Air Products will only move to develop renewable fuel of non-biological origin (RFNBO) compliant hydrogen capacity once it “understands exactly” what EU requirements are, its CEO has said.
Eduardo Menezes told the industrial gas firm’s Q4 results that EU hydrogen regulations continue to be “a little fluid,” adding that the company will not move on hydrogen demand expectations before having “firm commitments from customers.”
It comes amid questions of the EU’s green hydrogen mandates, after a leak suggested binding quotas could be axed after 2030.
To satisfy demand arriving in 2030, the firm could wait until 2028 to move, he claimed.
He also said Air Products had “no plans” to spend additional capital on ammonia cracking projects in 2027, while it continues to develop a small project in Rotterdam.
The messaging aligns with many of the firm’s actions to back away from ambitious clean hydrogen plants since Menezes took over in early 2025.
Menezes told investors in November 2025 that Air Products needed regulatory clarity before developing ammonia import terminals and cracking plants to bring in hydrogen from its 2.2GW Neom plant in Saudi Arabia.
More recently, however, it moved to develop its RFNBO hydrogen capacity.
In September, it advanced hydrogen liquefaction at its Port of Rotterdam site, having also lined up the purchase of by-product green hydrogen from a nearby chlor-alkali plant the month prior.
A leaked European Commission document, which proposed an indicative bloc-wide consumption target, replacing current binding quotas under the Renewable Energy Directive III (RED III), has raised questions about how demand could emerge.
Previously, Menezes estimated RED III could require volumes equivalent to 12 Neom projects alone.
Almost 300 European organisations have urged the Commission to maintain the existing framework.
Hydrogen Europe CEO, Jorgo Chatzimarkakis, called the proposals a “catastrophe” for stakeholders, investments, and demand signals.
