Fuel cell development issues force Hyundai to delay next generation Nexo

Max McDee, 30 June 2022

Hyundai is not having much luck with its fuel cell development. There was a report last year that stated the fuel cell stack development has been stopped but Hyundai denied it. Engineers involved in the project were adamant it was on hold back then, but the company argued the development was on track with no issues.

Hyundai Nexo - hydrogen fuel cell powered EV Hyundai Nexo - hydrogen fuel cell powered EV

This time around Hyundai is no longer refuting any claims and is in fact officially delaying the launch of its next generation Nexo SUV. The first generation Nexo was launched in 2018 and it was due for an upDate but that is not going to happen until at least 2024.

Hyundai interiors are top quality and Nexo is no different Hyundai interiors are top quality and Nexo is no different

Hyundai is facing serious delays in the development of the fuel cells according to its suppliers. The planned development of Genesis-branded hydrogen models has been suspended and is unlikely to ever see daylight.

Not as easy to find as EV charger - hydrogen fueling station Not as easy to find as EV charger - hydrogen fueling station

Hydrogen fuel cell vehicles represent a niche that Hyundai is trying to stay committed to. The company faced with multiple delays decided to reevaluate its approach to hydrogen business and looks poised to call it quits when it comes to passenger cars. The sales numbers are abysmal with less than 4,000 Nexos sold in South Korea and 120 exported in the first five months of this year.

Under the hood - hydrogen powered fuel cell of Hyundai Nexo Under the hood - hydrogen powered fuel cell of Hyundai Nexo

Hyundai is focused on the transition to electric vehicle business and wants to explore all avenues including the hydrogen cars. The development delays and rising costs are clearly putting the company in a difficult position while the battery EV business is flourishing.

Many automakers who considered hydrogen as a viable alternative seem to be moving away from passenger cars and onto the commercial vehicle market. Hydrogen can still be a practical source of energy when used in fuel cells for heavy duty and long haul transport.

Hydrogen is stored under the rear passenger seats Hydrogen is stored under the rear passenger seats

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