Global CDR market projected to exceed USD 19 billion by 2031 as the net-zero race drives significant carbon removal investments.
Global CDR market projected to exceed USD 19 billion by 2031 as the net-zero race drives significant carbon removal investments.
[Geneva, 20th June 2025] – According to Clearview Market Insights (CVMI), the global carbon
dioxide removal (CDR) market is projected to grow from USD 1.64 billion in 2024
to USD 19.67 billion by 2031. This expansion is driven by a surge in
public-private investment, increasing carbon prices, and new carbon crediting
mechanisms designed to support durable removals.
"Carbon removal is no longer optional—it is becoming essential for
hitting global net-zero and 1.5°C pathways," said Dr. Erika Nolan, CVMI’s
Director of Carbon Markets and Climate Innovation.
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Growth Accelerators:
- Over
500 organizations have issued advance market commitments (AMCs) for
durable removal credits
- The
U.S. Department of Energy’s Carbon Negative Shot and the EU’s Carbon
Removal Certification Framework are boosting deployment
- Corporate
buyers like Microsoft, Stripe, and Shopify are underwriting
first-of-a-kind technologies
Technology and Regional Segmentation:
The CDR market is divided into engineered
solutions (DAC, BECCS, mineralization) and nature-based approaches
(afforestation, biochar). North America and Europe account for over 65% of CDR
project financing as of 2024, with the Asia-Pacific region emerging as a growth
driver in enhanced weathering and ocean-based projects.
End-Use Application Insights:
The largest end-users include governments,
net-zero corporations in technology and finance, and heavy industries such as
aviation, cement, and steel. New sectors in agriculture and food processing are
exploring biochar and soil carbon solutions.
Innovation Spotlight:
Engineered solutions like DAC and
mineralization are scaling rapidly, supported by AI-optimized site selection
and blockchain-integrated MRV systems. Nature-based methods such as
afforestation and biochar are also gaining traction, particularly in the Global
South.
Finance and Policy Outlook:
Blended finance tools, green bonds, and carbon removal-linked
derivatives are emerging to reduce risks associated with capital flows. The
rise of digital MRV platforms is making long-term carbon accounting feasible
for institutional investors.
By 2031, the CDR market is expected to be a multi-segment, multi-region
ecosystem delivering over 1 gigaton of removal annually across diversified
technologies.
For more
insights, visit https://clearviewmarketinsights.com/
About Clearview Market Insights:
Clearview Market Insights is a leading market research and
consulting firm providing in-depth industry analysis and strategic
recommendations for businesses worldwide.
Media contact:
Bhavani K
Marketing and Sales Head
ClearView Market Insights
Mail: sales@clearviewmarketinsights.com
Phone: +1 917-993-7369
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