Daimler, Volvo Launch Fuel Cell Joint Future

“Stop trying to make siloed transportation R&D happen. It’s not going to happen”—Regina George.

European automakers are taking this practical (and fictional) advice to heart. Yesterday, Volvo and Mercedes parent Daimler announced a joint venture to make hydrogen fuel cell systems for heavy-duty vehicles. Daimler’s truck unit will contribute IP; Volvo will cut a $652 million check for a 50% stake in the venture.

• Refresher: Fuel cell EVs offer range and quick refuel times. They emit water.

But wait, there’s been more fuel cell financial wizardry. Last month, Phoenix-based Nikola announced plans to go public through a reverse merger with a Nasdaq-listed special purpose acquisition company, valuing the EV and fuel cell truck developer at $3.3 billion.

Anyone else on the hydrogen highway?

Honda and Toyota sell FCEVs. The latter also plans to build a small hydrogen-powered smart city. In the U.S., FCEVs have first taken off commercially. The country has 23,000+ hydrogen forklifts, including some at Amazon and Walmart facilities.

Electrified economies will have “significant” fuel cell penetration down the road, Deloitte global auto lead Joe Vitale told me. But conventional wisdom maintains we’re years away from competitively priced, mass production-ready fuel cells.