Lüliang Daily: From “Coal Capital” to “Hydrogen Hub”—Exploring How Our City Is Paving a New Path for the Green Transformation of Resource-Based Cities

       Pengfei Group, deeply rooted in Lüliang, has been both a participant in and a witness to the city’s hydrogen‑energy industry development. The Lüliang Municipal People’s Government and the Lüliang Daily have published an article titled “From ‘Coal Capital’ to ‘Hydrogen Hub’: Exploring How Our City Is Paving a New Path for Green Transformation in a Resource‑Based City,” which systematically reviews Lüliang’s efforts and achievements in transitioning to a hydrogen economy. The original text is reproduced below.

On the annual ranking of national fuel-cell vehicle demonstration and incentive programs, Lüliang ranks first among all prefecture-level cities nationwide. This prestigious top‑spot is no accident; it is the result of this time‑honored resource‑rich city’s astute strategy—leveraging its inherent strengths and skillfully crafting a forward‑looking development plan.

As the nation’s largest concentrated coking production region, Lüliang is transforming 8 billion cubic meters of coke oven gas annually—once an industrial byproduct—into clean hydrogen energy. An industrial transformation driven by coal‑to‑hydrogen and powered by green innovation is now unfolding in full force across the Loess Plateau.

High-level overall coordination

Establishing a development framework for the hydrogen energy industry

Lüliang boasts an unparalleled endowment of energy resources, making it a pivotal national hub for coal, coking, and unconventional natural gas supply. Its robust coal‑coking capacity, abundant unconventional natural gas reserves, and steadily expanding wind‑and‑solar green power generation have created a unique competitive advantage, enabling the simultaneous advancement of four hydrogen‑production pathways: coal‑gasification, industrial by‑product recovery, natural‑gas reforming, and water electrolysis. Developing the hydrogen economy is Lüliang’s strategic breakthrough in deepening the energy transition, a transformative path toward optimizing its industrial structure, and a long-term initiative to foster new drivers of productivity.

To thoroughly implement the spirit of General Secretary Xi Jinping’s important speeches and instructions during his inspection of Shanxi, and to resolutely shoulder the major mission entrusted by the CPC Central Committee to Shanxi—namely, the transformation of its resource‑based economy and the comprehensive reform of the energy revolution—since 2022, the Lüliang Municipal Party Committee and Municipal Government, building on the city’s industrial foundation, have leveraged its abundant coking‑gas resources and low‑cost hydrogen‑production advantages to vigorously develop new‑type productive forces. They have designated the hydrogen‑energy industry as one of Lüliang’s “985” key industrial chains, included its development among the top 20 priority tasks of the Lüliang Municipal Party Committee for three consecutive years, and consistently listed it as a key item in the Lüliang Municipal Government’s work reports, mobilizing the entire city to accelerate the rapid growth of the hydrogen‑energy sector.

In 2022, the Lüliang Municipal Government successively issued a series of policies and measures, including the “Lüliang City Mid- to Long-Term Development Plan for the Hydrogen Energy Industry (2022–2035),” the “Lüliang City 2022 Action Plan for the Development of the Hydrogen Energy Industry,” and the “Provisional Measures for the Administration of Hydrogen Refueling Station Construction in Lüliang City,” thereby clearly defining the city’s hydrogen energy industry development strategy, objectives, and specific implementation pathways. In 2024, it released the “Several Provisional Policies and Measures of Lüliang City to Promote the Development of the Hydrogen Energy Industry,” introducing 15 concrete measures covering hydrogen refueling station construction, equipment manufacturing, market applications, scientific and technological research and development, and factor‑related support, thus providing comprehensive backing for the sector’s growth. In 2025, the city formulated the “Local Fiscal Support Policy for Demonstration Applications of Fuel Cell Vehicles in Lüliang City” and the “Key Work List for the Hydrogen Energy Industry in Lüliang City for 2025,” outlining specific incentive measures related to full‑vehicle demonstration projects, hydrogen refueling station construction, and hydrogen supply, while also specifying concrete tasks in areas such as project development, technological R&D, and investment attraction.

A series of policies have taken root, and hydrogen‑production initiatives are flourishing across the board. At present, Lüliang has established a hydrogen‑production capacity of 135,000 tonnes. Leading local enterprises are advancing diversified hydrogen‑production models in parallel, firmly laying the groundwork for the hydrogen‑energy industry—

Pengfei Group has completed and commissioned a 20,000-ton-per-year hydrogen‑production project using coke‑oven gas, along with three 500 Nm³/h water‑electrolysis hydrogen‑production units. The company is currently the only enterprise nationwide to hold group standards for both coke‑oven‑gas‑based and water‑electrolysis hydrogen‑production technologies. Meijin Group has also brought online its 55,000-ton-per-year coke‑oven‑gas‑to‑hydrogen project, while Fuyu Coking has commissioned a 4,000-ton-per-year coke‑oven‑gas‑to‑hydrogen facility. In Xing County, Zefengda has completed and put into operation the first phase of its 56,000-ton-per-year natural‑gas‑liquefaction‑and‑helium‑extraction‑to‑hydrogen project, with the second phase actively under development. Meanwhile, the Lüliang Economic Development Zone has completed and commissioned a 3 MW green‑power‑to‑hydrogen‑and‑refueling integrated demonstration project, which has been included in the Provincial Energy Administration’s first batch of major technical equipment lists for the energy sector.

