Updated 11 June 2025
TL;DR: In 2024 China channelled ¥10-12 billion (≈US $1.4-1.7 bn) into 85 hydrogen deals. Electrolyser makers captured 42 % of primary-market funding, with AEM technology surging. Multi-round winners included LONGi Hydrogen and Geely’s Farizon Methanol-H₂ unit. Foreign funds (Aramco Ventures, Fortescue, DCM) joined the fray, while state-backed capital pivoted to SAF & green-chemical projects. (Context: Our 2024 China Hydrogen Market Review)
1. 2024 in Numbers — Financing at a Glance
China’s hydrogen sector continues to show resilience despite global H₂ deployment setbacks and China’s own economic challenges, including tighter IPO approvals and local government debt. The stricter IPO environment has made some investors wary of risky tech sectors like hydrogen, while local governments, facing budget strains, have walked back various promised subsidies or direct investments. Even so, both private‐sector and state‐owned funders—including some unconventional real estate or tech investors—continue to bolster H₂ ventures.
| Metric | 2024 | 2023 | % Δ YoY |
|---|---|---|---|
| Total disclosed funding | ¥10-12 bn | ¥8.6 bn | +20 % |
| Number of deals | 85 | 103 | −17 % |
| Avg. ticket size | ¥118 m | ¥83 m | +42 % |
| IPO proceeds (HK) | ¥1.02 bn | ¥0.8 bn | +28 % |
Quick takeaway: Fewer deals, bigger cheques—late-stage confidence remains high.
2. Electrolyser Super-Cycle (42 % of Primary Deals)
2.1 Renewable OEMs doubling down on ALK
Seasoned wind and solar manufacturers are branching into PtX equipment. Names to watch: LONGi, Sungrow, Ming Yang, Chint, SANY.
These solar heavyweights are leveraging balance-sheet muscle to scale 1 GW + ALK lines.
2.2 Rising tech plays in PEM & AEM
- BriHyNergy (氢辉能源) – PEM stack membrane and PEM stack OEM
- Corun Materials (科润新材料) – iridium-saving CCMs
- Xingran Tech – AEM diaphragms targeting <US $250 / m²
Another major trend to note is Chinese OEMs are putting a greater effort in overseas market opportunity.
Why it matters: AEM’s share of submissions to China’s MNRE pilot list jumped from 8 % → 24 % YoY, signalling near-term commercialisation.
3. Multi-Round Champions Signal Investor Conviction
| Company | Tech focus | 2024 $ raised | Notable backers |
|---|---|---|---|
| LONGi Hydrogen | GW-scale ALK | ¥1 bn+ | Hillhouse, Sequoia China |
| Geely Farizon | Methanol-H₂ | US $230 m | CATL Capital, Tencent |
| Ming Yang Hydrogen | Offshore-integrated ALK | ¥650 m | DCM, China Merchants |
4. Foreign & Institutional Capital Footprints
A notable trend is the presence of foreign investors in select deals, contrasting sharply with China’s more insular H₂ funding scene in 2021–22:
- Fortescue → minority stake in PEM innovator HyProof (汉丞科技)
- Aramco Ventures → Series B in Sinohyd (海德氢能) electrolyser JV
- Anglo American → seed round for Kyln (瑞麟科技) membrane startup
- DCM (LA) → backs yacht-fuel-cell outfit ExploMar (擎波探索)
Trend watch: Western investors now favour Chinese component specialists with export-ready IP rather than pure-play project developers.
5. Beyond Production — Where the Money Goes
| Segment | Share of 85 deals | 2024 Spotlight |
|---|---|---|
| Production tech (ALK, PEM, AEM) | 42 % | See Sections 2-3 |
| Storage & transport (LH₂, compression) | 12 % | Hynergas lands ¥90 m for 35 MPa LH₂ trailers |
| Downstream apps | 46 % | Green-chemicals surge — 10 deals in SAF, methanol, olefins |
Case in point: ICT Developer (岚泽能源) secured ¥100 m from the National Green Development Fund to scale SAF production—China’s first state-level bet on e-fuels.
6. 2025 Outlook – What to Track Next
Looking ahead in 2025:
- IPO Pathways: With A-share listings still stalled, Hong Kong may emerge as a prime venue for Chinese H₂ IPOs, echoing how the US Nasdaq once served Chinese tech. Singapore is also being discussed as an alternative, especially with its welcoming approach to Chinese EV expansions.
- New Demands & Carbon Trading: Cement, iron, and steel might see a capital influx if carbon trading expands, though large-scale adoption could remain niche.
- Green Chemicals: Methanol, ammonia, and olefins remain dominant, but SAF, CTL, and CTG are on the rise. Whether China can foster domestic demand—beyond export markets—will become clearer in 2025.
- Will Foreign Investors Expand Beyond Electrolyzers? Having already shown increased interest in China’s electrolyzer segment, might international investors pivot toward the green chemical sphere—encompassing SAF, green methanol, and more—as the nation ramps up its green chemical strategy?
- US-China Dynamics: Without robust US policy support for renewables/H₂, China’s pipeline advantage could become unassailable. In the Middle East and parts of Europe, Chinese electrolyzer suppliers are already making inroads (e.g., partnering with ACWA, Aramco), heightening competition concerns.
- Chinese Contenders: Solar majors like LONGi, Trina, and Sungrow—plus potential battery/EV crossovers like CATL and Geely—could replicate their success from the solar/battery export game in hydrogen. LONGi’s investment in HydroPro hints at deeper moves into Europe. Who’s next?