According to data released by CAAM in August, China's hydrogen fuel cell vehicle production in July 2026 was only 67 units, a sharp YoY decline of 70.7%; sales were 138 units, down 51.4% YoY. From January to July, cumulative hydrogen vehicle production was 600 units and sales were 800 units, down 61.5% and 50.3% YoY respectively, with the overall market in a policy vacuum adjustment period after the conclusion of the first batch of demonstration city clusters.
This week, China's alkaline electrolyzer market capacity remained at 43.77 GW, and PEM electrolyzer market remained at 2.7 GW.
This week, the 7.5 MW container-type alkaline hydrogen production equipment of CSSC (Handan) Pearl Hydrogen Technology Co., Ltd., affiliated with the 718th Research Institute of CSSC, has completed all production and acceptance, and was officially shipped to Romania.
2. Project-Related Updates
Ulanqab-Beijing-Tianjin-Hebei Hydrogen Pipeline (Third change, increased to 1,200 km):The National Development and Reform Commission (NDRC) and the National Energy Administration officially issued the "Oil and Gas Development '15th Five-Year Plan'," which for the first time proposed "integration of oil and gas with hydrogen, ammonia, methanol, and storage and transportation systems," and in the key project table for the '15th Five-Year' oil and gas pipelines, clearly announced the core parameters of the Ulanqab-Beijing-Tianjin-Hebei hydrogen pipeline: total length 1,200 km, pipe diameter 457/610 mm, designed transportation capacity 500,000 mt/year. This is the third documented length change for this pipeline—from the initial over 400 km, to 1,145 km, then to 1,132 km, and now finalized at 1,200 km. The project has been elevated to a national-level key project in the '15th Five-Year Plan', and is expected to accelerate into substantive construction, becoming the starting point for building a national hydrogen storage and transportation backbone network.
China Chemical Engineering Co., Ltd. Donghua Company (Shenneng Etuokeqi Wind and Solar Power Hydrogen Production Integrated Green Ammonia Project):The hydrogen production engineering of the Shenneng Etuokeqi Wind and Solar Power Hydrogen Production Integrated Green Ammonia Project, contracted by Donghua Company, has reached an important period, with all 48 electrolyzers achieving stable full production, and a one-time successful start-up of the entire process, achieving "zero accidents, zero casualties." The 48 electrolyzers from five suppliers operated stably and coordinately on the same platform, verifying the full-cycle EPC management capability of hydrogen production from fluctuating power supply, marking that the hydrogen production station has comprehensive and stable hydrogen production capacity.
Shanghai Electric (Taonan Phase II Project):The Taonan Green Hydrogen Coupled Biomass Green Alcohol and Oil Integrated Project has officially launched. The project plans to produce 200,000 mt of green methanol and 10,000 mt of sustainable aviation fuel (SAF) annually, adopting Shanghai Electric's new-generation green fuel system solution, pioneering an off-grid green direct connection mode. It relies on "wind + solar + storage + biomass" multi-green electricity supply, equipped with key core technologies such as water electrolysis for hydrogen production, pure oxygen pressurized fluidized bed biomass gasification 3.0, CO₂-rich syngas methanol synthesis, and Fischer-Tropsch synthesis for SAF. The green methanol previously produced in the Taonan Phase I project has completed two large-scale bunkering operations at Shanghai Yangshan Port, setting a global record for the largest single green methanol bunkering volume.
Zhensheng Biotechnology (Inner Mongolia) Co., Ltd.:The biomass green hydrogen and bio-based materials industrialisation project of Zhensheng Biotechnology (Inner Mongolia) Co., Ltd. has been filed. The project is located in Dalate Banner Economic Development Zone, Ordos, with a total investment of 450 million yuan. It plans to start construction in July 2026 and be completed in July 2028. The project uses agricultural and forestry residues and other biomass as raw materials, adopts a slurry process to produce biomass activated carbon powder, and then produces green hydrogen through entrained-flow gasification and other processes. After completion, it will produce 65,000 mt of green hydrogen, 300,000 mt of biomass alloy slurry, 30,000 mt of new humic acid organic mineral matrix, and 36,000 mt of guaiacol humic acid multi-nutrient medicinal fertilizer per year.
Goldwind Science&Technology (Hinggan League Wind Power Hydrogen Production Phase III Project):The Hinggan League Ecological Environment Bureau has approved the "Environmental Impact Report for Hinggan League Goldwind Science&Technology Wind Power Hydrogen Production (Phase III) Project". Located in Hinggan League Economic and Technological Development Zone, Phase III does not occupy additional land. It will construct six electrolytic hydrogen production workshops, one hydrogen compression workshop, and supporting auxiliary facilities. The core hydrogen production equipment consists of 80 sets of 2,000 Nm³/h electrolysers, with a total hydrogen production capacity of 160,000 Nm³/h.
