Stellantis Suddenly Cancels Clean Tech Initiative Just Weeks Before Rollout | Carscoops

      Stellantis has halted its hydrogen program, attributing the decision to low demand and insufficient infrastructure.

      The company has canceled plans for the production of hydrogen-powered vans in France and Poland. It does not foresee the widespread adoption of hydrogen light commercial vehicles (LCVs) within this decade.

      Amid the automotive industry's shift towards cleaner propulsion options, not all technologies are making the cut. Stellantis has discreetly withdrawn from its hydrogen fuel cell development initiatives, citing a lack of significant short- to mid-term potential. The firm has scrapped its plans to commence serial production of hydrogen-powered vans this summer at sites in Hordain, France, and Gliwice, Poland.

      The automotive giant points to the limited hydrogen refueling infrastructure, substantial capital costs, and weak consumer purchasing incentives as primary factors for its exit from the FCEV program. According to Stellantis, hydrogen-powered LCVs are unlikely to gain notable market traction before the decade ends.

      Examining Partnerships

      Stellantis is now considering its position regarding Symbio, the hydrogen fuel cell manufacturer in which it acquired a 33.3% stake in 2023. Symbio is a joint venture with Michelin and Forvia aimed at ramping up hydrogen vehicle production in Europe and North America. Bloomberg reports that Michelin was surprised by Stellantis’ decision, describing it as “unexpected” and mentioning potential job losses.

      Despite the overall program discontinuation, Stellantis has stated that it will maintain current staffing levels at its production sites. Employees involved in hydrogen-related research and development will be redirected to other projects within the company.

      Jean-Philippe Imparato, Stellantis Chief Operating Officer for Enlarged Europe, remarked: “In response to stringent CO2 regulations in Europe, Stellantis has opted to end its hydrogen fuel cell technology development program. The hydrogen market remains a niche segment with no foreseeable mid-term economic sustainability. We must make clear and responsible choices to maintain our competitiveness and fulfill customer expectations regarding our electric and hybrid passenger and light commercial vehicle initiatives.”

      A Shift in Strategy?

      This decision represents a notable shift from a few months prior. In January 2024, Stellantis had announced plans to introduce eight fuel cell electric vehicle variants of its mid-size and large commercial vans, originating from the Stellantis Pro One range, including models like the Citroen e-Jumpy and e-Jumper, Fiat E-Scudo and E-Ducato, Opel/Vauxhall Vivaro and Movano, and Peugeot E-Expert and E-Boxer.

      At that time, Jean-Michel Billig, Chief Technology Officer for Hydrogen Mobility at Stellantis, had framed the initiative as a strategic effort to keep the company at the forefront of hydrogen innovation. He stated, “The decision to introduce hydrogen fuel cell mid-size vans and add fuel cell large vans to our production lines demonstrates our commitment to leading in advanced hydrogen technology and catering to our most demanding customers.”

      Although the latest announcement indicates a sudden shift in strategy, it is important to note that Stellantis has not always been a staunch advocate for hydrogen technology. In 2021, then-CEO Carlos Tavares asserted that automakers advocating for hydrogen vehicles were lagging behind in battery and electric vehicle technology.

      Despite Stellantis’ retreat, various automakers continue to invest in hydrogen technology, including Toyota, BMW, Hyundai, Honda, and Renault, who see promise for hydrogen in future mobility solutions.