Toyota and Chinese firms advance hydrogen fuel cell vehicle competition

Japanese and Chinese manufacturers are intensifying their competition in the hydrogen fuel cell vehicle (FCV) market, particularly within the commercial vehicle sector. At the IAA Transportation 2026 exhibition in Germany, Toyota announced it will supply large-scale hydrogen fuel cells to Scania and Iveco. Additionally, Toyo Tire will supply its OPEN COUNTRY M/T-R tires to Toyota Motor Europe’s hydrogen-powered Hilux for the ‘Dakar Future Mission 1000’ competition in January 2027, aimed at testing next-generation mobility durability.

China is countering with new technological releases, including Foton Motor’s ‘CAVAN BEACON’—a heavy-duty truck capable of running on both battery electric and hydrogen fuel—and Dongfeng Motor’s 400kW-class fuel cell system. These developments are part of a global race to catch up with South Korea’s Hyundai Motor, which currently leads the market with its XCIENT hydrogen electric trucks operating across several countries.

Industry experts note that the core of this competition lies in achieving economies of scale. While hydrogen offers faster refueling and longer ranges for heavy-duty transport compared to battery electric vehicles, high production costs and insufficient refueling infrastructure remain significant hurdles. China is attempting to drive scale through government mandates, while South Korea faces challenges due to a smaller domestic commercial vehicle market and slower infrastructure expansion.