General Motors declared on Friday that it is abandoning plans for a factory in Detroit as part of a larger move to discontinue the development of hydrogen fuel cell technology for mainstream vehicles.
The company stated that “it will stop work on next-generation hydrogen fuel cell development through its HYDROTEC brand,” but noted that its partnership with Honda in Brownstown Township, Detroit, will continue with an emphasis on powering data centers.
GM spokesperson Stuart Fowle stated that the decision was driven by shifts in policy and a reevaluation of the company’s portfolio. He also highlighted the limited hydrogen infrastructure and slower-than-anticipated adoption of electric vehicles as major factors behind the move.
General Motors had planned to hire 144 employees at the new facility for next-generation hydrogen fuel-cell batteries. The $55 million project was a collaboration with a subsidiary of Piston Automotive, a parts supplier owned by former Detroit Pistons star Vinnie Johnson.
Fowle said GM plans to meet with the hydrogen fuel cell suppliers to wind down the current project and explore alternative opportunities for collaboration with those companies.
By 2016, GM had invested close to $3 billion in fuel-cell technology, with most of that investment occurring after the late 1990s. The automaker’s exploration of hydrogen fuel cells dates back to the 1960s, when it developed two concept vehicles powered by hydrogen fuel cells.
GM’s decision to scale back the development follows Stellantis’ announcement earlier this year that it would cancel its hydrogen fuel cell development efforts. Automakers such as GM, Stellantis, and Toyota have made significant investments in hydrogen as a potential propulsion technology, particularly for heavy-duty vehicles. However, the expected timeline for widespread adoption and financial returns has been delayed.
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