Institution: Hydrogen energy industry is expected to usher in large-scale development and accelerated industrialization

The Ministry of Industry and Information Technology, the Ministry of Finance, and the National Development and Reform Commission issued a notice on conducting pilot projects for the comprehensive application of hydrogen energy. It states that each urban agglomeration should prioritize pilot applications such as fuel cell vehicles, green ammonia, hydrogen-based chemical raw materials substitution, hydrogen metallurgy, and hydrogen-blended combustion. They should actively explore innovative hydrogen energy application scenarios to form a comprehensive hydrogen energy application ecosystem consisting of “one general scenario for fuel cell vehicles + N industrial application scenarios + X innovative application scenarios.”

CITIC Securities believes that the three departments have launched pilot projects for the comprehensive application of hydrogen energy and simultaneously released nationwide subsidy policies for the hydrogen industry. Financial support will expand from fuel cell vehicles during the 14th Five-Year Plan to green hydrogen and its downstream industries. The hydrogen energy industry is expected to see scaled development and accelerated industrialization under substantial policy support. The key areas to watch are: 1) operators of green ammonia projects; 2) manufacturers of key equipment for green hydrogen production—electrolyzers; 3) the fuel cell vehicle industry chain.

Guojin Securities believes that by 2025, the top-level attention to hydrogen energy will significantly increase, with frequent and sustained policy signals at the national level. Deep decarbonization in non-electric sectors makes hydrogen ammonia an indispensable key carrier, and the industry chain is entering a systematic development phase. Focus will be on three main directions with strong economic viability, clear demand, and dense policies: green alcohol, electrolyzers, and fuel cells.