Toyota, SinoHytec’s 50/50 fuel cell joint venture founded in late June

Shanghai (Gasgoo)- A 50/50 joint venture between Japanese automaker Toyota and Chinese hydrogen fuel cell engine developer SinoHytec was set up on June 28, signifying that the agreement both parties signed in March of this year has been firmed up.

Toyota, SinoHytec signing agreement for fuel cell JV; photo credit: Toyota

Dubbed Toyota Sinohytec Fuel Cell Co.,Ltd., the Beijing-based new company involves a registered capital of 4.5 billion yen ($40.7295 million). Its business scope extends to cover the manufacturing, consigned processing and sale of fuel cells and relevant auto parts. Dong Changzheng, senior executive vice-president of Toyota China, is the legal representative of the company.

It was not the first time for Toyota and SinoHytec to build joint venture. In June 2020, the two companies signed an agreement with four Chinese state-owned automakers for the establishment of a fuel cell system R&D joint venture in a bid to popularize fuel cell electric vehicles (FCEV) in China. The four carmakers are China FAW Corporation Limited (FAW), Dongfeng Motor Corporation (Dongfeng), GAC Group, and BAIC Group.

According to Toyota, the joint venture, named United Fuel Cell System R&D (Beijing) Co., Ltd. (FCRD), would primarily work on the be development of fuel cell systems for commercial vehicles to contribute to the realization of a clean mobility society in China.

Involving a planned investment of roughly 5.019 billion yen ($45.198 million), FCRD would be held as to 65% by Toyota and 15% by SinoHytec. The other 20% stake is evenly divided by FAW, Dongfeng, GAC Group and BAIC Group. The joint venture was formally founded in August last year, according to the business data platform Qichacha.