Canada Pink Hydrogen Market

Canada Pink Hydrogen Market Insights Forecasts to 2035

• The Market Size is Expected to Grow at a CAGR of around 23.50% from 2025 to 2035
• The Canada Pink Hydrogen Market Size is Expected to hold a significant share by 2035.

According to a research report published by Decisions Advisors, The Canada Pink Hydrogen Market Size is Expected to Grow at a CAGR of 23.50% during the forecast period 2025-2035. The substantial investment in pink hydrogen technologies is driven by the region's emphasis on energy security, decarbonising difficult-to-abate sectors, and creating robust domestic hydrogen supply chains. Moreover, the rapid growth is further supported by public-private partnerships, growing utility involvement, and funding for advanced electrolyser and nuclear-hydrogen integration research.

Market Overview

The Canadian pink hydrogen market is a segment of the renewable energy industry that caters to the production, sale, and shipment of hydrogen produced by nuclear-powered electrolysis. It sets it against violet hydrogen (natural gas with carbon capture) and green hydrogen (powered by renewable resources). Its production is comparable to that of green hydrogen, but it uses nuclear energy, an increasingly popular carbon-free energy source, instead of renewable electricity. The resurgence of advanced nuclear reactors offers a special chance to diversify the market away from fossil fuel-based processes and scale clean H2 production. Although there have been significant recent advancements to increase its range, primarily in the transportation and refinery industries. The increasing use of hydrogen is driving up demand for nuclear-based hydrogen, which aids in the production of electricity.

The CANDU reactors, Canada is actively investing in pink hydrogen as part of its larger hydrogen and clean energy strategies. Moreover, to facilitate the integration of low-carbon hydrogen, such as pink hydrogen, into industrial and electrical systems, Ontario established a $30 million Hydrogen Innovation Fund in 2025.

Also, British Columbia received federal investments totalling nearly $467,000 to bolster its hydrogen and fuel cell industries. According to Canada's Hydrogen Strategy, by 2050, 3–18% of the country's energy could come from low-carbon hydrogen.

Report Coverage

This research report categorises the market for the Canada pink hydrogen market based on various segments and regions, and forecasts revenue growth and analyses trends in each submarket. The report analyses the key growth drivers, opportunities, and challenges influencing the Canada pink hydrogen market. Recent market developments and competitive strategies, such as expansion, product launch, development, partnership, merger, and acquisition, have been included to draw the competitive landscape in the market. The report strategically identifies and profiles the key market players and analyses their core competencies in each sub-segment of the Canada pink hydrogen market.

Driving Factors

The market for pink hydrogen is driven by the increasing push to diversify hydrogen production techniques, lower greenhouse gas emissions, and decarbonise energy systems. The implementation is being accelerated by government-backed hydrogen roadmaps, carbon neutrality commitments, and financial incentives for clean hydrogen projects. Furthermore, nuclear-powered electrolysis's consistent performance offers a dependable way to satisfy industrial hydrogen demand, particularly in industries where operational continuity is crucial. Flexible and efficient solutions have been made feasible by collaboration among power plant operators, hydrogen producers, and academic institutions. Combining nuclear plants with hydrogen hubs and export terminals is becoming more popular and drives the market expansion.

The development of pink hydrogen hydrogen created through nuclear-powered electrolysis, is being actively supported by the Canadian government. Nuclear energy is recognised as an additional low-carbon source in Canada's Hydrogen Strategy, especially in provinces like Ontario that have sizable reactor fleets. Additionally, the government has created 8 hydrogen hubs, established 22 hydrogen codes and standards, and signed 12 international agreements to promote collaboration.

Restraining Factors

Despite strong government support, the market for pink hydrogen in Canada is hampered by high production costs, inadequate infrastructure, unclear regulations, and early commercialisation.

Market Segmentation

The Canada pink hydrogen market share is classified into process and form.

• The PEM electrolysis segment held a substantial share in 2024 and is anticipated to grow at a remarkable CAGR over the forecast period.

The Canada pink hydrogen market is segmented by process into PEM electrolysis (polymer electrolyte membrane), alkaline electrolysis, and solid oxide electrolysis. Among these, the PEM electrolysis segment held a substantial share in 2024 and is anticipated to grow at a remarkable CAGR over the forecast period. This technology splits water into hydrogen and oxygen using electricity, which is frequently produced from nuclear energy in the case of pink hydrogen. Electrolysis is a movement for decarbonization, and it is the most effective and environmentally friendly way to produce hydrogen. In industries like nuclear or renewable energy, electrolysis is the preferred option because it can produce hydrogen with little to no carbon emissions.

• The liquid segment held a significant share in 2024 and is anticipated to grow at a rapid pace over the forecast period.

The Canada pink hydrogen market is divided by form into liquid and gas. Among these, the liquid segment held a significant share in 2024 and is anticipated to grow at a rapid pace over the forecast period. This is because it has a higher energy density and is easier to store and transport over long distances. This is particularly crucial for sectors like energy storage and transportation, and its ability to operate stably in low temperatures, where the need for liquid hydrogen is rising quickly. Further, the aerospace industry frequently uses this form for rocket fuel, which drives the segment growth.

Competitive Analysis:

The report offers the appropriate analysis of the key organizations/companies involved within the Canada pink hydrogen market, along with a comparative evaluation primarily based on their product offering, business overviews, geographic presence, enterprise strategies, segment market share, and SWOT analysis. The report also provides an elaborative analysis focusing on the current news and developments of the companies, which includes product development, innovations, joint ventures, partnerships, mergers & acquisitions, strategic alliances, and others. This allows for the evaluation of the overall competition within the market.

List of Key Companies

• Hydrogen Canada Corp.
• Primary Hydrogen Corp.
• AEG Power Solutions (Canada)
• Ontario Power Generation (OPG)
• Bruce Power / Hydrogen Alliance Partners
• Others

Key Target Audience

• Market Players
• Investors
• End-users
• Government Authorities 
• Consulting and Research Firm
• Venture capitalists
• Value-Added Resellers (VARs)

Market Segment

This study forecasts revenue at Canada, regional, and country levels from 2020 to 2035. Decisions Advisors has segmented the Canada pink hydrogen market based on the below-mentioned segments:

Canada Pink Hydrogen Market, By Process

• PEM Electrolysis (Polymer Electrolyte Membrane)
• Alkaline Electrolysis
• Solid Oxide Electrolysis

Canada Pink Hydrogen Market, By Form

• Liquid
• Gas