United Kingdom Carbon Dioxide Market Outlook
According to the report by Expert Market Research (EMR), the United Kingdom carbon dioxide market size reached a volume of 725.80 KMT in 2024. Driven by increasing industrial applications, the rising demand for carbonated beverages, and advancements in CO2 production and distribution technologies, the market is expected to grow at a compound annual growth rate (CAGR) of 1.50% between 2025 and 2034. By 2034, the market volume of 842.32 KMT.
Carbon dioxide (CO2) is a colorless, odorless gas that plays a critical role across a variety of industries, including food and beverage, healthcare, manufacturing, and energy. In its liquid and solid forms, CO2 is employed in multiple applications ranging from carbonating beverages to enhancing oil recovery and manufacturing dry ice. It is also increasingly used in environmental applications, such as carbon capture and storage (CCS), underscoring its growing importance in the industrial sector.
Key Market Drivers
The United Kingdom carbon dioxide market is primarily driven by the increasing demand in the food and beverage industry, the rising adoption of CO2 in the healthcare sector, and the growing focus on reducing greenhouse gas emissions and enhancing energy efficiency in industrial processes.
Growth in the Food and Beverage Industry
One of the largest contributors to the United Kingdom carbon dioxide market is its use in the food and beverage sector. CO2 is widely used in carbonating soft drinks, beer, and sparkling water, with an increasing demand for beverages with carbonated properties continuing to fuel market growth. Additionally, CO2 plays an important role in food preservation, where it is used in modified atmosphere packaging (MAP) to extend the shelf life of products such as fresh produce, meat, and bakery goods.The UK's growing demand for convenience foods and beverages is thus driving a sustained need for carbon dioxide, especially in ready-to-eat and packaged food segments. The increased consumption of carbonated beverages and convenience foods is expected to remain a pivotal factor in supporting the long-term growth of the carbon dioxide market.
Expansion in Healthcare Applications
The healthcare industry is also contributing significantly to the United Kingdom carbon dioxide market. CO2 is used in various medical applications, including in respiratory treatments and as a component of insufflation during minimally invasive surgeries. Moreover, it is used in the production of medical-grade dry ice, which is essential for transporting sensitive biological products, vaccines, and pharmaceuticals.The growing demand for healthcare services, the rising number of medical procedures, and increasing advancements in medical technology all contribute to the expanding use of CO2 in the healthcare sector. With the ongoing efforts to improve healthcare delivery and support medical transportation systems, the adoption of carbon dioxide in the industry is likely to increase further in the coming years.
Technological Advancements and Industrial Applications
Technological innovations in CO2 capture and utilization are also playing an increasingly important role in the growth of the carbon dioxide market in the UK. With the growing focus on reducing carbon emissions, CO2 is increasingly being used in enhanced oil recovery (EOR) techniques. In EOR, CO2 is injected into oil reservoirs to increase pressure and stimulate oil production, thereby improving recovery rates.Furthermore, the development of carbon capture and storage (CCS) technologies, aimed at mitigating the effects of climate change, is expected to spur demand for CO2. The UK government and several private organizations are actively involved in research and investment in CCS infrastructure, which will further contribute to the demand for carbon dioxide in the coming years.
Increasing Environmental Awareness and Sustainability Efforts
The increasing global focus on sustainability and reducing greenhouse gas emissions is also influencing the United Kingdom carbon dioxide market. CO2 has emerged as both a challenge and a potential solution to environmental issues, with its application in capturing and storing atmospheric carbon being viewed as one of the most promising ways to combat climate change.The UK government has established ambitious targets to achieve net-zero carbon emissions by 2050, and carbon dioxide is expected to play a crucial role in these efforts. The development of CCS projects and the adoption of CO2 utilization technologies are likely to contribute significantly to the market’s growth, as these solutions help industries reduce their environmental impact and improve operational efficiency.
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United Kingdom Carbon Dioxide Market Segmentation
The market can be divided based on source, production and End use.
Breakup by Source
- Ammonia
- Ethyl Alcohol
- Substitute Natural Gas and CCU
Breakup by Production
- Biological
- Combustion
Breakup by End Use
- Food and Beverages
- Oil and Gas
- Medical
- Metal Fabrication
- Others
Competitive Landscape
Some of the major players explored in the report by Expert Market Research are as follows:
- Ensus UK Limited
- BioCarbonics Ltd.
- Tata Chemicals Europe Limited
- Yara International ASA
- Air Products PLC
- BOC Limited (Linde)
- Air Liquide UK Ltd
- Nippon Gases
- Progases (UK) Ltd
- Others
Future Outlook
The United Kingdom carbon dioxide market is expected to continue its growth trajectory, driven by advancements in CO2 utilization technologies, increased industrial demand, and expanding applications in environmental sustainability. The growing emphasis on net-zero emissions, the rise of renewable energy sources, and carbon capture and storage projects are set to shape the future of the market. Additionally, the rising demand for CO2 in food preservation, healthcare, and oil recovery will continue to fuel market expansion
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