In another sign that hydrogen is not ready for the general automotive market, one of the world’s largest OEMs has ended its development program.
General Motors in the US has decided to end development on next-generation hydrogen fuel cell systems under its HYDROTEC brand.
According to the EV Report, it will continue to manufacture hydrogen fuel cells for data centres and power generation persists via Fuel Cell System Manufacturing LLC, a joint venture with Honda.
Instead, it will invest its R& D budget into EVs and efforts to improve on range, charging technology and customer access.
The report suggests that while Hydrogen shows potential in high-demand sectors like backup power, mining, and heavy trucking the high production costs and sparse infrastructure undermine its ability to meet a general market demand in automotive
There are only 61 hydrogen refuelling stations across the entire US compared to over 250,000 EV charging locations.
Better alternatives
Some have argued that hydrogen in Australia cannot possibly meet the emissions reduction targets set by the federal government.
Professor Hussein Dia has argued transport is Australia’s third largest and fastest-growing source of emissions that could become number one by 2030 and describes relying on hydrogen for freight as a ‘shaky bet’.
“There are proven transport decarbonisation strategies that deserve more weight than carbon-capture or hydrogen, “ he argues in his opinion piece.
“To accelerate the electrification of cars and buses, the government should set clear sales targets. This creates certainty for manufacturers, consumers and infrastructure providers. We can look overseas for guidance.”
Slow uptake
In July, Stellantis, the maker of Crysler, Jeep, Citroen Fiat among other, decided to shift away from the development of hydrogen based on mid-term market prospects.
There have been some developments in Australia with hydrogen, notably by the CSIRO, Hyundai and Toyota, but sales of new vehicles have remained in single digits.
The FCAI reports that in the period up until June 2025, only two hydrogen vehicles were sold in the car and light commercial sector. This was a drop on the seven sold in the same period in 2024.
Refuelling infrastructure has also reflected this slow uptake.