Hydrogen market in Denmark

Earlier Report Observations

From 2018 to 2020, Denmark's hydrogen market volume grew from 2 275 thousand m³ to 4 184 thousand m³, driven by a doubling of domestic production and a sharp rise in imports. Production increased from 1 236 thousand m³ to 2 438 thousand m³ over the period, while imports jumped from 1 139 thousand m³ to 1 947 thousand m³ in 2020.

After 2020, import volumes fluctuated, peaking at 4 518 thousand m³ in 2022. This surge coincided with the European Commission's May 2022 revisions to clarify the EU's renewable hydrogen strategy under the Renewable Energy Directive, which stimulated demand and investment. Additionally, increased focus on large-scale hydrogen production facilities in Europe as part of the energy transition contributed to higher import levels. Imports remained elevated in subsequent years, though below the 2022 peak, reflecting ongoing market development.

Exports from Denmark varied throughout the period, with a notable increase in 2022 to 466 thousand m³ before declining, indicating shifting trade patterns as the hydrogen market evolved under EU policy frameworks.

Production hydrogen in Denmark

In value, 2018-2021, K $ US

Denmark's hydrogen production declined for the second consecutive year. In 2021, output was valued at 3,724 thousand US dollars, marking a significant decrease of 16.7% compared to the previous year. Over the period from 2018 to 2021, production fell by 14.1%, with a compound annual growth rate of -4.9%. The highest value was recorded in 2019 at 4,554 thousand US dollars, which also saw the largest increase of 5.0%.

Annual dynamics of production in Denmark in value, 2018-2021, K $ US

In kind, 2018-2021, K m³

Denmark's hydrogen production increased for the second consecutive year. In 2021, 2,438 thousand cubic meters of hydrogen were produced, representing a dramatic year-over-year uptick of 56.3%. From 2018 to 2021, production rose by 97.2%, with a compound annual growth rate of 25.4%.

Annual dynamics of production in Denmark in kind, 2018-2021, K m³

Exports hydrogen from Denmark

Exports in kind, K m³

After a two-year increase, hydrogen exports from Denmark declined. In 2021, Denmark exported 95 thousand cubic meters of hydrogen, equivalent to a 52.6% decrease compared to the previous year. Over the period from 2018 to 2021, exports decreased by 4.5%, with a compound annual growth rate of -1.5%. The maximum value was recorded in 2020 at 201 thousand cubic meters, which also saw the largest increase of 54.5%.

Annual dynamics of product's exports from Denmark in kind, 2018-2021, K m³

From 2018 to 2021, Sweden and Norway were the dominant destinations for Denmark's hydrogen exports in volume terms, jointly accounting for 85.1% of total flows, with the remaining share going to other markets.

Structure of product's exports in kind by countries, 2018-2021

World map of product's exports from Denmark in kind, 2018-2021

Exports in value, K $ US

The market exhibited an unstable trend throughout the timeframe. Volumes varied 2.3 times from the low in 2021 to the high in 2020. In 2021, Denmark exported 173.0 thousand US dollars worth of hydrogen, constituting an abrupt decline of 55.6% year-over-year. The maximum value was recorded in 2020 at 389.6 thousand US dollars, which also saw the largest increase of 80.2%.

Annual dynamics of product's exports from Denmark in value, 2018-2021, K $ US

Throughout 2018 to 2021, two countries—Sweden and Norway—concentrated most of Denmark's hydrogen exports in value terms, while other markets were less significant individually.

Structure of product's exports in value by countries, 2018-2021

World map of product's exports from Denmark in value, 2018-2021

Imports hydrogen to Denmark

Imports in kind, K m³

The market showed signs of volatility over the observed period. The span from 2019 to 2021 saw a peak-to-trough amplitude of 1.9 times. In 2021, hydrogen shipments to Denmark from abroad stood at 2,073 thousand cubic meters, up by 6.4% compared with 2020. The minimum value was recorded in 2019 at 1,090 thousand cubic meters, which also saw the largest decline of 4.3%. The largest increase was recorded in 2020 at 78.7%.

Annual dynamics of product's imports to Denmark in kind, 2018-2021, K m³

In 2018 to 2021, the geographical pattern of imports in volume terms reflected a strong dependence on Germany, which absorbed 92.9% of total flows.

Structure of product's imports in kind by countries, 2018-2021

World map of product's imports to Denmark in kind, 2018-2021

Imports in value, K $ US

Volatility characterized the market behavior during these years. Imports bottomed in 2019 and peaked in 2021, differing by 2.8-fold. In 2021, Denmark's hydrogen import volume stood at 977.2 thousand US dollars, marking a steep increase of 39.1% compared to the previous year. The minimum value was recorded in 2019 at 347.1 thousand US dollars, which also saw the largest decline of 8.9%. The largest increase was recorded in 2020 at 102.4%.

Annual dynamics of product's imports to Denmark in value, 2018-2021, K $ US

Over 2018 to 2021, imports in value terms of hydrogen to Denmark were largely concentrated on Germany, which accounted for 84.7% of total flows; other countries together formed the residual share.

Structure of product's imports in value by countries, 2018-2021

World map of product's imports to Denmark in value, 2018-2021