With multiple pathways advancing in parallel, leading enterprises stepping up, and flagship demonstration projects providing strong support, Lüliang has firmly transformed its coal‑coking resource advantages into a competitive edge for developing the hydrogen energy industry, building a steady stream of green momentum to fuel the expansion of the entire industrial value chain.

Improve supporting facilities

The practical outcomes of the hydrogen energy industry are becoming increasingly evident.

Hydrogen refueling infrastructure is being rolled out first, with a comprehensive hydrogen‑fueling network steadily expanding across the region. Aligning with the long‑distance transport needs of coal and coking commodities and with urban hydrogen‑powered bus routes, Lüliang has strategically positioned 14 hydrogen stations in the city proper, as well as in Xiaoyi, Jiaocheng, Zhongyang, and other areas, each capable of dispensing over 30 tonnes of hydrogen per day—enough to support the operation of more than 2,000 hydrogen‑fuelled heavy‑duty trucks. Looking ahead, the city is proactively planning to extend its hydrogen‑refueling network to national and provincial highways and major industrial parks, weaving an extensive supply network that spans the entire region and connects beyond the province.

“Today, Lüliang has become a core city in China for the large-scale deployment of hydrogen-powered heavy-duty trucks. We have established a zero‑carbon freight corridor stretching over 1,500 kilometers, linking Lüliang to Tianjin Port and Lüliang to Huanghua Port,” said Wang Rongqi, Chief Engineer of the Lüliang Municipal Bureau of Industry and Information Technology. One after another, cross‑regional hydrogen‑fuel transport routes now run unimpeded, serving as green arteries that connect the Loess Plateau to coastal ports.

Behind industrial development, Lüliang keeps two sets of books in mind: one is the visible economic ledger, and the other is the ecological ledger that benefits countless households.

More than 1,000 hydrogen-powered heavy-duty trucks now in operation across the city have collectively logged over 80 million kilometers this year, directly cutting carbon emissions by 80,000 tons annually while simultaneously achieving zero emissions of sulfur compounds and nitrogen oxides.

What does an 80,000-ton carbon reduction amount to? It’s equivalent to planting 4.5 million trees across vast stretches of the Loess Plateau. In the past, diesel-heavy trucks churned through the roads, sending clouds of black smoke billowing into the air; today, with hydrogen‑powered vehicles on the road, their exhaust is nothing but clean water. The environmental shift is most keenly felt by drivers who spend years behind the wheel. Chen Qiming, a driver with more than two decades of experience operating diesel trucks, shares his impressions: “Back when I drove diesel trucks, the exhaust fumes were so acrid they left my throat sore year after year, and by the end of each trip, my nostrils were caked with black grime. Now, driving a hydrogen‑powered heavy truck, all that comes out is clean water—air feels crisp, and the sky is bright and clear. As frontline drivers, we’re the ones best positioned to speak for these benefits.”

Low operating costs and a fast, convenient refueling experience have prompted logistics companies to proactively switch to hydrogen‑powered heavy trucks in large numbers. Lu Jingyun, head of the dispatch department at Shanxi Dahuatong New Energy Logistics Co., Ltd., explained that the company has acquired more than 600 hydrogen‑fuel cell heavy trucks at once. Compared with conventional diesel‑powered models, each vehicle can cut annual operating expenses by 80,000 to 100,000 yuan. Refueling takes just 15 minutes, and the range reaches 600 kilometers. No longer do drivers shy away from the hardships and pollution of diesel trucks; today, everyone is eager to sign up for hydrogen‑powered vehicles.

Leveraging a robust manufacturing base, an extensive network of hydrogen refueling stations, and large-scale vehicle operations, Lüliang continues to expand the frontiers of hydrogen‑energy applications. Today, the city has deployed over 1,300 hydrogen‑powered vehicles, including 1,250 hydrogen‑fuel‑cell heavy trucks, box trucks, passenger buses, urban public transit buses, and factory‑yard loaders, among other models. Simultaneously, 622 hydrogen‑electric shared bicycles have been put into service, enabling demonstration operations across all scenarios—freight transport, passenger travel, urban commuting, and industrial‑site logistics. Notably, Lüliang’s 760‑kilometer zero‑carbon long‑haul route directly connecting to Tianjin Port is now fully operational; some heavy trucks log annual mileages exceeding 100,000 kilometers, marking China’s first sustainable, commercially viable pure‑hydrogen heavy‑truck operating model.

