I have been paying close attention to the performance of Taiwan's hydrogen fuel concept stocks recently, and I find that this field is indeed worth spending more time researching.

Speaking of which, there are good reasons why hydrogen energy has been gaining popularity in recent years. The global carbon neutrality goals have driven huge demand for clean energy, and hydrogen energy, as an efficient alternative, is attracting significant capital inflows. Based on 2024 data, the global green hydrogen market size is about $1.1 billion, and it is expected to soar to $30.6 billion by 2030, with a compound annual growth rate of 61.1%. This growth rate is no joke.

I noticed that Taiwan is also making moves. The recent actions of Zhongxing Electric and Gaoli are quite interesting. Zhongxing Electric is building hydrogen refueling stations, aiming to complete 2 to 3 large stations by 2025, with orders close to 40 billion NT dollars, some of which extend until 2032. In 2024, their total consolidated revenue reached NT$25.61 billion, a 15.65% year-over-year increase, setting a new record high. As for Gaoli, as the main OEM supplier for Bloom Energy's fuel cells, it is expected that their thermal energy product business will achieve high double-digit growth in 2025, with an overall revenue growth target in the double digits.

However, there are also many opportunities on the global level. APD is the world's largest commercial hydrogen supplier, with a target price around $362. Plug Power, although down 55% in the past year, operates over 250 hydrogen refueling stations in North America and is building an end-to-end green hydrogen network. Traditional energy giants like BP are also transforming; they plan to produce 500,000 to 700k tons of low-carbon hydrogen annually by 2030.

Recently, the U.S. Department of the Treasury announced a significant positive policy—tax credits for clean hydrogen production. A tax credit of up to $3 per kilogram greatly reduces the cost of green hydrogen, directly boosting related stocks. The International Energy Agency reports that to achieve net-zero emissions by 2050, global hydrogen demand will reach 530 million tons. Taiwan’s net-zero pathway by 2050 plans for hydrogen supply to account for 9%-12%, indicating substantial growth potential for Taiwan's hydrogen fuel concept stocks.

Of course, risks must also be acknowledged. Industry competition is intensifying, with new companies constantly entering the market to gain share, putting pressure on leading firms. Plug Power, for example, has seen profits eroded by price wars. Additionally, hydrogen production costs remain high; the industry still heavily relies on fossil fuel-based methods, which limits environmental benefits and causes hydrogen prices to fluctuate with oil prices.

From an investment perspective, I see three main directions. First, directly buying hydrogen concept stocks, such as Taiwan’s Zhongxing Electric and Gaoli, or global leaders like APD and Plug Power. Second, considering derivative contracts like futures, which are highly leveraged and flexible, suitable for short-term traders. Third, investing in hydrogen ETFs, such as the Global X Hydrogen ETF or Direxion Hydrogen ETF, which can diversify risk and provide indirect exposure to the entire industry chain.

Overall, Taiwan’s hydrogen fuel concept stocks and the entire hydrogen energy industry are indeed on the rise. Government support is strong, market demand is growing rapidly, and technological advances are lowering costs—all positive signals. But at the same time, competition and cost risks should be watched carefully. If you can find companies with real competitiveness in green hydrogen production, storage, transportation, and sales, long-term prospects should be promising.