The demand for sustainable mobility and transportation is accelerating the adoption of alternative fuels, particularly hydrogen, in internal combustion engines. However, these engines present specific risks, such as flammable crankcase gas accumulation from blow-by and irregular combustion resulting from oil transport into the combustion chamber. Addressing these challenges requires advanced simulation tools to optimize power-cylinder-unit performance, specifically piston ring and gas dynamics. This study demonstrates the success of physics-based 2D simulation for hydrogen PCU design optimization, focusing on blow-by reduction and control of gas-flow-driven oil transport. Unlike commercial codes with adjustment and fitting parameters, the 2D simulation code – developed by Massachusetts Institute of Technology and successfully applied by MAHLE over decades – is fundamentally physics-based, enabling direct predictive capability without empirical calibration. Leveraging the validated “Healthy PCU System” design methodology 2D ring and gas dynamics models guided component optimization across the entire operating map. Comprehensive engine testing on a hydrogen-fueled platform confirmed simulation predictions, achieving a 28% reduction in blow-by and elimination of reverse-flow-driven oil transport. The optimized PCU design demonstrated significant improvements in lube oil consumption, with reductions of 5 g/h during high-load operations directly addressing hydrogen engine safety and performance requirements. While 2D simulation delivers excellent trend accuracy and captures average system behavior, it cannot resolve three-dimensional effects - such as ring and bore distortion conformability or ring gap positioning and ring rotation phenomena – which are responsible for local oil emissions or irregular combustion. Complementary 3D simulation analysis, combined with detailed inter-ring pressure measurements, provides essential insights into these localized phenomena and real engine behavior, as demonstrated in Part 2 of this publication series. As a further step, 3D oil transport simulation and lube oil consumption range prediction will be conducted as Part 3 of this publication series. This publication series establishes 2D simulation as the essential, computationally efficient tool for precise and efficient PCU development, while confirming that 3D analysis and experimental inter-ring pressure measurements are necessary to fully understand complex ring-liner interactions across multiple engine platforms.