Hydrogen Energy
Hydrogen Fuel Cell Project of Changchun City
1. Introduction to the Project
1.1 Project background
1.1.1 Product introduction
Hydrogen energy, as an emerging clean energy, does not produce pollution during its use and has a calorific value of up to 140 MJ/kg, which far exceeds that of coal and petroleum. Hydrogen energy also solves the major drawbacks of traditional clean energy, such as high randomness and strong volatility, and is therefore considered an ideal choice for solving energy and environmental problems. Hydrogen fuel cell is a power generation device that directly converts the chemical energy of hydrogen and oxygen into electrical energy. Its working principle is the reverse reaction of water electrolysis, supplying hydrogen and oxygen to the anode and cathode respectively. Hydrogen diffuses at the anode and reacts with the electrolyte to release electrons, and those electrons reach the cathode through external loading. Hydrogen fuel cells have significant advantages such as no pollution, no noise, and high efficiency, and have shown broad development potential in fields such as aerospace, automobiles, and aircraft. In this project, it is planned to construct hydrogen fuel cell research and development center, system production line, detection line, finished product warehouse, raw material warehouse, office building, and related supporting facilities.
1.1.2 Market prospect
(1) Market prospect of hydrogen fuel cells
Hydrogen fuel cells convert the chemical energy of hydrogen and oxygen into electrical energy through electrochemical reactions. In this process, hydrogen is oxidized into hydrogen ions and electrons at the anode (negative electrode), where, the hydrogen ions are transferred to the cathode (positive electrode) through the electrolyte, while the electrons are transferred to the cathode through an external circuit, forming electric current. Meanwhile, oxygen combines with hydrogen ions and electrons at the cathode to generate water, thus completing the entire reaction process. Currently, hydrogen fuel cells in China are mainly applied in the field of fuel cell vehicles. Fuel cell vehicles are widely applied in large commercial vehicles such as freight trucks and buses, which are important sources of carbon emissions in today’s society. In addition, fuel cells are gradually expanding into transportation fields such as ships, rail vehicles, and aviation.
Vehicles equipped with hydrogen fuel cells have a longer range than battery electric vehicles (BEV), less energy replenishment anxiety, and are more environment-friendly. In 2024, the hydrogen fuel cell vehicle industry entered a period of rapid development, with a record high declaration number of vehicle models and chassis. According to the latest release of the 388th batch of new product publicity list in the Announcement on Road Motor Vehicle Manufacturers and Products on the official website of the Ministry of Industry and Information Technology, a total of 39 hydrogen fuel cell vehicle models or chassis have been included, which fully demonstrates the booming development trend of the industry.
By now, countries around the world are actively promoting the development of hydrogen fuel cell vehicles to reduce dependence on traditional fuel vehicles and lower carbon emissions. Seeing from market size, with the continuous advancement of technology and the reduction of costs, the hydrogen fuel cell vehicle market is expected to continue to grow. In terms of policy support, many countries and regions have introduced policies to encourage the development of hydrogen fuel cell vehicles, including providing subsidies, tax incentives, etc.
Seeing from the proportion of application fields of hydrogen fuel cells, the application of hydrogen fuel cells in China has taken a leading position in commercial vehicles (especially buses and logistics vehicles), with a proportion of 94.74% in 2023. Followed by the application in fixed power generation, which includes all fuel cells that operate as main power sources (power stations), backup power sources, or combined heat and power generation at fixed locations, such as distributed power generation and waste heat power supply. In 2023, its application proportion in fixed power generation reached 2.83%. Engineering machinery and passenger vehicles are also the main downstream application scenarios of fuel cell systems, accounting for 1.23% and 1.04%, respectively.
In recent years, China’s hydrogen fuel cell industry has received high attention from governments at all levels and key support from national industrial policies. The hydrogen fuel cell vehicle industry shows a broad development prospect.
With the global emphasis on clean energy and sustainable development concept, automobile manufacturers are accelerating their layout in the field of hydrogen fuel cell vehicles, and this emerging technology is entering the fast lane of development. China Hydrogen Energy Alliance predicts that by 2025, the output value of hydrogen energy industry in China will have reached 1 trillion yuan; while from 2026 to 2035, the output value will reach 5 trillion yuan. According to analysis in a research report of Guolian Securities, the period from 2020 to 2025 is the introduction period of hydrogen fuel cells, and the next 5-10 years will be the cultivation and development period of fuel cell vehicles. By 2030-2035, the market will have achieved sales of one million such vehicles.
