Recently, the China Electric Vehicle 100 People’s Forum (2025) was held in Beijing, themed "Strengthening Electrification, Advancing Intelligence, Achieving High-Quality Development", bringing together industry leaders to explore pathways for new energy transition. At the "Green Energy and New Energy Vehicle Integration Development Forum", Liu Yinghong, Deputy General Manager of Sinopec’s Development Planning Department, delivered a keynote speech titled Promoting Hydrogen Energy Transportation and Charging/Battery-Swapping Business Development to Advance Low-Carbon Transformation in Transportation Energy. The speech outlined Sinopec’s current progress in hydrogen energy transportation and charging/battery-swapping businesses, its future outlook, and the company’s strategic plans.
Transformation Context and Strategic Positioning
The transportation energy sector faces unprecedented challenges and opportunities. Domestic refined oil consumption peaked in 2023, with refinery capacity expected to reach 960–970 million tons per year by 2025. Gasoline and diesel demand is projected to decline rapidly during the 14th Five-Year Plan period. Meanwhile, rapid advancements in electrification and hydrogen energy technologies are driving diversified energy demands in transportation. Leveraging its network of over 30,000 gas stations, 140+ hydrogen refueling stations, and 100,000 charging terminals, Sinopec has taken the lead in building an integrated "oil-gas-hydrogen-electricity-service" energy ecosystem, establishing a road-network-linked framework to solidify its foundation for low-carbon transformation. Liu Yinghong emphasized that Sinopec aims to become a "world-leading clean energy and chemical company", aiming to consolidate traditional energy advantages while seizing new energy opportunities to drive energy revolution.
Hydrogen Energy Development: From Technological Breakthroughs to Industrial Synergy
Sinopec views hydrogen energy as a critical pillar of future transportation energy systems and has set a strategic goal to become "China’s No. 1 Hydrogen Energy Company". In hydrogen supply, it has built 42,700 Nm³/h hydrogen production centers across 11 refining enterprises, covering key regions like Beijing-Tianjin-Hebei and the Yangtze River Delta. The 20,000-ton/year green hydrogen project in Kuche, Xinjiang—fully replacing natural gas with green hydrogen—is the world’s largest single green hydrogen facility. For hydrogen refueling infrastructure, Sinopec operates 142 hydrogen stations (including integrated oil-hydrogen stations), accounting for over 30% of China’s hydrogen refueling network and 40% of national hydrogen supply, ranking as the world’s largest single operator.
To address high hydrogen transportation costs, Sinopec pioneered on-site hydrogen production and micro-pipeline hydrogen transport models. Pilot projects like the Nanning distributed ammonia cracking hydrogen production station and Dalian Shenggang methanol hydrogen production project have significantly reduced storage and transport costs. In March 2024, Sinopec achieved a breakthrough in 30 MPa tube trailer hydrogen transport technology, cutting per-truck hydrogen costs by 30% and removing key barriers for commercialization. Additionally, Sinopec led the formulation of six national standards, including the Technical Standards for Automobile Refueling, Gas Filling, and Hydrogen Stations, to promote industry standardization.
In industrial synergy, Sinopec proposed a "Three Axes, Four Regions, N Lines" hydrogen industry corridor layout, establishing six demonstration routes including Beijing-Shanghai and Chengdu-Chongqing. In April 2024, two hydrogen-powered heavy trucks traveled 1,500 km from Beijing to Shanghai via seven hydrogen stations, validating cross-regional hydrogen transport feasibility. This layout connects hydrogen supply and application endpoints while fostering R&D and industrial clustering, providing a model for national hydrogen network development.
Charging and Battery-Swapping Business: Scaling and Ecosystem Building
Facing rapid EV adoption, Sinopec entered the charging market in 2023, deploying 100,000 charging terminals by late 2024 across 370 major cities and some overseas regions. Its charging network prioritizes DC fast charging, with per-gun daily charging volumes exceeding industry averages. Through a "platform-driven + business integration + membership system" model, Sinopec built an open, shared charging ecosystem.
In heavy-duty truck battery-swapping, Sinopec partnered with XCMG Group and State Power Investment Corporation to deploy swap stations along national highways. Swap stations in Yibin (Sichuan), Xuzhou (Jiangsu), and Changzhi (Shanxi) support "charge and swap" functions, addressing logistics trucks’ rapid energy replenishment needs. Liu Yinghong noted that charging and swapping businesses complement traditional refueling while accelerating Sinopec’s transition to a comprehensive energy service provider.
Outlook: Challenges and Opportunities
Liu Yinghong outlined four core trends for transportation energy:
- Electrification Impact: In 2024, EV penetration reached 47.7%, replacing 24 million tons of gasoline. By 2030, penetration is expected to exceed 70%, shrinking traditional fuel markets.
- Hydrogen Substitution Potential: Fuel cell vehicles’ lifecycle costs are economically viable. Hydrogen-powered 49-ton trucks may compete with diesel trucks after technological advancements. By 2060, hydrogen demand in transportation could reach 28 million tons, becoming the second-largest application sector.
- Green Hydrogen Industry Early Stage: Green hydrogen costs are declining. If included in carbon trading, it could match natural gas hydrogen costs by 2030. Industrial applications will dominate, followed by transportation and power sectors.
- Green Methanol Bottlenecks: Despite planned annual capacity of 1.6 million tons, raw material shortages and high costs limit development. Short-term focus remains on maritime applications.
Sinopec’s Future Layout: Hydrogen Highways and Charging Networks
Aligned with carbon neutrality goals, Sinopec will prioritize:
- Hydrogen Transportation Deepening: Extending the "Three Axes, Four Regions, N Lines" hydrogen corridor, developing strategic hubs in North China, East China, South China, and Southwest China, and initiating the Beijing-Shanghai Hydrogen Highway. It also plans a pure hydrogen pipeline from Ulanqab to Beijing-Tianjin-Hebei and explores long-distance green hydrogen transport.
- Charging Ecosystem Expansion: Optimizing charging networks, focusing on commercial real estate scenarios, and promoting a "unified construction and operation" model. It will deepen battery-swapping technology collaboration and explore vehicle-battery separation models to boost heavy truck electrification.
Policy Recommendations
- Accelerate top-level hydrogen industry design, scale green hydrogen applications in industry, and ensure orderly development.
- Support hydrogen pipelines as key renewable energy transmission channels in northern regions, complementing the West-East Power Transmission initiative.
- Promote application scenario cultivation, build hydrogen industry corridors, and expand hydrogen refueling/station networks in key regions.
- Pilot hydrogen-powered passenger vehicles in northern regions. Passenger vehicles offer larger market scale and faster cost reduction through economies of scale.