The global carbon dioxide market size was estimated at USD 11,798.6 million in 2024 and is projected to reach USD 19,997.6 million by 2033, growing at a CAGR of 6.0% from 2025 to 2033. Market growth is primarily driven by the increasing utilization of CO₂ in enhanced oil recovery (EOR) applications, a process that has become increasingly important due to declining oil reserves and a high dependence on crude oil imports, particularly across the Asia Pacific region.

As oil reserves continue to deplete, the need for maximizing extraction efficiency has become a major focus for oil and gas producers. This has accelerated the adoption of EOR methods, especially those involving CO₂ injection, which helps improve oil recovery rates from mature and declining fields. The growing global demand for crude oil and natural gas has further intensified the supply-demand imbalance, reinforcing the importance of implementing advanced recovery technologies such as CO₂-based EOR to sustain production levels.

Moreover, supportive government policies, along with infrastructure development initiatives and financial incentives in countries like India, China, Indonesia, and Malaysia, are driving investments in the oil and gas sector. These measures are attracting foreign participation and promoting the large-scale use of CO₂ injection technologies for EOR applications, contributing to regional and global market expansion.

The carbon dioxide industry is expected to experience significant growth over the coming years, supported by its increasing application in gas injection-based EOR technologies. Several factors are propelling this growth, including volatile crude oil prices, the rising number of mature oil wells, and the growing need to extract hydrocarbons from unconventional reserves such as tight sands and carbonate formations. Together, these factors are fostering the advancement and adoption of CO₂-based recovery solutions, positioning CO₂ as a vital component in the sustainable development of the global energy sector.

Key Market Trends & Insights:

• North America dominated the carbon dioxide (CO₂) market in 2024, accounting for the largest revenue share of 42.0%. This dominance is primarily attributed to the strong presence of well-established industries such as oil & gas, food & beverages, healthcare, and chemicals, which are major consumers of carbon dioxide. The region’s extensive use of CO₂ for enhanced oil recovery (EOR) applications, coupled with its advanced energy infrastructure and technological expertise, has significantly contributed to market growth. Additionally, the rising adoption of sustainable practices, including carbon capture and utilization (CCU) technologies, is further strengthening North America’s leadership position in the global CO₂ market.

• Based on source, the substitute natural gas (SNG) segment is expected to record the fastest CAGR of 6.7% from 2025 to 2033. The increasing focus on sustainable and cleaner energy production has led to a growing interest in SNG as an alternative to conventional natural gas. During SNG production, carbon dioxide is often generated as a by-product, creating opportunities for its efficient capture, purification, and reuse across multiple industrial applications. Moreover, advancements in gasification and methanation technologies, along with favorable government initiatives aimed at reducing carbon emissions, are expected to further drive CO₂ production from SNG sources during the forecast period.

• By application, the food & beverages segment held the largest revenue share of 41.3% in 2024, underscoring its leading role in the global CO₂ market. Carbon dioxide is widely used in this sector for applications such as carbonation of soft drinks and alcoholic beverages, preservation of packaged foods, freezing and chilling processes, and modified atmosphere packaging (MAP) to extend product shelf life. The increasing consumption of carbonated drinks, convenience foods, and ready-to-eat products, especially in emerging economies, continues to boost CO₂ demand in this segment. Furthermore, the growing adoption of CO₂ as a natural and non-toxic refrigerant in food processing and storage facilities is expected to sustain the dominance of the food & beverages application segment in the coming years.

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Market Size & Forecast:

• 2024 Market Size: USD 11,798.6 Million

• 2033 Projected Market Size: USD 19,997.6 Million

• CAGR (2025-2033): 6.0%

• North America: Largest market in 2024

Key Companies & Market Share Insights:

Some of the key players operating in the global carbon dioxide (CO₂) industry include Evonik Industries AG and Kao Corporation, both of which hold strong positions in the market due to their technological expertise, product innovation, and global presence.

Evonik Industries AG, headquartered in Essen, Germany, is a leading global chemical manufacturer and a well-established, mature participant in the carbon dioxide industry. Leveraging decades of experience in amine and surface chemistry, the company provides an extensive range of carbon dioxide-based derivatives such as primary, ethyl alcohol, and ethylene oxide amines, which cater to a wide variety of industrial and specialty applications. Evonik’s CO₂-based products deliver key performance benefits, including emulsification, hydrophobicity, anti-static properties, surface activity, and corrosion inhibition, making them essential across several end-use industries. These include agriculture (as adjuvants), personal and home care (as conditioning agents), oil & gas (as corrosion inhibitors), as well as textiles and rubber manufacturing.

The company’s vertically integrated production systems, extensive sourcing capabilities, and globally distributed manufacturing facilities enable Evonik to maintain consistent quality, efficient logistics, and responsiveness to regional market needs. Furthermore, its advanced R&D centers—strategically located in Germany, the U.S., and Asia—are focused on green chemistry, sustainable synthesis methods, and performance optimization tailored to specific customer applications. Evonik continues to lead in developing eco-friendly fatty amine and CO₂-based solutions, including biogenic and low-VOC formulations, aligning with global sustainability trends and regulatory expectations.

In addition, KLK OLEO and Indo Amines Limited are recognized as emerging participants in the carbon dioxide industry.

KLK OLEO, headquartered in Malaysia, is a rapidly growing player in the global market and is expanding its footprint across Asia-Pacific, Europe, and the Americas. While traditionally strong in oleochemical production, the company has increasingly integrated advanced fatty amine and CO₂-based technologies into its portfolio to meet the rising demand for high-performance, biodegradable, and sustainable surfactants. Its CO₂-derived products are widely utilized in personal care, home care, agriculture, oil & gas, and rubber industries.

Through a combination of strategic investments, vertical integration, and technological partnerships, KLK OLEO has enhanced its ability to deliver consistent quality, regulatory-compliant, and customized CO₂-based solutions suited to diverse customer requirements. The company places strong emphasis on sustainability, using renewable feedstocks and adhering to green chemistry principles to promote environmentally responsible sourcing and manufacturing. Moreover, KLK OLEO provides value-added services such as technical consultation, application development, and supply chain reliability, positioning itself as a trusted and agile partner in the evolving global carbon dioxide industry.

Key Players

• Acail Gas

• Air Liquide

• Air Sources and Chemicals, Inc.

• Greco Gas Inc.

• Linde AG

• Messer Group

• Sicgil India Limited

• SOL Group

• Quimetal

• Taiyo Nippon Sanso Corporation

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Conclusion:

The carbon dioxide market is set for steady growth, anchored by the rising use of CO₂ in enhanced oil recovery (EOR) and its expanding role in diverse industries such as food & beverages, rubber, and medical. Driven by declining oil reserves and increasing dependency on imports in many regions, CO₂-based recovery methods are becoming more critical. Supportive government policies, infrastructure investments, and sustainability initiatives are further enhancing the market outlook.