Hyundai Motor acquires hydrogen fuel cell business of Hyundai Mobis

Industry

Published: 09 Jun. 2024, 17:36 Updated: 09 Jun. 2024, 17:37

Hyundai Motor acquires hydrogen fuel cell business of Hyundai Mobis

The hydrogen-powered bus, the E-WAY H2, developed by Hyundai Motor and Iveco Group on display at the Busworld 2023 expo in Brussels last October. [HYUNDAI MOTOR]

Hyundai Motor has completed the acquisition of the hydrogen fuel cell business from Hyundai Mobis in what could propel the automaker’s vision of a green society utilizing hydrogen.

The acquisition process initiated in February 2024 to integrate the hydrogen fuel cell business that was divided into R&D and manufacturing at Hyundai Motor and Hyundai Mobis was completed last month, according to the company on Sunday.

The integration will help Hyundai Motor centralize resources for hydrogen fuel cells to speed up development through the acquisition of Hyundai Mobis' facilities and assets related to the eco-friendly energy technology. The latest acquisition led Hyundai Motor to newly set up a team dedicated to the manufacturing quality of the fuel cell system.

Hyundai Motor's hydrogen fuel cell system brand HTWO [HYUNDAI MOTOR]

The reduced cost due to a streamlined management system will also help Hyundai Motor gain the upper hand in the business, according to the company.

Hyundai Motor said it will launch the next-generation model of the hydrogen-powered Nexo SUV by 2025 to cement its leadership in the sector. It will also utilize the energy in trams, ports and ships.

"[Hyundai Motor] is committed to the hydrogen business with sense of duty," said Hyundai Motor CEO Chang Jae-hoon in a release Sunday.

"In order to grab the leadership in the hydrogen ecosystem, [Hyundai Motor] will strengthen partnerships with affiliates and push for hydrogen production based on resource recycling, technology development and expansion in commercial vehicles."

Hyundai Motor successfully became the first company in the world to mass-produce a hydrogen-powered truck with the Xcient in 2020.

BY JIN EUN-SOO [jin.eunsoo@joongang.co.kr]