Hydrogen Fuel Cell Electric Vehicles (FCEVs) have a small window of opportunity for mass market penetration, said IHS Automotive in its new FCEV report.
Production of global FCEVs is expected to reach more than 70,000 vehicles annually by 2027, with the number of available models expected to jump from three to 12, said the company.
Most FCEV production will likely be in Japan and Korea, but by 2021, European FCEV production will take the lead globally, said IHS.
However, IHS predicts FCEVs will only represent less than 0.1 per cent of all vehicles produced by 2027.
But there’s still a chance for FCEVs to establish themselves in the market. Unlike most Battery Electric Vehicles (BEVs), FCEVs share similar habits to conventional vehicles, such as short refuelling times and long range, said IHS.
“This will definitely help with customer acceptance of FCEVs,” said Ben Scott, senior analyst with IHS, in a written release.
Hydrogen refueling infrastructure remains an issue, though.
The company said hydrogen refueling stations are typically quite large and often need dedicated sites. They can also cost more than USD $3-million.
But the company said more hydrogen refueling infrastructure is beginning to be rolled out. To date, there are 100-plus public hydrogen refueling stations globally.
“This could be a ‘now or never’ situation for FCEVs in mass market mobility,” said Scott.
