Honda and GM Join Forces in Fuel Cell Production

Honda and General Motors to announce collaboration to develop fuel cell technology

General Motors Company (NYSE:GM) and Honda Motor Co Ltd (ADR) (NYSE:HMC) are joining forces to develop a project that involves new hydrogen fuel cell technology.

General Motors and Honda will set up a new plant in MI to mass produce next-generation fuel-cell technology that both companies plan to use in upcoming products, the automakers jointly announced Monday. The business responsible, Fuel Cell System Manufacturing, LLC, will operate at GM's Brownstown, MI facility, which is already responsible for producing battery packs.

The joint venture expansion of GM's factory received almost $2 million in state incentives, and Michigan Lieutenant Governor Brian Calley was on hand to make a few remarks about the importance of the joint venture to the state. Their use in passenger vehicles "will create more differentiated and environmentally friendly transportation options for consumers". "ORCRP007390-topic.html" class="local_link" >Honda have announced a joint venture to build hydrogen fuel cell systems to power electric automobiles. A president also will be appointed to rotate between the companies, they said.

The main downside remains the fact that refueling stations are now scant.

Proponents of fuel cell vehicles, which emit only water vapor, say the technology has significant advantages over other zero emissions models in terms of range and efficiency.

"Michigan continues its leadership with advancements in automotive technology and today's announcement by GM and Honda proves it". The lack of hydrogen fueling stations and the high cost of development are among the obstacles to high volume sales of such vehicles.

"This fuel cell technology holds transformational potential for the mobility industry".

A year ago, the two companies took a further step in their partnership by announcing that they'd set up a joint factory to manufacture fuel-cell stacks, with a goal of production by 2025 at the latest.

GM and Honda have more than 2,220 fuel cell patents between them, ranking No. 1 and No. 3, respectively, in total fuel cell patents filed between 2002 through 2015, according to a press release.

Batteries are heavy, slow to charge and limited in range - though improvements have allowed makers to start packing more into a vehicle, extending range, in some instances, to more than 300 miles per charge.

GM and Honda collaborated in a powertrain cross-supply arrangement in 1999 under which Honda manufactured 50,000 V-6 engines for the Saturn VUE and Honda received diesel engines from GM's Isuzu affiliate for use in Europe.

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