$110 billion committed to 500-plus mature projects worldwide: new Hydrogen Council report

“Ammonia is the largest offtake sector”

The Hydrogen Council has released its first Global Hydrogen Compass report, a state-of-play look at the global hydrogen industry. Since 2020, more than 1,700 hydrogen production projects have been announced globally, while approximately 50 projects have been publicly cancelled in the past 18 months, representing about 3% of the total pipeline (most cancelled projects were early-stage, renewable hydrogen production projects). Since 2020, the sector has averaged a 50% year-over-year committed investment growth rate, focused in specific global locations:

China is leading the world in total committed investments (USD 33 billion) and renewable hydrogen production (over 50% of global renewable capacity), followed by North America (USD 23 billion), which is also home to 85% of global low-carbon hydrogen production. Europe ranks third in committed investment (USD 19 billion), while accounting for nearly two thirds of expected 2030 global demand.

Global investment leaders in hydrogen, from the Hydrogen Council’s new Global Hydrogen Compass report, 8 Sept 2025

Click to enlarge. Current global clean hydrogen offtake by end use sector, including 43% for ammonia production, and 11% for power generation (inc. ammonia co-firing). Exhibit 12 from Global Hydrogen Compass (Hydrogen Council, Sept 2025).

The total committed production capacity now exceeds 6 million tons per year, including 1 million tons already in operation. The majority of recent operational capacity additions have also been in China, which now features 180,000 tons per year total renewable hydrogen production: 56% of the global value. Low-carbon hydrogen production capacity has remained roughly stable since pre-2021, increasing from 660,000 to 690,000 tons per year, based on a series of legacy projects in North America.

On the demand side, about 3.6 million tons per year of binding offtake has been secured: 43% of this volume will go straight to ammonia production, and another 11% to power generation, including ammonia co-firing.

At about 43% of all binding offtake capacity, ammonia is the largest offtake sector. This segment is expected to maintain momentum going forward with several non–binding offtake agreements having recently been signed with Indian projects such as AM Green’s renewable ammonia project in Kakinada and ACME Group’s green hydrogen project in Odisha. Subject to transposition, RED III RFNBO quotas could drive approximately 0.8 mtpa in renewable ammonia demand in the European Union. RED III RFNBO quotas have the potential to also impact demand in refining, the second largest offtake sector, supporting up to 1.6 mtpa of demand for renewable hydrogen in the EU.

Demand for clean hydrogen, from the Hydrogen Council’s new Global Hydrogen Compass report, 8 Sept 2025

Policy and market uncertainty the biggest challenge

Looking ahead to 2030, the Hydrogen Council forecasts about 8 million tons per year of 2030 clean hydrogen demand could materialize in the EU, USA, Japan, and Korea – but this will require existing policy settings to be properly implemented and enforced. An additional 2 million tons per year of FEED+ projects (projects at or beyond the FEED stage in maturity) are anticipated in China, primarily serving growing domestic demand for renewable hydrogen.

When asked by the Hydrogen Council, industry leaders nominated uncertain, shifting policy settings as their key concern for projects securing offtake. Although clarity on policy support and implementation is emerging in the refinery and ammonia sectors, other end use sectors need much more work and engagement. On a jurisdictional basis, clarity on key policy packages like US tax credits, the EU Renewable Energy Directive, the Japanese CfD scheme, and the IMO’s Net-Zero Framework are still needed to realise offtake and project certainty serving those markets.

You can read the full report here, or browse the Hydrogen Council’s new online tool: Global Hydrogen Compass.