According to the China Hydrogen Technology Development Report 2024, China’s fossil fuel-based hydrogen production is expected to peak around 2030 and then begin to decline rapidly.
Original By NLS
According to the China Hydrogen Technology Development Report 2024, China’s fossil fuel-based hydrogen production is expected to peak around 2030 and then begin to decline rapidly. The report was jointly compiled by the China Industrial Development Promotion Association’s Hydrogen Energy Branch and over 30 leading companies and research institutions in the hydrogen sector.
The report predicts that by 2030, industrial byproduct hydrogen—a key method for utilizing waste gases—will play a critical role in meeting China’s hydrogen demand, acting as a key transitional source until renewable energy-based hydrogen production can scale up. By 2035, as more green hydrogen projects come online, the share of hydrogen supplied by industrial byproducts and water electrolysis using renewable energy will reach a turning point.
As of December 2023, China’s hydrogen production capacity stood at approximately 49.6 million tons per year. Traditional methods, including coal gasification, natural gas reforming, and industrial byproduct hydrogen, still account for 97.3% of the country’s total hydrogen production capacity. Currently, coal-based hydrogen production is China’s most widely used and technologically mature method, offering advantages such as low raw material costs, large-scale production, and high reliability. Due to China’s relatively small natural gas reserves, natural gas-based hydrogen production remains a smaller segment of the market.
The report also highlights significant progress in Pressure Swing Adsorption (PSA) hydrogen purification technology since China broke foreign monopolies in the 1990s. Although there is still room for improvement in areas like adsorber size and programmable control valve adjustability, China’s large-scale PSA technology is now globally competitive. The country has the capability to design and manufacture PSA units with a hydrogen extraction capacity exceeding 100,000 Nm³/h, with Chinese-made technology already being exported abroad.