German industrial gas giant to build $37mn plant in Ho Chi Minh City

Anthony Grandpierre, general director of Messer Vietnam, told Tuoi Tre (Youth) online newspaper that Vietnam remains one of the fastest-growing markets for the German industrial gas group.

He said the country's target of achieving double-digit GDP growth, combined with rising investment in electronics, automotive manufacturing, and high-tech industries, is driving demand for industrial gases such as nitrogen, oxygen, argon, and other low-carbon gas products.

"We chose Vietnam for long-term investment because the country still offers enormous growth potential, particularly from large-scale industrial projects," Grandpierre said.

The project is expected to begin supplying its first products before the end of 2028 after approximately 18 months of construction.

The company selected Ho Chi Minh City because of rapidly growing industrial gas demand in southern Vietnam and the area's energy infrastructure, particularly the Cai Mep LNG terminal system.

The plant will produce nitrogen, oxygen, and argon while utilizing cold energy generated during the LNG regasification process for air separation.

According to Grandpierre, the technology can reduce electricity consumption by about 50 percent compared with conventional production methods, lowering both operating costs and carbon emissions.

Alongside the new plant, Messer plans to develop Vietnam's green hydrogen market.

Grandpierre said the company, drawing on more than 120 years of experience in hydrogen technologies, is developing rooftop solar-powered solutions to produce green hydrogen for industrial customers.

To support market development, Messer will work with the German Agency for International Cooperation (GIZ) on training programs for industry stakeholders, while participating in conferences, exhibitions, and partnership forums to share international experience in green hydrogen development.

"The goal is to help establish Vietnam's green hydrogen market while supporting greenhouse gas emission reductions and the country's net-zero commitments," said Do Thi Lan Anh, a GIZ representative.

Vietnam’s green hydrogen market remains in early stages

Green hydrogen is expected to play a key role in Vietnam's energy transition toward net-zero emissions.

Under Vietnam's hydrogen energy development strategy through 2030 with a vision to 2050, the country aims to produce between 100,000 and 500,000 metric tons of hydrogen annually by 2030 before increasing output to 10-20 million metric tons per year by 2050.

Domestic hydrogen demand currently comes mainly from fertilizer and oil refining plants, with most supply consisting of gray hydrogen produced from fossil fuels.

Green hydrogen, produced through water electrolysis powered by renewable energy, remains at the research, pilot, and pre-investment stages, with no large-scale commercial market yet established.

Industry experts said Vietnam's abundant wind and solar resources provide a strong foundation for long-term green hydrogen development.

However, they noted that the country still needs to complete its legal framework and develop hydrogen storage and transportation infrastructure.

International investors including Messer and GIZ consider these factors critical to establishing a viable green hydrogen industry over the coming decade.