KATHMANDU: After establishing its global dominance in battery electric vehicles, China is ramping up efforts to take the lead in hydrogen fuel cell electric vehicles (FCEVs) as well.
The Chinese government has significantly increased its budget for promoting FCEVs and is partnering with Japanese and South Korean automakers to develop hydrogen-powered buses, trucks and other heavy-duty vehicles.
China’s Ministry of Finance has announced 2.34 billion yuan ($321.5 million) in funding for 28 districts across 10 provinces as part of its FCEV demonstration program—a 44% increase over last year’s budget. Over the past three years, China has invested more than 5.11 billion yuan ($700 million) under the program. Major cities like Beijing, Shanghai Tangshan and Tianjin are emerging as key hubs for hydrogen adoption in China.
Rapid Growth in FCEV Adoption
China began commercializing FCEVs in 2020 and has already developed a fleet of over 10,000 vehicles. It aims to increase this number to 50,000 by the end of this year, with full-scale commercialization targeted by 2035.
FCEVs are particularly well-suited for public transportation and heavy-duty logistics which require long driving ranges and fast refueling.
Partnerships with Japan, South Korea
Japan and South Korea are global leaders in hydrogen technology. Automakers like Toyota and Hyundai have already introduced advanced hydrogen-powered vehicles. Toyota’s Mirai, and Hyundai’s hydrogen-powered SUVs, trucks and buses are considered among the best in this technology.
China is collaborating with companies like Hyundai and Nissan to co-develop FCEV technologies. In Guangzhou, Hyundai operates its first overseas hydrogen fuel cell production facility-HTWO Guangzhou. It supplies fuel cell systems for logistics trucks and sanitation vehicles. Nissan, on the other hand, has launched hydrogen-powered Venucia models for trial use also in Guangzhou.
Despite its potential, the FCEV sector still faces challenges like insufficient hydrogen refueling infrastructure, high hydrogen production costs and the need to ensure hydrogen is produced using clean energy sources. Building the necessary infrastructure will require a huge investment.
Nonetheless, China’s growing focus on hydrogen signals a strong commitment to diversifying its clean transportation portfolio and emerging as a global leader in FCEV technology. With continued government backing and international collaboration, the future of hydrogen mobility in China looks bright.