Liaoyuan Tianying Hydrogen Energy Technology Co., Ltd. (Liaoyuan Tianying Green Hydrogen Refuelling Station Has Been Granted Filing):The project is located in Liaoyuan High-tech Industrial Development Zone, Jilin Province, with a total investment of 16.831 million yuan. It plans to start construction in September 2026 and be completed in April 2027. Main construction contents: one set of 45 MPa hydrogen storage bottle group (hydrogen storage: 259 kg), one set of 20 MPa hydrogen storage bottle group (hydrogen storage: 538 kg), one 1.6 MPa hydrogen buffer tank (14 kg), with a total hydrogen storage capacity of approximately 1,195 kg; configuration of two 45 MPa hydrogen compressors, two 20 MPa hydrogen compressors, and two 35 MPa hydrogen refuelling dispensers. The project is indirectly 100% owned by China Tianying Inc.
Inner Mongolia Huadian (Damao Banner 1 GW Wind and Solar Power Hydrogen Production Integrated Project):Two sections of the Huadian Damao Banner 1 GW Wind and Solar Power Hydrogen Production Integrated Project have published bid result announcements, with a total amount of approximately 1.7 billion yuan. The first bid winner for Section 1 (PC construction general contracting) is China Huadian Engineering Co., Ltd., with a bid price of approximately 501 million yuan; the first bid winner for Section 2 (383 MW wind and solar power PC + hydrogen production station + 220 kV step-down substation) is China Energy Engineering Group Tianjin Electric Power Construction Co., Ltd., with a bid price of approximately 1.205 billion yuan.
Baotou Haoyu New Energy Co., Ltd. (Baotou Haoyu New Energy Co., Ltd. Airport Road (Branch Station) Oil-Gas-Electricity-Hydrogen Integrated Energy Supply Station Project Change Has Been Granted Filing):The project is located in Donghe District, Baotou, with a total investment of 40 million yuan and a total land area of approximately 3,000 m². It will build one oil-gas-electricity-hydrogen integrated energy supply station, equipped with CNG refuelling facilities (daily gas supply volume: 10,000 m³), petrol refuelling facilities, eight fast charging piles, and hydrogen refuelling facilities (daily refuelling capacity: 500 kg). The project will be implemented in two phases.
Shanghai Electric, together with Shanghai International Port Group and CMA CGM (Yangshan Port Green Methanol Bunkering) : Shanghai Electric, together with Shanghai International Port Group and CMA CGM, successfully completed batch green methanol bunkering at Shanghai Yangshan Port, with a total bunkering volume of 8,000 mt, setting a world record for the largest single green methanol bunkering operation. The green methanol bunkered this time was mainly supplied by Shanghai Electric's Tao'nan Green Methanol Project, marking the first large-scale verification since the commissioning of the "Green Fuel Transport Corridor" jointly built by Shanghai, Jilin, and Liaoning provinces (the "Southbound Methanol Transport" chain: production in Tao'nan, Jilin — transshipment at Dalian Port — bunkering at Shanghai Port).
III. Policy Review
1. The Ministry of Industry and Information Technology, the Ministry of Finance, and the National Development and Reform Commission (NDRC) issued the "Notice on Approving the Pilot Work for Comprehensive Hydrogen Energy Application in Five City Clusters including Beijing-Tianjin-Hebei," which gave in-principle approval to five city clusters—Beijing-Tianjin-Hebei, the Greater Bay Area, Northeast China (including eastern Inner Mongolia) — Yangtze River Delta, Xinjiang — Chengdu-Chongqing Dual-City Economic Circle, and the Yellow River Bend — Central China—to carry out pilot work on comprehensive hydrogen energy application, with a pilot period of four years. The notice requires that efforts be accelerated to implement the four lists: hydrogen technology and equipment breakthroughs, hydrogen projects in the industrial sector, promotion of fuel cell vehicles, and construction of hydrogen refueling stations. It emphasizes preventing local protectionism, "small and complete" systems, rushed launches, and low-level redundant construction. Compared with the first batch of demonstrations in four city clusters in 2020, the policy center of this round has shifted from "single demonstration" to "comprehensive application."
