Latin America Carbon Dioxide (CO2) Market Size Worth USD 2.82 Billion by 2034 | CAGR: 4.09%

The latin america carbon dioxide market size is expected to reach USD 2.82 billion by 2034, according to a new study by Polaris Market Research. The report “Latin America Carbon Dioxide Market Share, Size, Trends, Industry Analysis Report By Source (Hydrogen, Ethyl Alcohol, Ethylene Oxide, Substitute Natural Gas, Others), By Application, By Country; Market Forecast, 2025–2034” gives a detailed insight into current market dynamics and provides analysis on future market growth.

The demand for carbon dioxide (CO2) in South America is projected to witness significant growth driven by upstream players investing in enhanced oil recovery operations to maintain production levels. Additionally, the increasing use of CO2 in refrigeration, food and beverages, chemical wholesaling, and pharmaceuticals is further propelling market growth.

Questions? Request a sample or make an inquiry before buying this report by clicking the link below: https://www.polarismarketresearch.com/industry-analysis/latin-america-carbon-dioxide-market/request-for-sample

The consumption of carbonated drinks, frozen foods, and soda water is a major contributing factor to the growing demand for CO2 in South America. However, despite these favorable market dynamics, the high costs associated with capturing, liquefying, and transporting CO2 pose a significant challenge. This cost factor can potentially hinder the growth of the CO2 market in South America, as it affects the feasibility and profitability of utilizing CO2 across various industries.

Latin America CO2 Market Report Highlights

• In terms of source, the ethyl alcohol segment held 34.28% of the revenue share in 2024 due to strong agricultural production, particularly in Brazil.
• The substitute natural gas segment is projected to register a CAGR of 4.31% from 2025 to 2034, owing to a rising shift toward cleaner and more reliable sources of carbon dioxide.
• Based on application, the oil & gas segment accounted for 64.33% of Latin America carbon dioxide (CO2) market share in 2024 due to the region’s reliance on enhanced oil recovery (EOR) techniques.
• The food & beverages segment is expected to register a CAGR of 4.44% from 2025 to 2034, owing to shifting consumer lifestyles, rising urbanization, and increasing disposable incomes.
• Brazil accounted for 43.19% of the Latin America carbon dioxide (CO2) market share in 2024. This dominance is attributed to its strong ethanol industry, which provides a steady and cost-effective source of CO2.
• The market in Chile is estimated to register a CAGR of 3.50% from 2025 to 2034, owing to expanding industrial activities, particularly in food and beverage production, where companies use CO2 for carbonation and preservation.
• A few key market players include Air Liquide; Air Products Inc.; Linde Plc; Messer SE & Co. KGaA; Oxigas Gases; SOL Group; Technip Energies; White Martins; and Zephyr Solutions, LLC.

Polaris Market Research has segmented the CO₂ market report on the basis of source, application, and country:

By Source Outlook (Revenue, USD Billion, Volume Kiloton, 2020–2034)

• Hydrogen
• Ethyl Alcohol
• Ethylene Oxide
• Substitute Natural Gas
• Others

By Application Outlook (Revenue, USD Billion, Volume Kiloton, 2020–2034)

• Food & Beverages
• Oil & Gas
• Medical
• Rubber
• Firefighting
• Others

By Country Outlook (Revenue, USD Billion, Volume Kiloton, 2020–2034)

• Brazil
• Argentina
• Chile
• Columbia
• Peru
• Rest of Latin America