A promising power supply technology in the next decade, fuel cells are a green primary or backup alternative to nonrenewable energy sources such as gasoline, diesel and natural gas.
In China, research has been ongoing across all fronts, from manufacturing of key materials and core components to applications. Involved are academic institutions, companies and industry associations.
Early initiatives date to the mid-1950s, with the Dalian Institute of Chemical Physics at the forefront. However, the focus back then was on aerospace instead of civilian use, according to the French Institute of International Relations (IFRI). It was only in the early 2000s that efforts shifted to hydrogen fuel cell vehicles (FCVs).
There have been breakthroughs, with more being pursued toward commercialization as part of the Made in China 2025 industrial policy. This plan includes advancing new energy vehicles, such as electric vehicles powered by fuel cells.
One recent innovation is the 140kW hydrogen fuel cell stack developed by automotive company GAC Group. This addresses problems in design and preparation, ensuring power density of over 7kW/L, normal operation even at temperatures as low as -30 C, weather protection of IP67 and weight reduction of 25 percent.
The Qingdao Institute of Bioenergy and Bioprocess Technology (QIBEBT) Fuel Cell Engineering Research Center, meanwhile, has developed “a low hydrogen pressure fuel cell stack with adaptive pipeline hydrogen supply system and low-power dissipation fuel cell cogeneration system.” Per a November 2024 article on the Bulletin of the Chinese Academy of Sciences, this fuel cell cogeneration system can be used in residential, commercial and industrial buildings for better energy conservation and lower carbon emissions. A pilot project involving 100 residential fuel cell cogeneration units is scheduled for demonstration in 2025.
Other upstream developments
Commercialization has been yielding encouraging numbers. Based on orders for electrolyzers, which produce hydrogen for use in fuel cell production, there has been a notable increase in the first four months of 2025. More than 2.4GW of electrolyzer orders from 31 projects were publicly announced from January to April this year, surpassing the 2.37GW total recorded for 2024, according to the Shanghai-based Orange Hydrogen Research Institute.
China is expected to account for at least a third of orders outside North America and Europe in the near future. Per a March 2025 article from the National Hydrogen Association of Turkey, “Southeast Asia, the Middle East, and North Africa will benefit abundantly from low-cost renewable energy and affordable electrolyzers from Chinese manufacturers.”
The same source reported that China is boosting its manufacturing capacity, likely adding more than 10GW in 2025 and focusing on regions “with fewer trade barriers.”
In the field of hydrogen power plants, data science company StartUs Insights listed Jiangsu HuaDe Hydrogen Energy Technology among 20 promising startups in 2024. This Chinese company focuses on commercial hydrogen plants that use industrial by-product hydrogen for cogeneration. Its CarNeu series consists of the CarNeu-50 and CarNeu-M10 fuel cell systems for industrial and commercial use.
Technology demonstrations
A milestone in this field for automotive application was on show at the June 2025 International Hydrogen Energy and Fuel Cell Vehicle Conference in Shanghai. Fuel Cell Works (FCW), a Canada-based platform, reported that “nearly 300 domestic and international companies showcased end-to-end solutions for the hydrogen transport value chain.”
Among the exhibits was a hydrogen fuel cell passenger car with a 700km range, an upgrade from a 550km model, and a five-minute refueling time. There was also a hydrogen-electric hybrid car, said to be the world's first, with a range of over 10,000km based on test runs. A 260-ton mining truck, touted as the largest such vehicle in the world, was launched at the show as well, equipped with five 200kW fuel cell systems storing up to 236kg of hydrogen.
Hydrogen vehicles are already on China’s streets, according to the FCW article. They include 20 49-ton steel-hauling trucks on the 700km Tianjin-Wu’an route, fuel cell refrigerated trucks with 90kW systems logging an average of 200km per day in Guangdong, and other vehicles used in rental fleets, municipal sanitation and engineering machinery in urban areas.
Fuel cell types
There are alkaline (AFC), phosphoric acid (PAFC), molten carbonate (MCFC), solid oxide (SOFC) and proton exchange or polymer electrolyte membrane (PEMFC) fuel cells. Commercially available worldwide are PAFCs, PEMFCs, MCFCs and SOFCs, according to web-based platform Whole Building Design Guide (WBDG).
