Automaker giants General Motors (GM) and Honda Motor Co. announced that they will launch a joint venture called Fuel Cell Systems Manufacturing, LLC, one of the first plants to mass produce hydrogen fuel cells. The new company will operate out of the existing GM battery pack assembly plant in Bronstown, Michigan, which is located south of downtown Detroit. This $85 million investment will aid in the creation of up to 100 new jobs and will also focus on the development of new uses for fuel cell technology.
In addition to this joint venture, the two companies will also be combining their intellectual property portfolios on fuel cell battery technologies. These two companies hold two of the largest patent portfolios for fuel cells and related technology. Since 2002, GM and Honda obtained 918 and 757 U.S. Patents, respectively. In 2015 alone, GM received 87 fuel cell patents, and Honda received 57 fuel cell patents.
Toshiaki Mikoshiba is the chief operating officer of the North American Region for Honda Motor Co., Ltd. He is also President and CEO of American Honda Co., Inc. and Honda North America, Inc. Mikoshiba stated “[o]ver the past three years, engineers from Honda and GM have been working as one team with each company providing know-how from its unique expertise to create a compact and low-cost next-generation fuel cell system. This foundation of outstanding teamwork will now take us to the stage of joint mass production of a fuel cell system that will help each company create new value for our customers in fuel cell vehicles of the future.”
Mark Reuss, GM Executive Vice President of the Global Product Development, Purchasing and Supply Chain said, “[t]he combination of two leaders in fuel cell innovation is an exciting development in bringing fuel cells closer to the mainstream of propulsion applications. The eventual deployment of this technology in passenger vehicles will create more differentiated and environmentally friendly transportation options for consumers.”
In 1966, GM was the first to manufacture a hydrogen fuel cell electric vehicle (FCEV). The “Electrovan” was originally developed for the space program, and fifty years later, GM is still building on that innovation. It wasn’t until the 1990s, that the development of fuel cell vehicles began to increase in popularity.
Fuel cell technology provides various advantages over battery or fossil fuel-based power systems. The technology is thought to be a viable solution for transport vehicles where use of large batteries may cut into the vehicles’ payload capability. Further, fuel cell vehicles are designed to only emit water vapor, a much preferred emission compared to fossil fuel combustion byproducts that most vehicles currently emit today. Fuel cells can also be refueled in just a few minutes and are much more compact than a large standard car battery.
One problem that the two companies will need to take into consideration is the lack of hydrogen fueling stations. Currently, there are only 59 hydrogen fueling stations in the United States, and most of these can be found in California.
One of the goals the companies will strive for will be to reduce the cost of manufacturing and development through common sourcing. They will also work with the government and other stakeholders to advance the infrastructure that is vital for the long-term sustainability.
“With the next-generation fuel cell system, GM and Honda are making a dramatic step toward lower cost, higher-volume fuel cell systems. Precious metals have been reduced dramatically and a fully cross-functional team is developing advanced manufacturing processes simultaneously with advances in the design,” said Charlie Freese, GM executive director of Global Fuel Cell Business. “The result is a lower-cost system that is a fraction of the size and mass.”
Mass production of the fuel cells is slated to begin in 2020.
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