Toyota Joins Daimler Truck and Volvo as Equal Partner in Cellcentric, Creating the World's Largest Hydrogen Fuel Cell Venture for Heavy-Duty Transport
Toyota will invest in a capital increase to become an equal shareholder in cellcentric, the fuel cell joint venture founded by Daimler Truck and Volvo Group in 2021, as the partners simultaneously begin on-road testing of hydrogen combustion trucks using Cespira's HPDI fuel system.
Toyota Motor Corporation has signed a non-binding memorandum of understanding to join Daimler Truck and Volvo Group as an equal shareholder in cellcentric, the fuel cell joint venture the two European truck makers founded in 2021, the companies announced on March 31. Toyota plans to participate in a capital increase in cellcentric to achieve equal ownership, though the financial terms were not disclosed.
The three-way partnership brings together Daimler Truck and Volvo’s extensive commercial vehicle expertise with Toyota’s more than 30 years of fuel cell research, development, and manufacturing experience. Cellcentric, which operates as an independent entity headquartered in Germany with facilities in Kirchheim/Teck, Esslingen, Stuttgart, and Burnaby, Canada, employs more than 560 staff and holds approximately 700 patents related to fuel cell technology.
A Converging Strategy for Heavy Transport
Under the proposed arrangement, Toyota and cellcentric intend to jointly manage the development and production of fuel cell unit cells, the core component of fuel cell systems, along with directly linked architecture and control elements. The partnership aims to create competitive, scalable fuel cell solutions for heavy-duty on-road and off-road transport as well as stationary applications.
“This will enable us to strengthen development and further scale hydrogen technology, which we believe complements battery-electric drives in decarbonizing transport,” said Karin Radstrom, CEO of Daimler Truck, in the announcement.
Toyota CEO Koji Sato described the venture as an opportunity to combine cellcentric’s commercial vehicle expertise with Toyota’s fuel cell development capabilities. “Combined strengths will deliver world-leading fuel cell systems for heavy commercial vehicles,” Sato said, according to CleanTechnica.
Volvo Group CEO Martin Lundstedt characterized the addition of Toyota as a step that would “accelerate and create critical mass for hydrogen applications.”
Parallel Progress on Hydrogen Combustion
The cellcentric announcement coincides with a separate but related milestone. On April 1, Cespira, a joint venture between Volvo Group and Westport Fuel Systems, announced that its hydrogen High Pressure Direct Injection (HPDI) fuel system has entered on-road testing in Volvo heavy trucks. The technology uses a small amount of ignition fuel injected at high pressure to enable compression ignition before hydrogen is introduced, delivering what Cespira describes as diesel-like performance with nearly 100 percent CO2 reductions.
The HPDI system is derived from technology already deployed in more than 10,000 Volvo natural-gas-powered trucks worldwide. Dan Sceli, CEO of Cespira, said the system “delivers nearly 100% CO2 reductions over diesel fueled trucks while allowing OEMs to preserve their existing engine architecture” and leverage current manufacturing infrastructure.
Volvo’s hydrogen combustion trucks are categorized as Zero Emission Vehicles under the agreed EU CO2 emission standards when powered by green hydrogen. Commercial launch is planned in Europe before 2030.
Two Paths to the Same Destination
The parallel developments reflect the industry’s dual approach to hydrogen in heavy transport. Cellcentric focuses on fuel cell electric drivetrains, which convert hydrogen into electricity to power an electric motor. Cespira’s HPDI system instead burns hydrogen in a modified internal combustion engine. Both approaches aim to decarbonize long-haul trucking, a segment where battery-electric solutions face range and charging time limitations.
The agreement between the three automakers remains non-binding and subject to board approvals and regulatory clearance at each company. No timeline for a final legally binding agreement has been disclosed.
The partners have also committed to supporting hydrogen infrastructure development, a factor widely regarded as the most significant barrier to commercial adoption. Heavy-duty fuel cell trucks currently cost two to three times more than diesel equivalents, and the hydrogen refueling network remains sparse compared to diesel and electric charging infrastructure.