Once the deal is completed, Toyota will join Volvo Group and Daimler Truck as an equal one-third shareholder in cellcentric, which was established in 2021 by Volvo and Daimler Truck to accelerate the commercialisation of hydrogen fuel cell technology for heavy-duty applications.
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Global automotive manufacturers Toyota Motor Corporation, Volvo Group and Daimler Truck have formalised plans to deepen their collaboration on hydrogen-powered transport after signing a binding agreement that will make Toyota an equal shareholder in cellcentric, their fuel cell technology joint venture.
The agreement marks a significant milestone in the global push to decarbonise heavy-duty transport, strengthening one of the industry's most ambitious partnerships focused on developing hydrogen fuel cell systems for commercial vehicles.
It follows a non-binding memorandum of understanding signed earlier this year and remains subject to regulatory approval before the transaction is expected to close around the end of 2026 or early 2027.
Once the deal is completed, Toyota will join Volvo Group and Daimler Truck as an equal one-third shareholder in cellcentric, which was established in 2021 by Volvo and Daimler Truck to accelerate the commercialisation of hydrogen fuel cell technology for heavy-duty applications.
The companies said the partnership would strengthen cellcentric's technological leadership, increase industrial scale and improve its competitiveness as demand grows for zero-emission transport solutions.
The alliance combines the complementary strengths of the three manufacturers.
Volvo Group and Daimler Truck bring decades of expertise in designing and manufacturing commercial vehicles, while Toyota contributes more than 30 years of research and development in hydrogen fuel cell technology, including experience gained through passenger vehicles such as the Mirai.
Together, the companies aim to accelerate the development, production and commercialisation of hydrogen fuel cell systems designed specifically for heavy-duty trucks and other applications where battery-electric technology faces practical limitations.
Unlike battery-powered vehicles, hydrogen fuel cell vehicles generate electricity through an electrochemical reaction between hydrogen and oxygen, producing only water vapour as a byproduct.
The technology is viewed as particularly suited to long-haul trucking because it offers faster refuelling times, lighter overall vehicle weight and longer driving ranges compared with conventional battery-electric systems.
Cellcentric will continue to operate as an independent company serving a broad range of customers across heavy-duty on-road and off-road transport, while also supplying fuel cell systems for coaches, rail applications, stationary power generation and heavy industrial equipment.
The three parent companies stressed they would continue competing independently in all other areas of their businesses, limiting the collaboration exclusively to fuel cell technology.
Toyota's investment is expected to enhance cellcentric's capabilities in several critical areas, including the development of fuel cell unit cells—the core building blocks of hydrogen fuel cell stacks—as well as manufacturing processes, system integration and control architecture.
The companies believe greater collaboration is essential to reducing production costs and achieving the economies of scale needed for hydrogen-powered transport to become commercially competitive.
Beyond technology development, the partners also intend working with governments, industry associations and companies across the hydrogen value chain to accelerate the rollout of hydrogen infrastructure.
The lack of large-scale hydrogen production facilities, transportation networks and refuelling stations remains one of the biggest obstacles to widespread adoption of hydrogen-powered commercial vehicles. By supporting the broader hydrogen ecosystem, the companies hope to create the conditions needed for the technology to achieve mass-market adoption.
Cellcentric already employs more than 560 specialists across Germany and Canada and has built a substantial intellectual property portfolio, with around 700 patents supporting its fuel cell technologies. The company aims to become one of the world's leading tier-one suppliers of hydrogen fuel cell systems for commercial transport.
The announcement comes as governments around the world intensify efforts to reduce emissions from transport, one of the largest contributors to greenhouse gas emissions. Heavy-duty freight remains among the most difficult sectors to decarbonise because of the demanding operational requirements placed on long-distance trucks.
BUSINESS REPORT