaders willdrivegrowth and adoption of SOECs worldwide.The coming years are expected toseefurtherimprovementsin efficiency, scalability, and integration with renewable energy,tomakeSOECsakeystonetechnologyofthe globaltransition toclean energy.

List of Top Solid Oxide Electrolysis Cell (Soec) Companies

• Sunfire (Germany)
• Haldor Topsøe (Denmark)
• Bloom Energy (USA)
• FuelCell Energy (USA)
• AVL (Austria)
• Solid Power (Italy)
• Convion (Finland)
• Mitsubishi Power (Japan)
• Kyocera Corporation (Japan)
• Elcogen (Estonia)

KEY INDUSTRY DEVELOPMENTS

April 2024: Mitsubishi Heavy Industry commenced operations of its 400 kW SOEC test module at the Takasago Hydrogen Park. This initiative represents a significant step toward next-generation hydrogen production technologies, aiming to advance hydrogen solutions for power generation.

March 2024: Topsoe successfully completed testing of its SOEC module, which comprises 12 running stacks and 1,200 cells, delivering a total power output of 350 kW.

REPORT COVERAGE

The study takes into account both current trends and historical turning points, providing a holistic understanding of the market's components and identifying potential areas for growth. Despiteallthese challenges,advancesin material science and stack design areraisingthe performance andlifetimeof planar SOECs,helpingfurtherspreadthemin renewable hydrogen production projects.

Tubular SOECs Tubular SOECs differ fromplanaronesin terms of structural designastubular one possessesa cylindrical configurationenhancingitsmechanical stability andresistance tothermalshocks.Ingeneral,durability andlifetimeofthetubularSOECsare higher and hence are preferableforusagethatrequireslong-term continuousoperations.

Theirthickstructurereducestheproblemsofsealing and thermal expansion, which arethemajordrawbacksin planar SOECs. However,theyhavesomedrawbacksin the form oflowpower densities and higher manufacturing costs, whichhaslimited their large-scale commercialization.