Cummins drives domestic green hydrogen economy forward with first U.S. electrolyzer manufacturing facility

Rhea-AI Summary

Cummins Inc. (NYSE: CMI) is set to begin manufacturing electrolyzers in the United States, specifically at its facility in Fridley, Minnesota. The production will start at a capacity of 500 MW annually, with plans to scale up to 1 GW. This development aligns with government support for the green hydrogen economy. The company aims to meet the rising demand for green hydrogen, which is pivotal for decarbonizing various sectors. This facility will also support Cummins' extensive global electrolyzer manufacturing network.

Positive

• Launch of electrolyzer production in the U.S., enhancing domestic manufacturing capabilities.
• Initial capacity of 500 MW with potential to scale to 1 GW, indicating growth prospects.
• Government support through initiatives like the Inflation Reduction Act, fostering the hydrogen economy.

Negative

• None.

COLUMBUS, Ind.--(BUSINESS WIRE)-- Cummins Inc. (NYSE: CMI) will begin producing electrolyzers in the United States, underscoring the company’s continued dedication to advancing the nation’s green hydrogen economy. Electrolyzer production will take place in Fridley, Minnesota, starting at 500 megawatts (MW) of manufacturing capacity annually, scalable to 1 gigawatt (GW) in the future.

“Expanding Cummins’ electrolyzer manufacturing footprint to the United States is a milestone not only for our company but an important step in advancing global decarbonization efforts,” said Alexey Ustinov, Vice President of Electrolyzers at Cummins. “This is a reflection of increasing government support through the Inflation Reduction Act, Hydrogen Hubs and a blossoming hydrogen economy in the states. Cummins’ ability to leverage our manufacturing, engineering and sourcing knowledge to build capacity will help us meet increased customer demand and continue to accelerate the clean energy transition.”

Cummins plans to dedicate 89,000 sq. ft. of its existing Fridley facility to electrolyzer production. Initially, the facility will manufacture its HyLYZER®-500 and HyLYZER®-5000 proton exchange membrane (PEM) electrolyzers here, with the potential to manufacture other electrolyzer products in the future. This range of products can accommodate power needs from 1.25MW to more than 200MW for both small- and large-scale hydrogen generation projects.

An electrolyzer separates water into oxygen and hydrogen. When the electrolyzer system is operated using renewable electricity – such as solar, wind or hydropower – the hydrogen it produces is “green” and carbon free. This green hydrogen can be stored as a compressed gas or a liquid and used as an energy-dense, clean power source to help decarbonize a variety of hard-to-abate sectors, such as heavy-duty transportation and industrial processes.

This new production space in Fridley adds to Cummins’ growing global electrolyzer development and manufacturing footprint. The company recently announced expansion of PEM electrolyzer manufacturing capacity at its Belgium factory to 1GW and has added space to its Mississauga, Canada, site. Cummins is also building two new electrolyzer factories in Spain and China, each starting at 500MW of manufacturing capacity and scalable to 1GW.

“Expanding our electrolyzer capabilities to Minnesota is Cummins’ first step in enhancing our ability to serve North American customers and meet growing demand for large-scale electrolysis projects globally,” said Alex Savelli, Managing Director of Electrolyzers – Americas at Cummins. “The company continues to evaluate new opportunities to grow in North America that will enable us to extend our electrolyzer product range and manufacture next-generation technologies for larger, more demanding applications.”

Cummins has a long history of advanced technology and engineering capabilities and innovates across a broad portfolio of market-leading renewable hydrogen technologies. It has been part of many of the world’s hydrogen “firsts,” including powering the world’s largest PEM electrolyzer in operation at 20MW in Bécancour, Canada; the world’s first megawatt-scale demonstration plant for storing wind energy in the natural gas grid in Windgas Falkenhagen, Germany; the world’s first 100% hydrogen-powered passenger train fleet in Lower Saxony, Germany; and the world’s first hydrogen refueling station for ships, cars, trucks and industrial customers in Antwerp, Belgium.

Choosing Fridley as the site for its first U.S. electrolyzer production plant highlights Cummins’ long-term commitment to the greater Twin Cities area and the favorable climate for investment there. In addition to strengthening its physical roots in Fridley, the company is dedicated to helping the community in a variety of ways, including through its Cummins Advocating for Racial Equity (CARE) program and support for Black-owned businesses and mobile grocery markets in the greater Minneapolis area.

About Cummins

Cummins Inc., a global power technology leader, is a corporation of complementary business segments that design, manufacture, distribute and service a broad portfolio of power solutions. The company’s products range from internal combustion, electric and hybrid integrated power solutions and components including filtration, aftertreatment, turbochargers, fuel systems, controls systems, air handling systems, automated transmissions, electric power generation systems, microgrid controls, batteries, electrolyzers and fuel cell products. Headquartered in Columbus, Indiana (U.S.), since its founding in 1919, Cummins employs approximately 59,900 people committed to powering a more prosperous world through three global corporate responsibility priorities critical to healthy communities: education, environment and equality of opportunity. Cummins serves its customers online, through a network of company-owned and independent distributor locations, and through thousands of dealer locations worldwide and earned about $2.1 billion on sales of $24 billion in 2021.

View source version on businesswire.com: https://www.businesswire.com/news/home/20221010005462/en/

Cummins Inc.

Jon Mills – Director External Communications

001 317-658-4540

jon.mills@cummins.com

Source: Cummins Inc.

FAQ

What is Cummins Inc.'s new electrolyzer production capacity?

Cummins Inc. will start an electrolyzer production capacity of 500 MW annually, with plans to scale to 1 GW.

Where is Cummins Inc. producing electrolyzers?

Cummins Inc. is producing electrolyzers at its facility in Fridley, Minnesota.

How does the new production facility impact Cummins Inc.'s operations?

The new facility enhances Cummins' ability to serve North American customers and meet the growing demand for large-scale electrolysis projects.

What role does government support play in Cummins Inc.'s electrolyzer production?

Government support, particularly through the Inflation Reduction Act, is instrumental in advancing Cummins' electrolyzer production and the hydrogen economy.