Factsheet Import of Hydrogen

Large quantities of hydrogen are needed to decarbonise industry and other sectors. In particular, the steel, chemical and petrochemical industries, as well as many areas of medium-sized industry, can use green or low-carbon hydrogen as a CO₂-free or low-
CO₂ alternative to natural gas or grey hydrogen. To make this possible, in addition to constructing domestic electrolysis plants for the production of green hydrogen, the import of hydrogen is crucial. According to the National Hydrogen Strategy (Nationale Wasserstoffstrategie), 70 % of the hydrogen used in Germany will be imported.

1. In what manner will hydrogen be imported?

Which import route is possible and suitable depends largely on the respective source country and the potential import routes.

[1] Less relevant forms such as the hydrogen derivative methanol, imports via LOHC, and direct imports are not considered here. The latter includes, for example, the import of sponge iron pre-treated with hydrogen in the exporting country, or the import of natural gas for the production of blue hydrogen in Germany.

2. Which countries does the imported hydrogen come from? How will H2 be transported to Germany and when will it be available?

These routes represent options for import corridors. They are being developed by the respective participating companies with the aim of establishing a diversified and resilient energy supply.

Timeframe (according to current plans: January 2026):

  • 2028 – South America
  • 2030 – Norway, West Africa
  • 2031 – Denmark
  • from 2032 – Spain, Italy, North Africa, Finland, Sweden, the UK

3. What infrastructure is necessary for the import of hydrogen?

As described above, hydrogen is imported in various ways, each of which requires different infrastructure.

Transport via pipelines

As with the transport of hydrogen within Germany, pipelines are also the most efficient method for import. Similar to the domestic hydrogen core network, which distributes hydrogen from import points, the European Hydrogen Backbone is being developed as
a Europe-wide pipeline network. Converting existing natural gas pipelines to transport hydrogen is the most cost-effective option. Therefore, wherever possible, existing pipelines will also be converted for hydrogen transport or, alternatively, used for synthetic methane.

Ports and import terminals

For imports by ship, import terminals are required to transfer the hydrogen or its derivative from the ship for further transport. Among others, the LNG terminals built in recent years are intended to be able to be used for this purpose if hydrogen is imported
as synthetic methane (through CO₂ recycling). Another option is to convert LNG terminals that are no longer used for the import of derivatives such as ammonia.

Ammonia crackers

When imported in the form of ammonia (NH₃), it can be broken into its components after unloading in a so-called cracker, where heat is applied to split it into nitrogen and hydrogen. These two components are then separated, and the hydrogen can be fed into a pipeline network. Alternatively, ammonia can be used directly – such imports would then replace domestic production, for example.

4. How will trade in imported hydrogen be structured?

H2Global

To promote the development of a global hydrogen market, the German federal government has established H2Global. The aim of H2Global is to procure green hydrogen products on the global market and sell them within the EU or Germany to the highest bidders. H2Global conducts these procurement and sales auctions but does not act as an importer itself. If the purchase price exceeds the sales price, the difference is covered through government subsidies. This creates price stability and supports global market ramp-up. In the first tender round, funded with €900 million, only the 2024 tender for RFNBO-compliant ammonia was completed. Further bidding rounds involving several billion euros in funding are planned.

European Hydrogen Bank

The EU supports hydrogen market development through the European Hydrogen Bank (EHB). The EHB provides fixed-price premiums to producers of renewable hydrogen (RFNBO) within the EU for up to ten years via competitive auctions. The third auction round, with a total budget of €3 billion, was launched in December 2025. A key feature is the Auction-as-a-Service (AaaS) model, which allows member states to allocate national funding through the EU auction process. Germany is participating in this third auction, which specifically supports hydrogen projects whose production will be fed into the German core network via the planned pipeline from Denmark.

Midstreamer

Trade between hydrogen producers and consumers takes place through so-called midstream companies. Their role and tasks can be structured similarly to those in the oil and gas sectors:

  • Aggregation of supply and demand across the entire value chain (procurement, shipping, import, structuring, downstream transport, sales)
  • Balancing between delivery and acceptance times
  • Ensuring the required product quality
  • Creating liquidity in the market

5. What regulatory framework is still necessary for the import of hydrogen?

The German government established an H₂ Import Strategy in 2024, and import infrastructure is also taken into account in the Hydrogen Acceleration Law (Wasserstoffbeschleunigungsgesetz). However, additional regulatory aspects remain to be adressed:

Short term (by 2027):

  • Consistently promote demand for green hydrogen in Germany through suitable funding options
  • Transpose the EU H₂ / Gas Market Package into national law
  • Update the demand projections for Germany as a basis for approving further H2Global auctions
  • Establish EU-wide certification and sustainability standards aligned with global standards
  • Develop a coordinated plan for hydrogen import terminals, including cross-border cooperation

Medium term (2028–2035):

  • Define clear rules for the use of ammonia, methanol and other derivatives
  • Develop de-risking instruments with default guarantees for purchase agreements and price hedging
  • Ensure equal customs treatment of imports and domestic production
  • Guarantee non-discriminatory third-party access to import terminals
  • Achieve European harmonisation on regulatory issues, planning and infrastructure financing

Long term (by 2045):

  • Transition to a functioning hydrogen market with transparent prices and unified international certification systems

6. What international challenges could affect hydrogen imports?

There are several challenges involved in establishing hydrogen import trade:

  • Across the entire hydrogen market, low propensity to pay among buyers in Germany is a challenge. This results in low demand for long-term contracts due to the high costs of climate-neutral hydrogen. The lack of demand jeopardises investment in import infrastructure.
  • Competition from countries such as Japan and South Korea, where willingness to pay is higher.
  • Delayed expansion of renewable energies and hydrogen production in potential exporting countries, as well as infrastructure expansion within Germany.
  • The regulatory framework for international hydrogen trade and the hydrogen economy as a whole is not yet complete.
  • The lack of globally harmonised sustainability standards creates incentives for green hydrogen production in countries with lower standards and its sale to those with higher ones. This leads to distortions of competition.
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