According to data statistics, the sales volume of hydrogen fuel cell vehicles in China was 1,177 in 2020, and it is expected to have increased to 5,988 by 2025. In 2019, the market size of hydrogen fuel cells in China was 5 billion yuan, then it is growing year by year, and is expected to have reached 29.7 billion yuan by 2025. From 2019 to 2024, the overall market size was on the rise, and the hydrogen fuel cell industry is expected to continue to expand in the coming years, playing an important role in promoting the development of clean energy. It can be seen that the market size of China’s hydrogen fuel cell vehicle industry is gradually expanding.
Hydrogen energy, as a clean and efficient secondary energy carrier, is widely regarded as an ideal medium for promoting clean and efficient utilization of traditional fossil fuels and supporting the large-scale development of renewable energy. It has become an important carrier for the global energy revolution and energy transformation. Hydrogen energy has enormous development potential, and it is a blue ocean with a trillion-level market.
According to the International Energy Agency’s forecast, under the net zero emission scenario in 2050, the global annual demand for hydrogen energy will increase to over 500 million tons. Among them, the proportion of new hydrogen demand represented by power generation, hydrogen enriched with compressed natural gas (HCNG), and fuel substitution in transportation fields such as vehicles, ships, and aviation will exceed 60%. In China, it is expected that with the rapid growth of hydrogen consumption, the supply and demand of hydrogen energy will have rapidly increased to 100-130 million tons by 2050.
To sum up, the hydrogen fuel cell vehicle industry has broad market prospect and enormous development potential. Driven by factors such as policy support, technological progress, and market demand, the industry will continue to maintain a rapid growth trend. In the future, with the continuous innovation of technology and the integration and optimization of the industrial chain, hydrogen fuel cell vehicles will become one of the important development directions in the field of new energy vehicles.
(2) The necessity of hydrogen fuel cell project construction
The construction of hydrogen fuel cell project not only conforms to the global trend of energy transformation, but also is a key measure to optimize China’s energy structure and promote green and low-carbon development. Firstly, the promotion of hydrogen fuel cell project can effectively drive the comprehensive development of the hydrogen energy industrial chain, covering multiple links such as production, storage and transportation of hydrogen, as well as research & development and production of fuel cells, gradually building an efficient and sustainable hydrogen energy ecosystem. This not only helps to promote continuous innovation and breakthroughs in hydrogen energy technology, but also reduces costs through large-scale production, accelerates the commercial application of hydrogen energy technology, and lays a solid foundation for the long-term healthy development of the hydrogen energy industry.
Secondly, hydrogen fuel cell project plays an irreplaceable role in improving environmental quality and reducing greenhouse gas emissions. Compared with traditional fossil fuels, hydrogen energy produces almost no carbon dioxide (CO2) and other harmful pollutants during use, making it one of the key technological paths to achieve carbon neutrality goal and address climate change. By promoting hydrogen fuel cell vehicles on a large scale, it can not only effectively reduce carbon emissions in the field of transportation, but also significantly improve urban air quality, and enhance the residents’ living environment quality, contributing to the construction of a beautiful China.
In addition, the hydrogen fuel cell project is of great significance for enhancing China’s competitiveness and right of speech in the global energy market. By now, the global hydrogen energy industry is in a critical period of rapid development, and various countries are increasing investment to strive for a leading position in the field of hydrogen energy technology. Whoever can make significant breakthroughs in hydrogen energy technology will be able to occupy a favorable position in the future global energy market. Therefore, strengthening the construction of hydrogen fuel cell project can not only enhance the overall technological level of China’s energy industry, but also strengthen China’s right of speech and influence in global energy governance, providing strong support for achieving energy security and sustainable development.
To sum up, the construction of hydrogen fuel cell project is not only an inevitable choice for technological development, but also a strategic need to promote energy transformation and achieve green development. Driven by multiple factors such as policy support, technological innovation, and market demand, hydrogen fuel cell project will certainly play an increasingly important role in the future energy system and become an important engine for promoting high-quality economic and social development.
1.1.3 Technical analysis
Hydrogen fuel cell technology mainly includes the following aspects:
Basic principle: Hydrogen fuel cell is an electrochemical device that directly converts chemical energy into electrical energy. Its basic principle is based on the electrochemical reaction between hydrogen and oxygen. At the anode, hydrogen undergoes an oxidation reaction under the action of a catalyst, generating hydrogen ions and electrons. The electrons flow through an external circuit to the cathode and react with oxygen to produce water, thereby generating electric current .
System composition : The hydrogen fuel cell system mainly consists of the stack, hydrogen supply system, air supply system, and hydrothermal management system. Among them, the stack is the core of the fuel cell system, including components such as membrane electrodes and bipolar plates.
