Appalachian Manufacturers Positioned for Growth in Blue Hydrogen Supply Chain
The Energy & Manufacturing in Appalachia (EMA) initiative identifies opportunities for Appalachian manufacturers in the blue hydrogen supply chain, leveraging the region's low-cost natural gas and manufacturing base. The report notes that blue hydrogen production, which utilizes natural gas with carbon capture, is gaining traction despite uncertainties around approximately $1.7 billion in federal funding.
The recent One Big Beautiful Bill Act has shortened tax credit eligibility for clean hydrogen, favoring blue hydrogen projects. Key manufacturing needs include heavy-gauge piping, pressure vessels, compressors, and control systems. Manufacturers ready to supply these components will gain a competitive edge as projects rush to meet federal deadline incentives.
