Cummins, an Indiana-based engine manufacturer, and China Petrochemical Corporation (Sinopec) have commenced operations of their jointly-owned hydrogen equipment factory in Foshan, southern Guangdong province.
The factory, Cummins Enze Guangdong Hydrogen Technology, is China’s biggest proton exchange membrane electrolyzer base, and is expected to have an annual capacity of 500 megawatts once the first phase is complete, doubling to one gigawatt when the second phase is finished. The first shipment of HyLYZER products is anticipated this year, with all parts to be sourced locally. The joint venture was created to accelerate the adoption of green hydrogen solutions in China, which is generating hydrogen from renewable energy, resulting in zero carbon emissions during production.
The new facility will play a critical role in China’s ambitions to become carbon neutral by 2060 and to peak carbon emissions by 2030. The deputy secretary of the Communist Party at Sinopec Capital, Deng Qunwei, stated that the joint venture will support the implementation of sophisticated and experienced PEM electrolyzed water hydrogen production technology, advancing the production of clean hydrogen in China.
While the establishment of this factory provides a critical component in China’s hydrogen energy industrial chain, the country will need to overcome numerous obstacles to achieve its goal of carbon neutrality. These include limited access to renewable energy sources, a lack of appropriate infrastructure, and the high cost of hydrogen production.
The factory’s inauguration is a vital milestone in China’s green energy transition and a significant achievement for Cummins and Sinopec. The facility will significantly contribute to the development of green hydrogen in China, potentially propelling the nation’s energy infrastructure into a cleaner, sustainable future.
