Energy-importing nations such as Japan, South Korea, and Germany face significant challenges in ensuring energy security while transitioning to low-carbon economies. Hydrogen has emerged as a critical component of their decarbonization strategies, but domestic production alone cannot meet demand. These countries are actively pursuing international trade agreements to secure hydrogen supplies, leveraging diverse carriers such as ammonia, liquid organic hydrogen carriers (LOHCs), and liquid hydrogen (LH2). Their strategies focus on mitigating supply chain risks, fostering partnerships with resource-rich nations, and establishing standards for safe and efficient hydrogen trade.

Japan has been a pioneer in hydrogen trade, driven by its limited domestic energy resources and ambitious decarbonization targets. The country’s Basic Hydrogen Strategy outlines plans to import 300,000 tons of hydrogen annually by 2030, scaling up to 12 million tons by 2050. To achieve this, Japan is investing in ammonia as a primary hydrogen carrier due to its established shipping infrastructure and higher energy density compared to compressed or liquefied hydrogen. Japanese firms have signed agreements with suppliers in Australia, Saudi Arabia, and Brunei for ammonia-derived hydrogen. The country is also exploring LOHCs, particularly methylcyclohexane (MCH), which can be transported using existing oil tankers. Collaborations with Brunei and Australia include pilot projects for MCH-based hydrogen supply chains. Additionally, Japan is investing in liquefied hydrogen transport, demonstrated by the Suiso Frontier, the world’s first LH2 carrier, which completed a trial shipment from Australia in 2022.

South Korea, similarly reliant on energy imports, has prioritized hydrogen as part of its Green New Deal. The government aims to import 5.26 million tons of hydrogen annually by 2040, with ammonia and LOHCs serving as key carriers. South Korean companies are securing long-term contracts with suppliers in the Middle East and Southeast Asia. For instance, agreements with Saudi Arabia include the development of an ammonia supply chain, with shipments expected to begin by 2025. LOHCs like toluene and dibenzyltoluene are also being tested for their stability and efficiency in long-distance transport. South Korea is investing in LH2 infrastructure, including large-scale import terminals, to accommodate future demand. The country’s policies emphasize diversification of supply sources to reduce geopolitical risks, with partnerships spanning Australia, Norway, and the United Arab Emirates.

Germany, Europe’s largest energy importer, is leveraging its industrial and logistical expertise to establish hydrogen trade networks. The National Hydrogen Strategy targets imports to cover 60-70% of domestic demand by 2030. Germany is focusing on green hydrogen produced from renewable energy in partner countries, with ammonia and LOHCs as preferred carriers due to their compatibility with existing port infrastructure. The country has signed agreements with Morocco, Namibia, and Australia to develop export-oriented green hydrogen projects. LOHCs, particularly benzyltoluene, are being tested for their ability to integrate into existing chemical supply chains. Germany is also exploring LH2 imports, with plans to develop specialized terminals in Hamburg and Wilhelmshaven. The European Union’s support for hydrogen corridors, such as the H2Med pipeline, complements Germany’s strategy by enabling regional trade integration.

To mitigate supply chain risks, these nations are implementing multi-faceted policies. Diversification of suppliers is a common approach, reducing dependence on any single region. Japan, for example, has partnered with countries across Asia, the Middle East, and North America. South Korea is similarly expanding its supplier base to include both traditional energy exporters and emerging hydrogen producers. Germany is prioritizing partnerships with politically stable regions endowed with abundant renewable resources, such as North Africa and Australia.

Standardization of hydrogen carriers is another critical strategy. Japan leads efforts to establish international safety and quality standards for ammonia and LOHCs through forums like the International Partnership for Hydrogen and Fuel Cells in the Economy (IPHE). South Korea is collaborating with international organizations to develop certification schemes for carbon-neutral hydrogen, ensuring transparency in supply chains. Germany is advocating for EU-wide standards to facilitate cross-border trade and interoperability.

Investment in infrastructure is essential for scaling hydrogen imports. Japan is upgrading ports to handle ammonia and LOHCs, while South Korea is constructing dedicated hydrogen import terminals. Germany is integrating hydrogen infrastructure into its broader energy transition plan, repurposing natural gas pipelines for hydrogen transport where feasible. All three countries are funding research to improve carrier technologies, such as cracking efficiency for LOHCs and reducing boil-off losses in LH2 transport.

Financial mechanisms and long-term contracts are being used to de-risk investments for suppliers. Japan’s Green Innovation Fund supports overseas hydrogen projects, while South Korea’s Hydrogen Economy Roadmap includes subsidies for import infrastructure. Germany’s H2Global initiative uses a double-auction mechanism to bridge the price gap between producers and consumers, ensuring stable supply agreements.

Energy-importing nations are also addressing geopolitical risks through strategic alliances. Japan and South Korea participate in the Asia-Pacific Hydrogen Association to coordinate regional trade policies. Germany is shaping the EU’s hydrogen import strategy, emphasizing collaboration with Mediterranean and North Sea countries. These alliances aim to create resilient supply chains less vulnerable to disruptions.

The choice of hydrogen carriers reflects a balance between technological readiness and economic feasibility. Ammonia is favored for its mature infrastructure and high hydrogen density, though cracking technology for hydrogen extraction requires further development. LOHCs offer the advantage of reversible hydrogenation and compatibility with liquid fuel logistics, but energy losses during dehydrogenation remain a challenge. LH2 provides high purity and rapid refueling capabilities, yet cryogenic storage and transport entail significant energy costs. Each carrier’s adoption depends on specific use cases, with ammonia likely dominating power generation and industrial applications, while LOHCs and LH2 cater to mobility and decentralized demand.

In conclusion, Japan, South Korea, and Germany are pursuing comprehensive strategies to secure hydrogen supplies through international trade. Their reliance on diverse carriers, coupled with policies to mitigate risks and ensure energy security, underscores the complexity of building a global hydrogen economy. By fostering partnerships, standardizing trade frameworks, and investing in infrastructure, these nations aim to integrate hydrogen as a cornerstone of their energy systems while reducing exposure to supply chain vulnerabilities. The success of these efforts will depend on continued innovation, cross-border collaboration, and alignment of regulatory frameworks to enable seamless hydrogen trade.