Considered the first-generation commercial type and one of the most mature technologies, PAFCs “have an operating temperature of about 100 to 220 C, and achieve an electrical efficiency of about 37 to 42 percent alone, with up to 85 percent efficiency when used in combined heat and power applications.” Current uses as primary power and heat are in office buildings, hospitals, nursing homes, banks, schools and utility power plants.
MCFCs have operating temperatures as high as 600 to 700 C, making them suitable for large applications such as in the electrical utility, industrial, distributed generation and military fields. In addition, they do not need an external fuel processor. A postal processing system in San Francisco, California uses such fuel cell system.
PEMFCs are designed for lower temperatures, typically at about 80 C, which makes them a match for primary power for automotive and small stationary uses. They are currently in back-up power applications, critical loads, high quality power and emergency service equipment. Three plug PEMFCs can be found at the Watervliet Arsenal, Department of Defense, US Army, according to WBDG.
SOFCs, which can withstand much higher temperatures up to 1,000 C, are found in residential and commercial environments at present. WBDG said that FedEx installed five 100kW SOFCs from Bloom Energy at its Oakland site in California.
Fuel cell market
The global fuel cell market has been expanding over the years. Based on information from Guanzhi Hainei Consulting, the hydrogen fuel cell industry racked up a total sales value of $1.62 billion in 2018 and reached $11.28 billion in 2024.
The same source said that China witnessed high growth as well, garnering $720 million in 2018 and $5.99 billion in 2024 or accounting for a sizeable share of the worldwide total. The applications that will continue to drive demand in the next five years are FCVs and clean energy uses.
FCVs promise a huge market for fuel cells. From $2.05 billion in 2024, they are projected to hit $13.05 billion in 2030 at a CAGR as high as 36.08 percent, according to Deep Insights Research. The report said that the Asia-Pacific region would be the largest market, with a share exceeding 75 percent.
Buoyed by upbeat market forecasts, Chinese companies are funding fuel cell production expansion. Hydrogen fuel cell technology developer Hydrogen Craft invested in a fully automated air-cooled fuel cell production line in a facility in Shanghai. It began mass production in March 2025 after completing the first phase, with 20MW annual capacity. The second phase slated for operation in 2026 will provide 40MW. The supplier, having acquired IEC safety certifications, has been exporting its products to Japan, Mexico and other countries.
China-made fuel cells
Typical fuel cells from Chinese manufacturers are available with up to 130kW power, 35 to 60 percent efficiency, 0.1, 0.2, 0.3, 0.5 or 1 to 2W/sqcm power by area, IP67 or IP68 rating and 30,000-hour life span.
PEMFCs usually have 300 to 1,000W/kg specific power, 40 to 45 percent efficiency, less than 5-second startup time and up to 80 C operating temperature.
The MG2044 from interviewed supplier Gogolada (Shenzhen) Technology Co. Ltd is a PEMFC with 50W rated power. It is designed for use in portable electronic devices and renewable energy systems, and meets UL, CE and TÜV standards. An order of at least one box is required and has a 15-day lead time.
HiTS (Shanghai) Hydrogen Power Technology Co. Ltd has the HiTS-100, a 67x89x62mm fuel cell with 100W rated power, 7V rated input voltage, 18A rated input current and start-up capability at temperatures as low as -40 C. The MOQ is negotiable and the lead time is 15 days.
Like other industries in China, this sector is open to customization requirements, including on where to source electrolytes, anode and cathode sheets, catalytic layers, membranes and gas diffusion layers to be used.
Gas diffusion layers are usually obtained from foreign suppliers such as Toray, SGL and AvCarb. These three companies account for nearly 80 percent of the market.
As for anode and cathode sheets, there are domestic providers as options. They include Sinosteel New Materials, Changyi Xinneng Graphite, Shanghai Hydrogen Propulsion and Shanghai Zhizhen.
As the technology continues toward maturity and as more companies venture into production, the prices of fuel cells, including stacks and systems, are expected to keep going down.
From $486/kW fuel cell stacks and $833/kW systems in 2023, the respective quotes will likely decrease to $166 and $277 in the coming months.
These products come from hundreds of factories found in Jiangsu, Zhejiang, Shanghai, Guangdong, Beijing and Hebei. First-tier companies include SinoHytec, Shanghai Refire, SinoSynergy, Sunrise Power and Vision.
