Hydrogen fuel cell vehicle market competition

The global competition for hydrogen fuel cell vehicle (FCV) dominance is intensifying among Japanese, Chinese, and South Korean manufacturers, particularly in the commercial sector. At the IAA Transportation 2026 exhibition, Toyota announced plans to supply large-scale hydrogen fuel cells to Scania and Iveco, while also testing next-generation mobility durability through the ‘Dakar Future Mission 1000’ competition in January 2027. For this mission, Toyo Tire will supply OPEN COUNTRY M/T-R tires to Toyota Motor Europe’s hydrogen-powered Hilux.

China is responding with new technological releases, such as Foton Motor’s ‘CAVAN BEACON’—a dual battery-electric and hydrogen heavy-duty truck—and Dongfeng Motor’s 400kW-class fuel cell system. These efforts aim to challenge South Korea’s Hyundai Motor, which currently leads the market with its XCIENT hydrogen electric trucks. Industry experts suggest the competition centers on achieving economies of scale, noting that while hydrogen offers faster refueling and longer ranges for heavy-duty transport than battery electric vehicles, high production costs and insufficient infrastructure remain significant hurdles.

To address these infrastructure challenges, Toyota is shifting its hydrogen strategy to prioritize heavy-duty transport. By developing hydrogen ecosystems through truck and heavy vehicle fleets, the company aims to create the consistent demand necessary to make refueling stations viable. This includes collaborating with Scania and Iveco to integrate third-generation fuel cells into heavy trucks by 2027, alongside a joint venture with Volvo Group and Daimler Truck via cellcentric.

To expand production capabilities, Toyota Motor Thailand has received approval from the Thailand Board of Investment to invest 1.49 billion baht. This project will establish a production line at the Toyota Ban Pho plant for hydrogen-powered Hilux pickup trucks, with an expected annual capacity of 3,000 units starting in December 2027. These vehicles are intended for export to international markets, including Europe, Australia, and New Zealand.