1.1.4 Advantageous conditions of project construction
(1) Policy advantages
Medium and Long-term Plan for Hydrogen Energy Industry Development (2021-2035) : In this plan, the strategic positioning, overall requirements, and development goals of hydrogen energy in green and low-carbon transformation of energy in China have been clarified, and specific measures in innovation system, infrastructure, policy guarantee, and diversified applications, etc. have been proposed .
Energy Law (Draft) : The definition and development and utilization rules of hydrogen energy are included in it, which provides legal protection for the hydrogen energy industry; the market pricing mechanism for hydrogen has also been clarified, which is conducive to the promotion and application of hydrogen fuel cell vehicles.
China has successively introduced multiple policies to encourage the development and innovation of the hydrogen fuel cell industry. Industrial policies such as the Implementation Plan on Leading New Industries with Standardization (2023-2035), Guidelines for Establishing the Standards System on Hydrogen Energy Industry (2023 Edition), and the Medium and Long-term Plan for Hydrogen Energy Industry Development (2021-2035) have provided clear and broad market prospect for the development of the hydrogen fuel cell industry, as well as favorable production and operation environment for enterprises.
(2) Industrial advantages
In recent years, Changchun City has focused on promoting the construction of innovative carriers such as the Research Institute of Hydrogen Energy Industry, and building platforms for talent cultivation, industry-university-research cooperation, and scientific and technological achievement transformation. In addition, Changchun City is accelerating the construction of a hydrogen fuel cell vehicle industrialization base, integrating hydrogen production, hydrogenation, as well as production demonstration and application of hydrogen fuel cell vehicles.
Changchun City has a complete automobile industry system, with 6 major original equipment manufacturers (OEMs) and 7 major automobile brands. Nearly half of the world’s top 100 automobile parts companies have settled in Changchun. In 2023, the output value of automobile industry in Changchun City reached 456.5 billion yuan, accounting for 60.9% of the city’s industrial output value. This well-established foundation of the automobile industry provides a solid basis for the research & development and production of hydrogen fuel cell vehicles.
(3) Location advantages
Gongzhuling is a vital transportation hub in Jilin Province, with well-developed transportation. It is an important transportation hub in Northeast China, playing a significant role in the socio-economic development. The transportation system is railway and highway transportation, and mainly highway transportation. Highway transportation has gradually become the main transportation form in the comprehensive transportation network with the advantages of flexibility, rapid turnover, easy popularization and direct delivery of goods to the destination. Gongzhuling City has opened up five major transportation arteries leading to Changchun, including Dongfeng Street, Tengfei Street, Guigu Street, Qianjin Street, and Fumin Street. Major transportation arteries, such as Beijing-Harbin Expressway and Changchun-Shenzhen Expressway, Beijing-Harbin Electrified Railway, Harbin-Dalian High-speed Railway (Passenger Dedicated Line), 102 National Highway and 105 National Highway, run through the entire area. It is located 92 kilometers from Changchun Longjia Airport, 252 kilometers from Shenyang Taoxian Airport, 440 kilometers from Port of Yingkou, 470 kilometers from Port of Dandong, 540 kilometers from Port of Hunchun, and 590 kilometers from Port of Dalian.
(4) Talent advantages
The strong support from provincial and municipal governments in the hydrogen energy field has helped introduce high-level innovative talents in hydrogen energy from overseas, and establish specialized hydrogen energy technology research and development teams, which promotes technological innovation and industrial development of hydrogen storage equipment.
Gongzhuling City has abundant labor resources and low costs. It is a blue collar training base in the province, with a workforce of 300,000 industrial workers with various skills, and the labor wages are low. There are Gongzhuling Jinye Technical School, Gongzhuling Vocational Education Center, and Jilin High-tech Vocational and Technical College, which train a group of outstanding graduates every year. Furthermore, there are more than 30 national famous colleges and universities in Jilin Province, including Jilin University, Changchun University of Technology, Northeast Normal University, Jilin Agricultural University, Changchun University of Technology, Changchun University, and Changchun Institute of Engineering, which are, which have many professionals and management talents every year, providing new powerful strength for Gongzhuling.
1.2 Contents and scale of project construction
The project covers an area of 40,000 square meters. The project construction includes hydrogen fuel cell research and development center, system production line, detection line, finished product warehouse, raw material warehouse, office building, and related supporting facilities.
1.3 Total investment of the project and capital raising
The total investment of the project is 120 million yuan, including the construction investment of 84 million yuan.
