Futuristic shipyard with massive hydrogen tankers, representing the challenges and potential of the hydrogen economy.

Will Shipyard Bottlenecks Sink the Hydrogen Economy? Navigating the Future of Clean Energy Transport

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Mira Elwood in Climate & Environment August 2025 • 4 min read.

"A new study reveals that shipyard capacity could be a major hurdle in the global hydrogen revolution. Is liquefied ammonia the surprising solution?"


The push to decarbonize the global energy system is creating a massive surge in demand for renewable energy technologies. However, the most cost-effective renewable energy sources aren't always located near the world's biggest energy consumers. This geographical mismatch creates a need for efficient and reliable transportation of low-carbon energy carriers, with hydrogen and ammonia emerging as frontrunners.

Maritime transport is poised to play a pivotal role in bridging this gap, ferrying clean energy across oceans. But a critical question remains: do existing shipyards have the capacity to build the specialized vessels needed for a global hydrogen economy? A recent study dives deep into this issue, assessing global shipyard capabilities against projected hydrogen demand.

The research highlights potential bottlenecks that could hinder the widespread adoption of hydrogen as a fuel source. The study doesn't just point out problems; it also explores potential solutions, including increasing local hydrogen production, utilizing pipelines, and leveraging liquefied ammonia as an alternative energy carrier. The findings offer a crucial roadmap for navigating the challenges of scaling up maritime hydrogen transport and ensuring a smooth transition to a cleaner energy future.

The Looming Shipyard Bottleneck: Are We Prepared?

Futuristic shipyard with massive hydrogen tankers, representing the challenges and potential of the hydrogen economy.

The study reveals a concerning possibility: a significant bottleneck in hydrogen transport capacity could emerge between 2033 and 2039 if the world relies solely on liquefied hydrogen (LH2). This bottleneck stems from limitations in global shipyard capacity, meaning there simply aren't enough shipyards equipped to build the specialized LH2 tankers needed to meet projected demand. This looming crisis demands proactive solutions to avoid derailing the hydrogen economy.

To quantify the potential shortfall, researchers estimated global tanker demand based on hydrogen demand projections and compared these projections with historical shipyard production data. The results paint a clear picture: current shipyard capacity may not be sufficient to handle the anticipated surge in demand for LH2 tankers.

  • East Asia Dominance: A significant portion of suitable shipyards are concentrated in East Asia, raising concerns about geographical diversification and potential geopolitical risks.
  • Capacity Crunch: There's a potential transport bottleneck until 2033-2039, depending on the specific scenario.
  • Millions of Cubic Meters Short: In 2035 alone, there could be a lack of up to 53 million cubic meters of transport capacity.
  • Competition from Container Vessels: Rising demand for container vessels could further strain shipyard capacity, hindering the maritime hydrogen transport sector.
While the findings highlight potential challenges, the study also offers a glimmer of hope. The identified bottleneck can be circumvented by strategically employing alternative approaches to meet hydrogen demand. These include boosting local hydrogen production to reduce reliance on long-distance transport, investing in pipeline infrastructure for efficient distribution, and exploring the use of liquefied ammonia (LNH3) as a hydrogen carrier.

Charting a Course for a Hydrogen-Powered Future

The transition to a hydrogen economy is not without its challenges. This study serves as a crucial reminder that shipyard capacity is a critical factor that needs to be addressed proactively. By diversifying hydrogen transport methods, investing in shipyard expansion, and strategically utilizing alternative energy carriers like liquefied ammonia, the world can overcome these potential bottlenecks and pave the way for a sustainable, hydrogen-powered future.

About this Article -

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Everything You Need To Know

1

Why is maritime transport so important for the emerging hydrogen economy?

Maritime transport is crucial because the most cost-effective renewable energy sources are often located far from major energy consumers. This geographical disparity necessitates efficient ways to move low-carbon energy carriers, and hydrogen, along with ammonia, are leading options. Maritime transport, using specialized vessels, can bridge this gap by ferrying clean energy across oceans.

2

What is the main obstacle to the maritime transport of hydrogen, according to recent research?

The primary obstacle is a potential bottleneck in global shipyard capacity. Specifically, there may not be enough shipyards equipped to construct the specialized liquefied hydrogen (LH2) tankers needed to meet the projected demand for hydrogen transport. This bottleneck could emerge between 2033 and 2039, potentially hindering the widespread adoption of hydrogen as a fuel source.

3

What is the role of liquefied ammonia (LNH3) in the future hydrogen economy?

Liquefied ammonia (LNH3) is being explored as an alternative hydrogen carrier. The study suggests that using LNH3 could circumvent the potential bottleneck in shipyard capacity associated with liquefied hydrogen (LH2) transport. By leveraging LNH3, the world can diversify its hydrogen transport methods and reduce reliance on building more LH2 tankers. Additionally, Ammonia is easier to liquify and transport than pure hydrogen which requires extremely low temperatures and high pressures.

4

Where are most of the shipyards capable of building specialized hydrogen transport vessels located, and what are the implications of this concentration?

A significant portion of shipyards suitable for constructing hydrogen transport vessels are concentrated in East Asia. This geographical concentration raises concerns about the diversification of supply chains and potential geopolitical risks. Over-reliance on a single region could make the hydrogen economy vulnerable to disruptions, emphasizing the need for a more globally distributed shipyard capacity.

5

Besides building more ships, what other strategies can be employed to avoid a hydrogen transport bottleneck?

In addition to expanding shipyard capacity, several strategies can help avoid a bottleneck. These include boosting local hydrogen production to reduce the need for long-distance transport, investing in pipeline infrastructure for efficient hydrogen distribution, and utilizing liquefied ammonia (LNH3) as an alternative hydrogen carrier. Diversifying hydrogen transport methods and increasing local production are key to ensuring a smooth transition to a cleaner energy future, rather than solely relying on increased ship building.

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