Global sales of hydrogen fuel cell vehicles (FCEVs) fell for the second straight year in 2024, dropping to just 12,866 units—a sharp decline from the 2022 peak of over 20,000 units. Industry players are now pivoting to commercial vehicles like trucks and buses to revive growth, according to a recent report.

　Asia remains the driving force behind FCEV adoption, with China alone accounting for nearly half of global sales last year. The country also leads in hydrogen refueling stations, hosting 33% of the world’s total. Despite the slump, automakers like Toyota, Hyundai, and China’s Yutong are pushing ahead with new commercial models and open technology licensing to cut costs and spur demand.

　Hydrogen vehicles, known for long ranges and fast refueling, face hurdles like high prices and limited infrastructure. Experts say costs must drop to $30 per kW for fuel cell systems and $8 per kWh for hydrogen storage to compete with electric vehicles (EVs).

　Toyota plans to launch hydrogen-powered commercial vehicles by 2026, while Hyundai is expanding its XCIENT heavy-duty truck platform. Chinese firms, meanwhile, are focusing on hydrogen trucks, with Yutong selling over 2,000 units since 2022.

　The shift comes as governments prioritize low-carbon transport to meet climate goals, though EVs still dominate the market. “The future of hydrogen hinges on making it affordable for freight and public transit,” said an industry analyst.