[SMM Hydrogen Policy Update] China Hydrogen Alliance Issues "Initiative for the Healthy Development of China's Electrolyzer Industry"

China Electrolyzer Industry Healthy Development Initiative

Hydrogen energy offers advantages such as being clean, low-carbon, abundant in sources, and versatile in application. Actively promoting the development of the hydrogen energy industry is a key driving force for addressing constraints like the volatility and regional mismatch of renewable energy, accelerating the establishment of a new-type energy system, fostering the formation of green production and lifestyles, and achieving a comprehensive green transformation in economic and social development. As the core equipment in the process of producing hydrogen from renewable energy, the technical level and reliability of electrolyzers are critical factors determining the progress of China's hydrogen energy industry. Establishing a healthy and orderly industrial development ecosystem plays a vital supporting role in the growth of China's hydrogen energy sector.

As a legal and neutral organization formally approved by relevant national authorities, the Hydrogen Energy Branch of the China Industrial Development Association resolutely implements the decisions of the Central Politburo meeting to "strengthen industry self-regulation and prevent involution-style vicious competition." It thoroughly carries out the work requirements of the "Proposal of the Central Committee of the Communist Party of China on Formulating the 15th Five-Year Plan for National Economic and Social Development" regarding the comprehensive rectification of involution-style competition. With the aim of promoting industry self-discipline and guiding operators to jointly maintain fair competition order in the industry, the Hydrogen Energy Branch addressed the involution-style competition and various chaotic phenomena in the electrolyzer market by inviting electrolyzer enterprises, along with upstream and downstream hydrogen energy equipment manufacturers, design institutes, project owners, and news media, to hold a seminar on November 3, 2025, in Xilin Gol League, Inner Mongolia Autonomous Region. The seminar was held under the theme "Reject Involution, Jointly Build the Ecosystem, and Move Toward a Real Market." To promote the establishment of an industry self-regulation mechanism, guide the industry away from disorderly competition, return to the essence of development, and build a healthy and sustainable industrial ecosystem, the Hydrogen Energy Branch of the China Industrial Development Association, together with various stakeholders in the industry, jointly released the China Electrolyzer Industry Healthy Development Initiative, with the following proposals:

1 Avoid Project Plans That Overpromise and Exaggerate Industry Prosperity

Refrain from exaggerating investment scale, falsely reporting capacity, or hyping technical indicators. Ensure that industry planning aligns with actual market demand and technological development trends.

2 Avoid Unjustified Pessimism About Industry Development Due to Normal Project Cancellations

Hydrogen energy is a long-cycle industry. Short-term adjustments do not indicate a dim industry outlook. Address periodic challenges rationally and avoid excessive pessimism that could undermine industry confidence.

3 Avoid Blindly Boasting About Core Performance Indicators of Equipment

Key indicators such as electrolyzer efficiency and lifespan should be based on authentic test data rather than excessive marketing, ensuring that technological competition returns to the essence of the product.

4 Avoid Low-Price Competition Below Cost

Vicious price wars harm industry profits, weaken R&D investment capacity, and ultimately lead to bad money driving out good. Healthy competition within reasonable profit margins should be advocated.

5 Avoid Chaotic Rankings in Industry Market Share and Shipments

Some media outlets use inconsistent statistical methods and unreliable data sources, arbitrarily publishing "industry first" rankings for contracts or shipments to attract attention, which misleads market judgment. A third-party authoritative statistical mechanism should be established to ensure data authenticity and transparency.

6 Strengthen Technological Innovation Instead of Solely Pursuing Scale Expansion

The industry should focus on breakthroughs in core technologies (such as electrolyzer lifespan, energy consumption optimization, and material cost reduction) and increase R&D investment, rather than merely pursuing growth in capacity numbers.

7 Establish Industry Standards to Regulate Market Order

Promote the formulation of unified standards for performance testing, safety certification, and data disclosure. Build neutral and impartial professional testing and certification platforms to scientifically and objectively evaluate product quality, enhancing industry credibility.

