Beijing, August 4 (SANA)Cooperation between China and Arab states has entered a new phase in the green hydrogen sector, driven by the accelerating global transition toward clean energy and the complementarity between China’s industrial and technological capabilities and the natural resources and investment potential of Arab countries.China’s Xinhua News Agency, citing the National Energy Administration (NEA), reported that investment in the hydrogen sector rose by more than 160 percent year-on-year during the first half of this year, while China maintained its leading global position in both hydrogen production and consumption.Bian Guangqi, Deputy Director of the Department of Science and Technology at the NEA, said that with projects in Xinjiang, Ningxia and Jilin entering operation, China’sgreen hydrogenproduction capacity had reached approximately 250,000 tons annually by the end of 2025, accounting for more than half of the world’s total production capacity.China aims to establish a new energy system during the 2026–2030 period by integrating hydrogen andgreen fuelsinto its non-fossil energy mix, while targeting renewable energy-based hydrogen production of 2 million tons by 2030.According to the International Energy Agency’s (IEA) Global Hydrogen Review 2026, the Middle East is one of the world’s principal regions for hydrogen-based products, accounting for about one-sixth ofglobal hydrogen production.During the 10th Ministerial Meeting of the China-Arab States Cooperation Forum in May 2024, China proposed establishing a more integrated framework for energy cooperation. Several Arab countries, including Saudi Arabia, the United Arab Emirates and the Sultanate of Oman, have incorporated hydrogen into their energy transition strategies, drawing on abundant solar and wind resources and the relatively low cost of renewable electricity generation.The growing partnership has been reflected in a series of major projects. In August 2025, China’s Sinopec and Saudi Arabia’s ACWA Power signed an agreement to provide Front-End Engineering Design (FEED) services for the Yanbu Green Hydrogen and Green Ammonia Project, one of the world’s largest integrated projects of its kind.In another development, Suzhou Sincetrue Hydrogen Energy Technology Co. signed a cooperation agreement with Saudi Arabia’s Mowj Holding to develop green hydrogen production projects, establish storage, transport and local manufacturing facilities, and build six hydrogen refueling stations across the Kingdom.