Hydrogen fuel-cell vehicles (FCVs) have gained support from automakers like Toyota and Hyundai in their quest for net zero emissions. However, despite their advantages on paper, dismal sales figures indicate that customers remain skeptical, posing challenges for wider adoption.
According to a report from Bloomberg NEF, FCVs accounted for a mere 0.02% of global passenger vehicle sales in the previous year. To make any meaningful projections, FCVs need to reach 0.1%, equivalent to around 80,000 vehicles.
The allure of hydrogen lies in faster refueling times and longer ranges. However, the lack of refueling infrastructure and limited mass-market applications hinder broader acceptance in the short term. Research suggests that battery electric vehicles (BEVs) offer the fastest and most cost-effective means of reducing emissions from passenger cars.
BNEF emphasized the difficulty of forecasting the future of passenger FCVs given their low sales, limited momentum, and concentration in select markets and models.
In 2022, the Toyota Mirai and Hyundai Nexo were the dominant players, representing the majority of the 15,391 passenger FCVs sold. Global sales declined from the previous year, with a significant drop observed in Japan, where sales decreased from 2,440 to 844. South Korea emerged as the primary market, benefitting from government incentives such as vehicle-purchasing subsidies and hydrogen-fuel subsidies.
Both Toyota and Hyundai remain committed to hydrogen as the global automotive industry transitions away from fossil fuels. Toyota’s Chairman, Akio Toyoda, recently participated in a race featuring the world’s first liquid-hydrogen race car in Shizuoka Prefecture, promoting the potential of this carbon-neutral fuel.
