Honda Aims To Expand Hydrogen Business With External Sales Of Next-Generation Fuel Cell System
Honda Motor Co Ltd (NYSE: HMC) plans to launch a fuel cell vehicle (FCEV) model equipped with the next-generation fuel cell system in 2024, jointly developed with General Motors Company (NYSE: GM).
The next-generation fuel cell system, which leverages the knowledge, know-how and economies of scale of both companies, will reduce the cost to one-third compared to the cost of the fuel cell system in the 2019 Honda Clarity Fuel Cell.
Honda has begun fundamental research on future fuel cell technologies with targets to halve the cost and double the durability compared to the fuel cell system co-developed with GM.
Also Read: Honda Makes Operational Changes To Push Electrification Business
Honda has identified four core domains for the utilization of its fuel cell system: fuel cell vehicles (FCEV), commercial vehicles, stationary power stations and construction machinery, and will actively engage in collaboration with other companies.
Since 2013, Honda has been working with GM on the joint development of the next-generation fuel cell system.
In the mid-2020s, Honda will begin external sales of its fuel cell system at the level of 2,000 units per year, with a plan to expand sales in stages.
Honda will increase sales to 60,000 units in 2030 and to a few hundred thousand units per year by the second half of the 2030s.
The move is part of the automaker’s effort to realize carbon neutrality for all products and corporate activities Honda is involved in by 2050.
Also Read: Honda Partners With GS Yuasa For Lithium-Ion Batteries
Price Action: HMC shares are trading lower by 1.22% at $25.00 in premarket on the last check Thursday.
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