2. The National Development and Reform Commission (NDRC) and the National Energy Administration issued the "15th Five-Year Plan for Oil and Gas Development," which for the first time proposed the "integration of oil, gas, hydrogen, ammonia, and methanol storage and transportation systems," providing top-level design support for breaking the storage and transportation bottlenecks of the hydrogen industry during the "15th Five-Year Plan" period. The plan clearly states "promote the construction of the Ulanqab–Beijing-Tianjin-Hebei hydrogen pipeline," and in the key project list for oil and gas pipelines during the "15th Five-Year Plan," it announced that the pipeline has a total length of 1,200 km, a diameter of 457/610 mm, and a designed transmission capacity of 500,000 mt/year.
3. The People's Government of Inner Mongolia Autonomous Region issued the "Notice on Amending Relevant Contents of Document No. 15 of the General Office of the Inner Mongolia Autonomous Region," removing the provisions in the 2022 "Opinions on Promoting High-Quality Development of the Hydrogen Energy Industry" that hydrogen equipment manufacturing enterprises' production electricity prices should refer to strategic emerging industry electricity prices, and that the eastern region should participate in market transactions with a 100% new energy proportion. Hydrogen equipment manufacturing enterprises will no longer enjoy exclusive electricity price policies and will return to the market-based trading mechanism for ordinary large industrial electricity. This move is regarded as a significant signal that Inner Mongolia's hydrogen energy industry is shifting from a "policy incubation period" to "market competition," which will directly impact the electricity costs and investment calculations of commissioned and planned hydrogen equipment projects in the short term.
4. The People's Government of Banan District, Chongqing, issued the "Comprehensive Transportation Development '15th Five-Year' Plan (2026–2030) of Banan District, Chongqing," proposing to build new hydrogen refueling stations along the Yuzhu Expressway to jointly create a "hydrogen corridor" cluster for the Western Land-Sea New Corridor; promote the use of green electricity and green electricity certificates at logistics hubs such as Chongqing Highway Logistics Base; explore models of "PV+ESS+charging piles" and green electricity-based hydrogen production; update and promote 400 units of pure electric and hydrogen fuel cell heavy-duty trucks; and explore the application of methanol, hydrogen fuel, and other power vessels.
5. The Greater Khingan Mountains Prefectural Administrative Office released the "Guiding Opinions on Promoting the Application of Methanol Vehicles in the Greater Khingan Mountains Region (Draft for Comments)," proposing to accelerate the construction of vehicle methanol refueling infrastructure, support integrated refueling stations combining charging, fueling, gas refueling, hydrogen refueling, and methanol refueling; promote the application of methanol vehicles in taxis, ride-hailing, and other areas; and encourage government agencies at all levels to purchase methanol vehicles as official vehicles.
6. The Ecology and Environment Bureau of Hinggan League approved the "Environmental Impact Report for the Hinggan League Goldwind Science&Technology Wind-to-Hydrogen (Phase III) Project," approving the construction of the 160,000 Nm³/h wind-to-hydrogen phase III project by Goldwind Science&Technology.
IV. Enterprise Dynamics
Dongfang Electric (Chengdu) Hydrogen Energy Technology Co., Ltd.:Dongfang Electric announced that its board has approved Dongfang Hydrogen Energy to conduct a Series B financing, along with a simultaneous capital increase by the company and Dongfang Boiler, with a financing amount not exceeding 1.17 billion yuan. The company and Dongfang Boiler, along with external investors, will increase capital simultaneously, maintaining a combined shareholding ratio of 52.95%. This follows SPIC's subsidiary Guohydrogen Technology (which completed a 4.5 billion yuan Series B financing in December 2022, with a post-investment valuation of 13 billion yuan), becoming the second central state-owned enterprise hydrogen energy subsidiary to initiate large-scale financing in China, and is viewed by the industry as a major positive signal accelerating the capitalization process of leading central SOE hydrogen platforms. Dongfang Hydrogen Energy has established a full-chain business system covering hydrogen production, storage, refueling, hydrogen power generation, and fuel cells. As of 2025, it has deployed over 1,300 fuel cell vehicles across 17 provinces and cities.
Sinohytec: On August 15, it released an H-share announcement stating that for the six months ended June 30, 2026, the expected loss is anticipated to decrease by approximately 35%–45% compared to the same period in 2025. The main reasons are: deepened supply chain collaborative management and accelerated inventory turnover led to a YoY decrease in sales costs; continued cost reduction and efficiency improvement reduced operating expenses YoY; the reversal of bad debt provisions previously recognized increased YoY; and a decrease in shareholding ratios in some associates led to a reduction in share of losses.