On one hand, there are industrial dividends from cost reduction and efficiency gains; on the other, there is the public well-being of clearer skies and cleaner air. Leveraging a hydrogen‑fueling network as its foundation, local manufacturing as its backbone, and diversified application scenarios as its wings, Lüliang City has truly achieved the dual, synchronized advancement of development’s “gold content” and ecological “green content.”

Empowering with Science and Technology Innovation

Building a leading hub for hydrogen energy industry development in central and western China.

With supportive policies expanding development pathways, investment promotion rallying industrial momentum, and technological innovation solidifying the foundation for competitiveness, Lüliang City is advancing on three fronts—policy, investment attraction, and scientific and technological innovation—integrating resources and concentrating key factors to steadily build itself into a leading hydrogen‑energy hub in central and western China, thereby creating a replicable and scalable model for the green transformation of resource‑dependent cities.

Seizing national strategic opportunities, Lüliang’s hydrogen energy sector has reached a new stage of development. In March 2025, Lüliang was successfully included in Guangdong’s national fuel cell vehicle demonstration city cluster, becoming the only city from Shanxi Province and the third in the central region to be selected. This landmark achievement elevates the hydrogen energy industry from locally driven experimentation to a nationally coordinated initiative, while the opening of the central government’s “reward‑for‑subsidy” funding channel injects robust policy support, enabling sustained expansion of the sector and deeper integration across diverse application scenarios.

A robust industrial foundation, diverse application scenarios, and attentive, efficient business services continue to attract leading domestic hydrogen‑energy companies to establish and grow their operations in the region. On June 23, the Lüliang Economic Development Zone signed a cooperation agreement with Guangdong Qingneng New Energy for a full‑chain hydrogen‑energy project, officially bringing the company to the area. Focusing on core technologies such as AEM electrolysis for hydrogen production and high‑power fuel‑cell systems for vehicles, the two parties are leveraging the substantial demand for low‑carbon transformation among heavy‑truck fleets in Shanxi, Shaanxi, and Inner Mongolia to jointly build a benchmark hydrogen‑equipment manufacturing base in central and western China. This initiative aims to address local gaps in high‑end hydrogen‑energy equipment, injecting strong momentum into the energy transition and the development of new, high‑quality productive forces. Zhang Chi, CEO of Guangdong Qingneng New Energy Technology Co., Ltd., acknowledged that Lüliang’s well‑developed hydrogen‑production infrastructure, its thriving market of over a thousand hydrogen‑powered heavy trucks, and its comprehensive, end‑to‑end investment‑attraction support make it the ideal location for the company’s entry into the hydrogen‑energy sector. The company plans to accelerate the implementation of its “Two Lines and Two Centers” project, fostering multi‑level, in‑depth collaboration to achieve mutual empowerment and win‑win outcomes between government and enterprise.

For the long-term development of the industry, core technologies are the bedrock of competitiveness. Lüliang has steadfastly pursued deep integration among industry, academia, and research, relentlessly tackling key challenges in hydrogen energy and breaking free from reliance on foreign‑made high‑end equipment. Pengfei Group has brought together top scientific talent nationwide, collaborating with academician teams from Shanghai Jiao Tong University, Taiyuan University of Technology, Tongji University, and other leading institutions, while also partnering with premier research institutes such as Tsinghua University, Peking University, and the Chinese Academy of Sciences. Together, they are jointly addressing critical issues across industrial planning, complete vehicle manufacturing, and the R&D of core components. Meanwhile, Meijin Group has joined forces with North China University of Science and Technology to establish a joint hydrogen‑electricity technology laboratory, conducting specialized research on hydrogen‑electric hybrid powertrains and cutting‑edge hydrogen‑ionization technologies. Leveraging multiphysics simulations and comparative testing, they continuously optimize equipment performance, delivering innovative engineering solutions for efficient hydrogen conversion and low‑cost purification.

Building on its existing strengths, Lüliang has clearly defined a systematic development strategy centered around three key pillars: vehicles, hydrogen, and energy. On one hand, it is strengthening the industrial chain for hydrogen‑powered heavy‑duty trucks and their critical components, addressing local gaps in equipment manufacturing. On the other hand, it is integrating the entire hydrogen value chain—production, storage, transportation, refueling, and utilization—to maximize the use of local coking‑gas and renewable wind‑and‑solar power resources. Simultaneously, it is establishing a multi‑energy complementary system that coordinates thermal power, wind power, photovoltaics, energy storage, and hydrogen energy. Guided by national policies, anchored by flagship investment projects, and driven by independent scientific and technological innovation, Lüliang is advancing a multifaceted, multi‑dimensional, and sustainable blueprint for the hydrogen‑energy industry, unfolding step by step across the region.

From “Coal Capital” to “Hydrogen Hub,” Lüliang’s transformation has involved no disruptive reinvention—only the wisdom of making the most of what already exists. The city, once shrouded in dust, is now donning a new identity as a clean-energy powerhouse.

Source: Republished from Lüliang Daily and the Lüliang Municipal People’s Government.