Asahi Kasei Corp., a leading provider of alkaline water electrolyzers, has secured government support to bolster its manufacturing capacity for green hydrogen production equipment. This strategic move aligns with Japan's ambitious goal of achieving carbon neutrality by 2050.

The global demand for green hydrogen, a clean energy alternative to fossil fuels, is surging. By 2030, the annual installed capacity of water electrolyzers worldwide is projected to reach a significant 31 GW. To meet this rising demand, a substantial expansion of manufacturing capacity for electrolyzers and their components is imperative.

Japan, a pioneer in hydrogen production and utilization technologies, has placed green hydrogen at the heart of its "Green Transformation (GX)" strategy. The "GX Supply Chain Construction Support Project" aims to foster a domestic manufacturing supply chain for cutting-edge technologies that contribute to Japan's climate goals while stimulating economic growth.

Asahi Kasei, a comprehensive manufacturer and supplier of alkaline water electrolyzers, has proposed a substantial expansion of its manufacturing capacity at its Kawasaki plant. This expansion will involve building new plants for cell frames and membranes, each capable of producing 2 GW annually. With a total investment of approximately ¥35 billion, the project is expected to receive a subsidy of up to ¥11.4 billion from the Japanese government.

Once completed, Asahi Kasei's total annual capacity for cell frames and membranes will exceed 3 GW, encompassing both its alkaline water electrolyzer and ion-exchange membrane chlor-alkali electrolysis processes. This expansion will enable Asahi Kasei to effectively respond to the growing demand for green hydrogen and maintain its strong position in the chlor-alkali electrolysis market.

Masami Takenaka, Lead Executive Officer of Asahi Kasei, emphasized the importance of swiftly establishing and expanding production capacity to capitalize on the burgeoning hydrogen market. Asahi Kasei aims to become a global leader in water electrolysis equipment manufacturing, targeting a 20% share of major markets like Europe, North America, and India by 2030.

Kenji Takeda, Executive Officer of Asahi Kasei, highlighted the challenges posed by the intermittent nature of renewable energy sources. By establishing a stable domestic manufacturing supply chain for green hydrogen, Japan can accelerate its transition to a hydrogen society.

Asahi Kasei's commitment to sustainable solutions and its strategic expansion in green hydrogen production align with global efforts to combat climate change. With government support and its strong technological foundation, Asahi Kasei is well-positioned to play a pivotal role in shaping the future of clean energy.