German Engineering Federation: Green hydrogen can reduce global industry emissions by nearly 90%

The German Engineering Federation (VDMA) said that the use of new low-emission technologies in all industries can significantly reduce industrial greenhouse gas emissions from the OECD and BRIC.

VDMA said that according to a study by consulting firm Boston Consulting Group (BCG), by 2050, decarbonization of industrial production will provide a market of 10 trillion euros worldwide. In particular, hydrogen (green hydrogen) produced from renewable energy has great potential to meet the needs of various industrial customers. According to this study, green hydrogen technology can reduce industrial emissions by 30 billion tons in 14 different industrial sectors, or 86%.

BCG's Markus Lorenz said that because machinery manufacturers are closely related to almost all industries, the development and provision of climate-friendly technologies has great economic and ecological potential.

Hartmut Rauen, vice president of the German Engineering Federation (VDMA), said that from a global perspective, ensuring that all business users who need to use low-emission technologies participate to generate the greatest environmental benefits and help expand new industrial processes, he added The annual revenue of this market (green hydrogen) is likely to be as high as 300 billion euros. Hydrogen production is particularly important due to its wide range of uses, helping to significantly reduce emissions throughout the industrial sector.

Industrial sectors such as steel, cement and chemicals are the most difficult sectors during the energy transition, because drastic reductions in emissions require completely new production methods. Earlier this year, the German government has begun to seriously address these difficulties and developed a strategy for industry to deal with climate change, in which hydrogen will play a key role.