Hyundai Rotem Enters New Hydrogen Refueling Infrastructure Business...First Success in Securing Hydrogen Reformer Order

Aerial View of Hyundai Rotem Hydrogen Refueling Station

[Asia Economy Reporter Ki-min Lee] Hyundai Rotem announced on the 10th that it is entering the hydrogen refueling facility supply business to secure future growth engines.

Hyundai Rotem explained that in line with global trends and the expansion policies of hydrogen mobility and hydrogen energy, it expects the hydrogen refueling facility supply business to continue its strong growth trajectory and has thus ventured into the hydrogen infrastructure business.

As part of its hydrogen refueling infrastructure business, Hyundai Rotem achieved its first success by signing a contract for one hydrogen reformer to be used in the Ministry of Trade, Industry and Energy’s “Pilot Project for Hydrogen Hybrid Refueling Stations Using Biogas” on the 29th of last month. This month, it also secured orders for two hydrogen reformers to be used in the “Hydrogen Production Base Construction Project” commissioned by Gangwon Technopark.

To support the hydrogen refueling facility supply business, Hyundai Rotem established the Hydrogen Energy Development Team last year and has been promoting the introduction and development of technologies related to hydrogen infrastructure construction. In particular, Hyundai Rotem signed a sub-license agreement with Hyundai Motor Company to secure core hydrogen reformer technology, receiving technology transfer from advanced overseas companies and began manufacturing hydrogen reformer products in February. The hydrogen reformer is an essential technology that Hyundai Rotem must secure to independently carry out the hydrogen refueling facility supply business. Hyundai Rotem explained that once the technology transfer of the hydrogen reformer is completed, it can reduce costs by more than 15% compared to foreign-made hydrogen reformers through localization.

Hyundai Rotem plans to establish a standardized model for hydrogen refueling stations by the first half of this year and develop dispensers, which are hydrogen refueling devices for vehicles, to additionally secure the technology needed to build hydrogen vehicle refueling stations.

According to the Ministry of Trade, Industry and Energy’s work plan for this year, a plan to build 100 new hydrogen refueling stations nationwide has been established. Accordingly, Hyundai Rotem has signed memorandums of understanding (MOUs) with various companies and local governments to commercialize the hydrogen refueling facility supply business. In November last year, Hyundai Rotem signed an MOU with Chungcheongnam-do, Dangjin City, and Hyundai Steel to promote the “Hydrogen Pilot City Creation Project.” Additionally, by next year, it plans to build a large-scale mobility refueling station in Changwon, Gyeongnam, capable of refueling trains, trams, buses, trucks, and passenger cars using hydrogen.

Hyundai Rotem explained that in connection with the government’s promotion of hydrogen vehicles and hydrogen energy, it aims to achieve sales of 110 billion KRW by 2022 and 350 billion KRW by 2025 by supplying hydrogen refueling facilities and hydrogen reformers to urban areas and highway rest area hubs.

It also plans to create synergy with its core railway business by providing infrastructure that allows hydrogen fuel cell trains to receive hydrogen stably. Hyundai Rotem expects strong demand for hydrogen mobility (trams, buses) from local governments to improve transportation convenience as hydrogen refueling infrastructure expands.

Perspective view of Hyundai Rotem hydrogen electric tram

Since last year, Hyundai Rotem has been developing hydrogen fuel cell trams in collaboration with Hyundai Motor Company and plans to produce a performance test platform vehicle by 2021. Hyundai Rotem’s hydrogen fuel cell tram modularizes the hydrogen fuel cell, hydrogen tank, and cooling system, mounting them on the vehicle roof, thereby realizing a low-floor structure and securing space efficiency.

A Hyundai Rotem official said, “In the face of changing internal and external management environments, it was necessary to actively explore new business ventures to secure future competitiveness. By entering new businesses such as hydrogen refueling stations and hydrogen fuel cell trams in collaboration with Hyundai Motor Company, we will secure competitive technologies and products, diversify our business, and establish long-term plans for future new businesses.” He added, “Despite difficult management conditions, we will continue to consider expanding products and entering new businesses through sustained investment.”

This content was produced with the assistance of AI translation services.