1.4 Financial analysis and social evaluation
1.4.1 Main financial indexes
After the project reaches the production capacity, its annual sales revenue will be 95.23 million yuan, its profit will be 28.57 million yuan, its investment payback period will be 5.5 years (after the tax, including the construction period of 1 year) and its return on investment will be 24%.
Note: “10 thousand yuan” in the table is in RMB
1.4.2 Social evaluation
Environment-friendly benefits: Hydrogen fuel cell vehicles are truly zero emission and zero pollution vehicles, which help reduce harmful gas emissions and improve air quality.
Energy benefits: As a renewable energy source, the production and utilization of hydrogen can achieve a virtuous cycle, which helps alleviate the energy crisis.
Promoting industrial development: The construction of hydrogen fuel cell projects can promote the development of the hydrogen energy industry and related industrial chains, creating employment opportunities and economic value.
To sum up, the construction of hydrogen fuel cell project has a positive impact on both the society and the environment.
1.5 Cooperative way
Sole proprietorship, joint venture and cooperation.
1.6 What to be invested by the foreign party
Funds, other ways can be discussed in person.
1.7 Construction site of the project
National Agricultural High-tech Industrial Demonstration Zone in Gongzhuling City
1.8 Progress of the project
The project proposal has been prepared
2. Introduction to the Partner
2.1 Basic information of unit
Name: Investment Promotion Service Center, Gongzhuling City, Jilin Province
Address: 501 Zhengyang East Street, Gongzhuling City
2.2 Overview of unit
The Gongzhuling National Agricultural High-tech Industrial Demonstration Zone (hereinafter referred to as “Changchun Agricultural High-tech Zone”) is upgraded from the Jilin Gongzhuling National Agricultural Science and Technology Park. It was included in the management of the National Agricultural High-tech Industrial Demonstration Zone in April 2022 and enjoys relevant policies. The demonstration zone covers a total area of 139.39 square kilometers. Located in Gongzhuling City, Jilin Province, it has the core area including Fanjiatun Town, Lingdong Industrial Concentration Zone, and other places.
Development positioning and goals
The development positioning of Changchun Agricultural High-tech Zone is to create a new highland for modern agricultural development, with the specific goal of becoming a national leading area for efficient and high-quality grain production, a model area for sustainable development of black soil in Northeast China, a national cluster area for the development of the entire corn industrial chain, and a model area for the revitalization of characteristic rural areas in Northeast China. Taking measures such as reform and innovation, investment attraction, and project implementation, Changchun Agricultural High-tech Zone is committed to promoting high-quality development of modern agriculture, striving to join the ranks of the “Top 100 Counties” in the country.
Industrial structure and development planning
The industrial development plan of Changchun Agricultural High-tech Zone includes a development pattern of “one zone, two bases, six industries, and eight parks”. In this pattern, “one zone” refers to the modern large-scale agricultural demonstration zone in the main corn producing area of Northeast China, “two bases” refer to the agricultural science and technology innovation base and the achievement transformation demonstration base, and “six industries” refer to the development of the entire corn industrial chain, the modern seed industry, the corn deep processing and food industry, the smart facility agriculture and intelligent agricultural equipment manufacturing industry, the strategic emerging industry in bio-manufacturing, and the modern agricultural service industry; this is a “three main and three auxiliary” industrial pattern. In addition, Changchun Agricultural High-tech Zone also focuses on the “chain extension, strengthening and supplementation” project, promoting the concentrated location of major projects in the agricultural field, and accelerating the transformation of scientific and technological achievements.
Policy support and investment attraction
Changchun Agricultural High-tech Zone enjoys relevant policy support from the National Agricultural High-tech Industry Demonstration Zone, and has attracted a large number of enterprises and projects through innovative development mechanisms and investment attraction. The demonstration zone adopts the “management committee + company” operation mode, and conducts enterprise management, market-oriented operation and professional services, and the development vitality is surging. In terms of investment attraction, Changchun Agricultural High-tech Zone has made precise efforts to attract investment, actively carried out the "going out and inviting in" activity, promoted the communication and negotiation between existing target enterprises, increased the signing rate, and promoted the prompt commencement of the project.
2.3 Contact method
Contact unit: Investment Promotion Service Center, Gongzhuling City, Jilin Province
Contact address: No. 501 Zhengyang East Street, Gongzhuling City, Jilin Province
Tel: +86-434-6219312
E-mail: gzlzsbzs@163.com
Website: www.gongzhuling.gov.cn
Contact method of the city (prefecture) where the project is located:
Contact unit: Changchun Cooperation and Exchange Office
Contact person: Zhang Junjie
Tel: +86-15704317930
Fax: +86-431-82700590
E-mail: xmc82763933@163.com