Cummins, the global design, manufacture, distribution, and service of power solutions company, announced it launched a joint venture with the China Petrochemical Corporation, also known as Sinopec.
Firstly, the joint venture will have the name of Cummins Enze Hydrogen Technology Company. Its purpose would be to accelerate the affordability and availability of green hydrogen through increased technological innovation, research and development, and manufacturing capacity.
Moreover, the new company will have its headquarters in Foshan, Guangdong Province in China. Initially, the company will invest $47 million to locate a manufacturing plant to produce proton exchange membrane (PEM) electrolyzers.
In addition, the plant will have a manufacturing capacity of 500 megawatts of electrolyzers per year upon completion in 2023; which will be gradually increased over the next five years to reach one gigawatt of manufacturing capacity per year.
Furthermore, Cummins Enze will also provide a variety of hydrogen generation system solutions to meet diversified application requirements. This will include offering electrolyzers for both small-scale hydrogen production; such as a hydrogen fueling system for on-site hydrogen generation; as well as for large-scale hydrogen generation installations capable of 100 megawatts and beyond.
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Cummins deepening its roots in China
Zhou Yuxuan, General Manager of Enze Fund and Chairman of the joint venture, said about the launching of the company. “Green hydrogen is the ultimate technology of the hydrogen energy industry in the future.”
He also remarked. “Both gray and blue hydrogen technologies (gray hydrogen with carbon capture technology) are just a transition. We will use Sinopec’s current industry resources and layout the green hydrogen industry chain to achieve greater progress.”
On the other hand, Amy Davis, Vice President and President of New Power at Cummins, said. “Cummins was one of the first multinational companies to establish an entity in China in 1979, and we are thrilled to now use our deep roots and localized expertise to be at the forefront of the country’s energy transformation. This joint venture brings together Cummins’ and Sinopec’s innovative spirits and pursuit of a more sustainable tomorrow, enabling a carbon-free economy.”
Finally, Foshan, China, where the joint venture’s new plant will be located, is a national ecological base for the hydrogen energy industry. As a pioneer of the hydrogen economy, it has a mature hydrogen energy industry chain.
