Hydrogen is no longer just about decarbonisation. What’s changing is the market logic. In 2026, H2 and e-fuels will be central to resilience, security of supply and operational readiness – especially in Europe.
3 key drivers for this trend:
One: Decentralised e-fuel production becomes strategic infrastructure
Rheinmetall plans to build hundreds of PtX sites across Europe, each producing 5,000–7,000 t/year of diesel or kerosene.
Electrolysis is supplied by Sunfire (pressurized alkaline), paired with SOEC heat utilization, with Power to Liquid fuel synthesis from our start-up Ineratec and direct air capture from our start-up Greenlyte.
Result: higher fuel sovereignty and faster crisis readiness through decentralized energy production and storage.
Two: Dual-use becomes the dominant design principle
European electrolyser and PtX hardware is increasingly positioned for both civilian and defense use. The industrial base overlaps, but defense specific requirements can still drive deviations in certification, resilience and site design.
Hyundai Rotem is making the same convergence explicit by reorganizing around robotics and hydrogen and planning to apply unmanned systems, AI and hydrogen energy across its defense, rail and plant businesses.
Result: shorter time-to-deploy and stronger industrial autonomy.
Three: Defence accelerates market ramp-up for green molecules
Defence procurement creates early, stable offtake for electrolysis and PtX when resilience, domestic value creation, and emissions criteria are combined.
Defence anchored offtake and dual use supply chains can also help de-risk early projects, as illustrated by concepts like Rheinmetall’s Giga PtX for decentralised synthetic fuel production.
Result: broader demand pull and stronger industrial resilience, with cost and deployment speed benefits mainly when scale and standardization follow.
For deeper insights get in touch with Alessandro Benassi.
Our sources:
- Rheinmetall: Synthetischer Kraftstoff Giga PtX
- Inside Defence: DIU awards Pratt Miller prototype hydrogen fuel cell contract for use in contested sea and land environments
- European Comission: Mobility and Transport
- NATO EnSecoE: Mission Net-Zero: Charting the Path for E-Fuels in the Military
- FCW: Hyundai Rotem Reorganizes Into a New Robotics and Hydrogen-Based Business System