United Kingdom Carbon Dioxide Market Size, Trends & Growth 2025-2034

The United Kingdom carbon dioxide (CO2) market plays a significant role across various industries, including food and beverage, healthcare, manufacturing, and agriculture. CO2 is widely used for carbonation in drinks, refrigeration, and as a key component in medical procedures. It is also crucial in enhancing oil recovery and other industrial applications. In 2024, the UK carbon dioxide market attained a volume of 725.8 KMT, demonstrating its importance to these sectors. The market is projected to grow at a compound annual growth rate (CAGR) of 1.5% from 2025 to 2034, reaching a volume of 840.5 KMT by 2034. This growth is driven by increased demand across various sectors and advancements in CO2 production technology.

United Kingdom Carbon Dioxide Market Size

The United Kingdom carbon dioxide market in 2024 was valued at approximately 725.8 KMT. The market size is closely tied to the demand from major sectors such as food and beverages, healthcare, and industrial applications. The food and beverage sector, especially for the carbonation of soft drinks, beers, and other beverages, holds a significant share in the market. CO2 is also used extensively in packaging, preservation, and in modified atmosphere packaging (MAP) technologies. The healthcare sector, where CO2 is employed in medical procedures, respiratory therapies, and cryotherapy, adds to the market's size. With these sectors growing steadily, the UK’s CO2 market is expected to witness growth in the coming years, culminating in a projected volume of 840.5 KMT by 2034.

United Kingdom Carbon Dioxide Market Trends

Several key trends are shaping the carbon dioxide market in the United Kingdom:

Sustainability and Carbon Capture: There is a growing emphasis on reducing the carbon footprint across industries. As a result, CO2 capture and recycling technologies are gaining traction. Businesses are investing in carbon capture to produce sustainable CO2, aligning with environmental goals and regulations.

Demand from Food and Beverage: The demand for carbonated beverages continues to rise in the UK, driving CO2 consumption in this sector. The increasing consumption of bottled and canned drinks, particularly in soft drinks and beers, is expected to fuel market growth.

Medical Applications: CO2’s use in healthcare continues to grow. It plays an important role in medical therapies, including respiratory support and in procedures like cryotherapy, where its cooling properties are utilized. This is expected to continue as the healthcare sector expands.

Industrial Growth: The industrial application of CO2, including use in refrigeration, oil recovery, and fire suppression systems, is becoming more widespread. Innovations in CO2 applications in these industries are expected to drive further market expansion.

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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 forecasted to grow steadily over the next decade. This growth is primarily driven by the following factors:

Increased Consumption in Food and Beverage: With consumer preferences shifting toward more carbonated beverages, CO2 consumption in the food and beverage industry will continue to rise.

Expansion in Healthcare: The healthcare sector's ongoing expansion, particularly in respiratory therapies and medical imaging, will further drive demand for CO2. As healthcare technologies evolve, the need for CO2 in treatments and procedures will continue to grow.

Technological Advancements: The growing focus on reducing CO2 emissions through capture and recycling technologies will help meet the rising demand for CO2 in a more sustainable manner, reducing production costs and increasing market efficiency.

Regulatory Pressures: Government policies on sustainability and emission reductions will encourage industries to adopt cleaner and more efficient CO2 production and usage practices, supporting growth in the long term.

The market’s projected CAGR of 1.5% during 2025-2034 reflects steady but consistent growth across sectors. The food and beverage industry, as well as healthcare applications, will remain the primary drivers of demand.

United Kingdom Carbon Dioxide Market Analysis

The UK carbon dioxide market is complex, driven by the interplay of demand and supply dynamics. Key factors include:

Sector-Specific Demand: The most significant demand comes from the food and beverage sector for carbonation and food preservation. The healthcare sector also contributes significantly, particularly for medical therapies and surgical procedures. The growing industrial applications, including refrigeration and fire suppression, add to the demand for CO2.

Supply Challenges: CO2 production is often linked to natural gas extraction, and any disruptions in natural gas supply can impact the availability of CO2. However, the development of CO2 recycling and capture technologies has alleviated some of these challenges by offering a sustainable source of CO2.

Government Regulations: The UK’s regulatory landscape emphasizes reducing carbon emissions, which influences how CO2 is produced. Companies are increasingly turning to sustainable production methods, such as carbon capture technologies, to comply with these regulations.

United Kingdom Carbon Dioxide Market Forecast

The United Kingdom carbon dioxide market is forecasted to see moderate growth, reaching 840.5 KMT by 2034, at a CAGR of 1.5%. Factors contributing to this forecast include:

Continued Demand for Food and Beverage: As the consumption of carbonated beverages rises, CO2 will remain in high demand within this industry. The increasing adoption of bottled and canned products across various categories will also drive demand.

Medical and Industrial Uses: Both healthcare and industrial sectors will contribute to CO2 growth, particularly in medical procedures and industrial applications like refrigeration and enhanced oil recovery.

Sustainability Focus: The UK’s continued focus on reducing carbon emissions is likely to drive innovation in CO2 production, with a shift toward more sustainable practices and technologies that will meet rising demand.

Overall, the forecast indicates steady growth, albeit at a modest rate, driven by a variety of industries and environmental considerations.

Competitor Analysis

The United Kingdom carbon dioxide market is dominated by a few key players. These companies lead the market through their innovation, production capabilities, and sustainability practices:

Ensus UK Limited: Ensus is a major player in the UK CO2 market, involved in the production of CO2 for various sectors. The company specializes in sustainable CO2 production, especially for the food and beverage industry.

BioCarbonics Ltd.: BioCarbonics focuses on CO2 supply for food preservation, medical applications, and industrial uses. They are recognized for their commitment to environmental sustainability in CO2 production.

Tata Chemicals Europe Limited: Tata Chemicals is a leading producer of CO2 in the UK, supplying to industries such as food and beverage, healthcare, and industrial applications. They are dedicated to sustainable CO2 production methods.

Yara International ASA: Yara is a global player in the CO2 market, supplying the UK with CO2 for various sectors, particularly in agriculture, food processing, and industrial uses. The company focuses on environmental sustainability and innovative production technologies.

Air Products PLC: Air Products is a major supplier of industrial gases, including CO2, to various sectors in the UK. They are well-known for their sustainable CO2 production and distribution practices.

BOC Limited (Linde): BOC is a leader in the UK CO2 market, serving a wide range of industries, including healthcare, food and beverage, and industrial applications. The company is committed to providing eco-friendly CO2 solutions.

Air Liquide UK Ltd: Air Liquide supplies CO2 to several key industries in the UK, with a focus on healthcare, food preservation, and industrial applications. They are known for their advanced technologies in CO2 production.

Nippon Gases: A key player in the UK CO2 market, Nippon Gases provides CO2 for industrial, food, and healthcare uses, focusing on innovation and sustainable practices.

Progases (UK) Ltd: Progases is an established supplier of CO2 in the UK, with a strong focus on the food and beverage sector. Their solutions are tailored to meet the diverse needs of the industry.

Others: Several smaller or emerging companies also contribute to the UK carbon dioxide market, providing specialized CO2 solutions to meet niche demands.

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