Kawasaki Heavy Industries is forming an alliance with Japan’s two largest shipbuilders to mass-produce liquefied hydrogen carriers, as the nation scrambles to defend its technological edge against aggressive South Korean competition.
Imabari Shipbuilding and Japan Marine United will handle manufacturing scale-up, while Kawasaki supplies its specialized hydrogen storage tanks – the vessels’ most critical component. The partnership reflects Japan’s urgent need to commercialize its early-mover advantage in hydrogen transport technology.
Kawasaki completed the world’s first liquefied hydrogen carrier in 2020, but the industry remains in its infancy. The company’s current vessel holds just 1,250 cubic meters, while its planned commercial version will expand to 40,000 cubic meters by the mid-2020s.
South Korea has mounted a formidable challenge. The government recently allocated $40 million to develop the world’s largest demonstration hydrogen carrier by 2027, targeting vessels nearly twice the size of Japan’s future commercial ships. HD Korean Shipbuilding & Offshore Engineering aims to build a 160,000 cubic-meter commercial vessel by 2040.
The stakes extend beyond hydrogen transport. Japan’s shipbuilding industry, which commanded half the global market during the 1970s and 1980s, has steadily lost ground to Korean and Chinese competitors. The hydrogen carrier initiative represents a potential pathway back to relevance in next-generation maritime technology.
However, significant hurdles remain. Current hydrogen production relies heavily on fossil fuels, with Kawasaki’s pilot project using brown coal to generate hydrogen in Australia. The economics also remain challenging, as hydrogen liquefaction consumes about 30% of the fuel’s own energy content.
Industry observers note that Japan’s strategy hinges on maintaining technological leadership while partnerships like this one scale production capabilities to meet anticipated demand growth.
