Texas is well-situated to lead in hydrogen market development, given its existing comparative advantages. These include:
A robust industrial sector, especially in petroleum products, chemicals, plastics, and rubber manufacturing (13.2% of U.S. GDP in these sectors, collectively, in 2021) co-located with the nation’s largest regional port capacity.
An existing hydrogen market with two-thirds of U.S. hydrogen transport infrastructure.
An investment environment that is generally supportive of infrastructure development.
A large natural gas production, transport, storage, and end-use footprint (accounting for 60.5% of U.S. GDP in oil and gas extraction and 24.6% of U.S. GDP in pipeline transportation in 2021).
Excellent geology for long-term storage of hydrogen and CO2.
Deep expertise in logistics and supply chain management (accounting for 11.6% of U.S. GDP in wholesale trade and 10.0% of U.S. GDP in transportation and warehousing).