SINOPEC Sales Co., Ltd.:Huzhou Nanxun Xinshi Energy Technology Co., Ltd. was established with a registered capital of 5 million yuan, covering businesses such as the sales of hydrogen refueling and storage facilities for stations and NEV battery swapping facilities. The company is jointly held by Zhejiang Xunkai Energy Technology Group Co., Ltd. and SINOPEC Sales Co., Ltd. with shareholdings of 51% and 49%, respectively. On April 14, prior to this, SINOPEC Sales had jointly established Shaxing Juneng Energy Co., Ltd. in Chongqing. Leveraging its network of over 30,000 gas stations nationwide, SINOPEC is accelerating the transformation of traditional gas stations into comprehensive energy stations integrating "oil, hydrogen, electricity, and services."
Suzhou CPU Hydrogen Power Technology Co., Ltd.:The winning bid result for the experimental prototype of an electrolytic water hydrogen production system at Harbin Institute of Technology (Weihai) was announced. Suzhou CPU Hydrogen Power won the bid with a price of 1.02 million yuan. The procurement target is one set of nuclear alkaline electrolytic water hydrogen production system prototype (covering complete equipment including electrolyzer, power supply, gas-liquid separation, thermal management, and control) to serve scientific research experiments related to nuclear-coupled electrolytic water hydrogen production. The delivery is required within three months after contract signing.
Changzhou Xingran Technology:The winning bid result for the procurement project of an electrolyzer (proton exchange membrane water electrolysis hydrogen production equipment) by Shaanxi Yanchang Petroleum Materials Group Xi'an Co., Ltd. was announced. Changzhou Xingran Technology won the bid with a price of 1.7775 million yuan.
CIMC Green Hydrogen:CIMC Green Hydrogen partnered with H2Terminals and Bonney Energy to advance the implementation of Australia's hydrogen refueling network, deepening transnational hydrogen energy strategic cooperation.
China Marine Bunker (PetroChina) Co., Ltd.:China Marine Bunker signed an agreement with Jiazexin Energy to deepen cooperation in the green fuel industry; successfully completed the methanol bunkering operation for the first 325k VLOC vessel, opening a new track for methanol bunkering; participated in the kick-off ceremony of Shanghai Electric's green methanol-oil integrated project coupling green hydrogen with biomass.
Solid-State Hydrogen Storage Going Global (China's Technology Export):China's solid-state hydrogen storage technology secured its first order in Southeast Asia, accelerating global export from technology validation to engineering implementation; Hydrosys' hydrogen energy equipment expanded from 180+ domestic stations to Oceania, ushering in a new chapter for hydrogen equipment going global.
V. Patent Applications
1.Sichuan Qingyan Energy Conservation Technology Co., Ltd., Shenzhen Hangneng Hydrogen-Alcohol Energy Innovation Research Institute, and Chengdu Ruilingke Information Technology Co., Ltd. (China):Published patent CN122561833A, titled "A Process Method for Hydrogen Production Based on Microwave-Induced Alcohol Reforming." The method uses microwave radiation to induce activation of metal oxide catalysts, generating localized high-temperature hot spots, combined with electromagnetic heating preheating. It enables steam reforming of alcohol reactants with water vapor in a microwave cavity reactor to produce hydrogen under mild conditions, achieving efficient hydrogen production from organic matter.
2. Guangdong Yuntao Hydrogen Energy Technology Co., Ltd. (China): Published patent CN122560794A, "An AI Control Method and System for Fuel Cell Tractor Based on Route Planning." By predicting the tractor's upcoming operating conditions and power demand through a predictive network, a fuel-lithium dual-energy characteristic model was established. Based on MPC predictive control, the optimal fuel cell power distribution ratio and expected hydrogen consumption rate were output, achieving dual-energy synergistic energy efficiency optimization.
3.Jiangsu Enfang Zhixiang Technology Co., Ltd. (China): Published patent CN122576250A, "An Air-Cooled Hydrogen Fuel Cell System." By utilizing the fan's wind pressure to convert reactive liquid water into water vapor, heat inside the stack was removed through wind speed and phase change principles. Water recycling was achieved via a hydrophilic humidification layer and siphon structure, resolving the conflict between heat dissipation and humidification in air-cooled stacks.
4.Sunshine Hydrogen Energy Technology Co., Ltd. (China): Granted patent CN224628684U, "Separation Device." By adopting a multi-stage wire mesh droplet capture and cyclone structure, the device adapted to gas-liquid separation conditions at different power levels under variable load hydrogen production, resulting in more thorough separation of hydrogen and water vapor.
5.Dalian Dichuang Hydrogen Energy Technology Co., Ltd. (China): Granted patent CN224647096U, "A High-Pressure Alkaline Electrolysis System." By arranging a horizontal electrolytic alkali balancing tank with a slider, the electrolytic alkali circulation loops on the hydrogen side and oxygen side were separated, preventing mutual mixing of hydrogen bubbles and oxygen bubbles while achieving pressure balance of the alkali on both sides.
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