Boston, April 24, 2025 (GLOBE NEWSWIRE) -- BCC Research reveals in its new report, Global Carbon Dioxide Removals (CDR) Market, the market for CDRs is grow from $3.4 billion in 2024 to $25.0 billion by 2029, at a compound annual growth rate (CAGR) of 49.0%. North America holds the highest share in this soaring market due to the presence of leading market players, robust technology infrastructure and a surge in demand for CDR technologies.
This comprehensive report analyzes the global CDR market by technology, buyers and regions, providing market size in value ($ millions) and volume (thousand tons). It covers key players, emerging technologies like biochar, direct air capture (DAC), BECCS and ocean alkalinization, while specifically excluding carbon capture, utilization, and storage (CCUS) methods like post-combustion and oxy-fuel combustion.
Factors Driving the Market:
- Government funding for carbon removal projects: Government funding for carbon removal projects supports the development and scaling of technologies to capture and store CO₂, helping to combat climate change. These investments aim to accelerate progress toward global carbon neutrality goals.
- Impact of stricter carbon regulations: Stricter carbon regulations drive businesses to adopt cleaner technologies and reduce emissions, promoting environmental sustainability. They also increase the demand for carbon removal solutions to meet compliance targets.
- Increasing demand for CCUS technologies: The demand for CCUS technologies is growing as industries seek ways to capture, use, and store CO₂ to meet emission reduction goals. These solutions play a key role in achieving global climate targets.
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Report Synopsis
| Report Metric | Details |
| Base year considered | 2023 |
| Forecast period considered | 2024-2029 |
| Base year market size | $1.5 billion |
| Market size forecast | $25.0 billion |
| Growth rate | CAGR of 49.0% (by value) from 2024 to 2029 |
| Segments covered | Technology, carbon credit buyer, and region |
| Regions covered | North America, Europe, the Middle East and Africa (EMEA), Asia-Pacific (APAC) and South America |
| Market drivers |
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Interesting facts
- DAC costs are lower in regions with abundant renewable energy and efficient technologies, like China, MEA, and Russia.
- The EMEA region is set for strong CDR growth, driven by sustainability goals, carbon neutrality targets, and regulations like ETS and carbon taxes.
- Key players focus on specialized areas, such as Climeworks in DAC and Aperam BioEnergia in BECCS.
- Biochar can remove 2.68 tCO₂e per ton, with an annual potential of 2.65 billion tCO₂e. It's cost-effective, with prices ranging from $0.09 to $13.48 per kg.
Questions Addressed:
- What is the market’s projected size and growth rate?
The global CDR market was valued at $1.5 billion in 2023 and is expected to reach $25.0 billion by the end of 2029 at a CAGR of 49%.
- What are the key factors driving the growth of the market?
Government funding for carbon removal projects, stricter carbon regulations, and increasing demand for CCUS are key factors driving the market.
- What segments are covered in the market?
The segments covered in the market are technology type and carbon credit buyers.
- Which carbon credit buyers’ segment will dominate the market by the end of 2029?
The finance segment will dominate the market by the end of 2029.
- Which region has the highest market share in the market?
North America holds the highest market share in the market due to the presence of leading market players, robust technology infrastructure, a surge in demand for CDR technologies and increasing initiatives by market players to increase carbon removal and capture capacity in the region.
Leading Companies:
- Aperam Bioenergia
- Arca
- Bussme Energy Ab
- Carbofex Ltd.
- Carbon Engineering Ulc.
- Carbonfree
- Carbfix Hf.
- Cella Mineral Storage Inc.
- Climeworks
- Ebb Carbon Inc.
- Exomad Green
- Global Thermostat (Zero Carbon Systems)
- Novocarbo Gmbh
- Neustark Ag
- Orsted A/S
- Pacific Biochar Benefit Corp.
- Stockholm Exergi Ab
- Wakefield Biochar
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