India's Green Hydrogen Strategy: The Next Chapter of Energy Resilience, Where Will China's Industry Go?

India is positioning green hydrogen as a core pillar of its energy transition and strategic autonomy. According to BioEnergy Times, the country is driving green hydrogen from concept to large-scale deployment through a series of policies, infrastructure projects, and industry applications.

Policy Framework and Industrial Ambition

The Indian government's "National Green Hydrogen Mission," approved in 2023, set a target of producing 5 million tons of green hydrogen annually by 2030, with plans to invest about $2.4 billion in incentives. This ambition not only aims at energy decarbonization but also seeks to establish India as a global hub for green hydrogen manufacturing and export. From the material, it is evident that Indian Railways has approved the first domestically developed hydrogen-powered train, and zinc giant Hindustan Zinc has signed an MoU to explore green hydrogen as fuel in mining operations—these application breakthroughs mark the penetration of green hydrogen into the transportation and industrial sectors.

China's Role in the Supply Chain

India's large-scale green hydrogen deployment relies heavily on electrolyzer equipment. Currently, China is the world's largest producer of electrolyzers, particularly with significant cost advantages in alkaline electrolyzers. Although Indian manufacturers such as Reliance Industries and the Adani Group have announced capacity expansion plans, they still need to import key components in the short term. This provides export opportunities for Chinese electrolyzer companies (e.g., Longi Hydrogen, Sungrow Power). However, the Indian government encourages domestic manufacturing and may impose non-tariff barriers, so Chinese companies may need to set up local factories or enter into technology partnerships in India, similar to the "China+1" supply chain adjustment model.

International Cooperation and Competitive Landscape

The material mentions that Germany has approved a hydrogen pipeline connection for a 320MW green hydrogen project, indicating that Europe is actively importing green hydrogen from India. At the same time, cooperation projects between India and Japan, Singapore, and other countries are also advancing. This intensifies competition in the global electrolyzer market—the technological and price competition between China and Europe (e.g., Siemens, ThyssenKrupp) and the United States (Plug Power) will directly influence India's equipment procurement decisions. Chinese companies have the advantage of cost, but they need to overcome the Indian market's requirements for technical maturity and local service networks.

Reshaping the Global Supply Chain

India's green hydrogen strategy could alter the flow of clean energy trade in Asia and even globally. If India becomes a low-cost green hydrogen supplier, it will divert some of Europe's demand for Chinese green hydrogen (e.g., transported via offshore ammonia synthesis). At the same time, India's vast domestic demand (decarbonization of refining, fertilizer, steel, and other industries) itself represents a huge market. This prompts Chinese companies to reassess their global positioning: should they continue to focus on the domestic market, or view India as a new frontier for exports and investment?

Long-term Trend AssessmentIndia's green hydrogen industry is still in its early stages, with infrastructure (pipeline networks, hydrogen storage) and cost competitiveness yet to be validated. However, policy continuity and corporate investment efforts give it the potential to become a key variable in the global hydrogen energy landscape. For China, this represents both a short-to-medium-term opportunity for equipment exports and a long-term challenge in technology competition and standard-setting.

Overall, the development of India's green hydrogen is not only the next chapter in its energy resilience but also a critical node in the restructuring of the global hydrogen industry chain. Chinese industries must closely monitor India's policy evolution, localization progress, and partner selection to seize the initiative amid the changing landscape.