Japanese automotive manufacturer, Toyota Motors, has announced its plan to team up with Chinese auto companies to develop hydrogen fuel cells in China.
In an official statement, Toyota stated that the Beijing-based joint venture includes Beijing Automotive Group (BAIC Group), China FAW Corporation, Guangzhou Automobile Group (GAC Group), Dongfeng Motor Corporation, and Beijing SinoHytec.
Toyota will invest around 5.02 billion Yen ($46 million) and hold 65% shares of the joint venture.
Named United Fuel Cell System R&D (FCRD), the venture will produce fuel cell systems for Fuel Cell Electric Vehicles (FCEV) to help China achieve a green transportation system.
Promoting FCEVs, FCRD will help decrease CO2 emissions and reducing air pollution plaguing China.
According to the Operating Officer of Toyota, Shigeki Terashi, FCRD holds significant importance for Toyota’s global fuel cell strategy.
There is no other automobile market with such a sense of speed, and I am extremely confident that we will gain partners we can work with toward the shared target of expanding the use of FCEVs in China.