8 View Policy Support Rationally and Avoid Reliance on Subsidies for Survival

Enterprises should enhance their market competitiveness rather than relying solely on policy subsidies, ensuring the industry has the ability to sustain itself.

9 Strengthen Industry Exchange and Jointly Cultivate the Market

Promote knowledge dissemination through technology sharing, industry forums, and other means to avoid working behind closed doors, and jointly foster the hydrogen energy application ecosystem.

10 Regulate Overseas Market Operations and Uphold the Image of Chinese Brands

Strictly comply with the laws, regulations, environmental protection standards, and industry rules of the target country (region). Refrain from engaging in unfair competition such as low-price dumping and intellectual property infringement. Respect local cultural customs and social responsibility requirements. Establish a positive international image for Chinese electrolyzer enterprises through compliant operations and high-quality services, promoting coordinated development in overseas markets.

It is hoped that the entire industry will work together to create a fair, just, healthy, and orderly market environment, driving the hydrogen energy industry from price competition to value breakthroughs, and guiding the industry toward healthy and sustainable development!

Initiating Enterprises (listed in no particular order):

1. Xi'an LONGi Hydrogen Energy Technology Co., Ltd.
2. Yangtze Hydrogen Energy Technology Co., Ltd.
3. Suzhou Qingqiji Technology (Group) Co., Ltd.
4. CSSC (Handan) Peric Hydrogen Energy Technology Co., Ltd.
5. Huadian Heavy Industries Co., Ltd.
6. Dongfang Electric (Chengdu) Hydrogen Energy Technology Co., Ltd.
7. Tianjin Continental Hydrogen Equipment Co., Ltd.
8. Shuangliang Group Co., Ltd.
9. Beijing Power Equipment Group Co., Ltd.
10. Jiangsu Trina Green Hydrogen Technology Co., Ltd.
11. Sany Hydrogen Energy Co., Ltd.
12. Changchun Green Dynamic Hydrogen Energy Technology Co., Ltd.
13. Sinopec Hydrogen Energy Machinery (Wuhan) Co., Ltd.
14. Shanghai Refire Group Co., Ltd.
15. Shanxi Yangmei Chemical Machinery (Group) Co., Ltd.
16. Shenzhen Jiyang New Energy Technology Co., Ltd.
17. Zhongji Zhongdian (Yangzhou) Hydrogen Production Equipment Co., Ltd.
18. Ordos Guosheng Lihua Hydrogen Production Equipment Co., Ltd.
19. Beijing ZDY Technology Development Co., Ltd.
20. CRRC Shandong Wind Power Co., Ltd.
21. Jiangsu Guofu Hydrogen Energy Equipment and Technology Co., Ltd.
22. Suzhou Xinsichuang Hydrogen Energy Technology Co., Ltd.
23. Nantang Enapter New Energy Co., Ltd.
24. Beijing Hydro Energy Technology Co., Ltd.
25. Aerospace Long March Chemical Engineering Co., Ltd.
26. Shanghai Hydrogen Era Technology Co., Ltd.
27. Proton (Beijing) Hydrogen Technology Co., Ltd.
28. Beijing Guohong Hydrogen Energy Technology Co., Ltd.
29. Schaeffler Hydrogen Technology (Shanghai) Co., Ltd.
30. Beijing Peric Wah Hydrogen Energy Technology Co., Ltd.
31. Yangzhou Jidao Energy Co., Ltd.
32. Zhejiang Haozhen Hydrogen Energy Co., Ltd.
33. Shaanxi Xingran Technology Co., Ltd.
34. Shanghai Jindao Energy Technology Co., Ltd.
35. Qingyao (Shanghai) New Energy Technology Co., Ltd.
36. Guangdong Cavallo Hydrogen Technology Co., Ltd.
37. Shandong Lantuo Hydrogen Energy Co., Ltd.

Hydrogen Energy Branch of China Industrial Development Promotion Association

Nov 3, 2025