World Hydrogen Day: Hydrogen Must Overcome Enduring Challenges
8 October 2025
Setting the Global Scene
According to the International Energy Agency (IEA), global hydrogen demand reached nearly 100 million tonnes (Mt) in 2024, up 2% from 2023, in line with overall energy demand growth.
Frank Wouters, Director General of MED-GEM, an organization promoting partnerships for the development of green electrons and molecules in the southern Mediterranean, said at the first summit five years ago:
“Hydrogen has no limits.”
Key Challenges
Despite growing demand, the hydrogen industry faces several enduring challenges:
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High production costs: Producing hydrogen from renewable energy remains expensive, increasing consumer costs and limiting competitiveness against other energy sources.
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Limited infrastructure: Transport and distribution networks for hydrogen are still underdeveloped, complicating supply to consumption centers.
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Policy and regulatory gaps: Lack of strong and consistent policies across countries reduces the effectiveness of development initiatives.
Positive Developments
Despite challenges, there are encouraging signs for the hydrogen industry:
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Increased investment: Many countries and companies are ramping up research and development to reduce costs and improve efficiency.
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International collaboration: Global partnerships are being promoted to share knowledge, technology, and resources for hydrogen industry growth.
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Supportive policies: Some governments have started implementing support measures, such as subsidies and tax incentives, to encourage hydrogen production and consumption.
Situation in Vietnam
Vietnam is emerging as a promising market for hydrogen, particularly amid the energy transition and carbon reduction commitments.
International cooperation initiatives, such as partnerships between Suiso Japan Co., Ltd. and VAHC, could accelerate the development of hydrogen applications in Vietnam.
