FTXT signed an agreement to supply 3,900 heavy-duty FCEVs by 2025
On July 5, FTXT, a leading integrated FCEVs manufacturer in China, signed a strategic framework agreement with Baoding government, Wuchan Zhongda Group, and other related companies to supply 3,900 heavy-duty FCEVs by 2025.
Photo: the signing ceremony, source: FTXT website
The agreement specifies the consortium will leverage the endowments of Baoding city to accelerate the deployment of hydrogen energy, particularly in heavy road transportation sector. It plans to deploy 900 heavy-duty FCEVs in 2024 (400 sanitation and waste management vehicles and 500 trucks) and 3,000 in 2025 (500 sanitation vehicles and 2,500 trucks).
Photo: heavy-duty FCEVs, produced by FTXT
This agreement alone, if materialized, will significantly surpass Baoding government’s hydrogen strategy which announced in 2021 and stated it will deploy 100 sanitation FCEVs and 400 heavy-duty trucks by 2025. (just for reference, the target for year 2035 is 300 sanitation vehicles and 2,700 heavy-duty trucks)
I believe new business model must play a vital role to prompt the agreement. One participant, Wuchan Zhongda Group, is specialized in supply chain integration service and financial lease business. The financial lease business model, benefiting from prevailing low interest rate environment in China, could drastically reduce initial CAPEX for related companies- a major barrier for FCEVs deployment.
About FTXT
FTXT was established on April 15, 2019 with a capital of 450 million yuan by Great Wall Holding Group. It is positioned as a high-tech enterprise focusing on the market-oriented operation of hydrogen fuel cell technology. At present, FTXT has set up four research and development centers in Shanghai, Baoding, Japan and Germany, set up a multicultural and technologically advanced research and development team, and strictly follow the Development process of V model to build vehicle-level fuel cell power system and components. The main products cover fuel cell engines, stack, 35MPa/70MPa on-board hydrogen systems, on tank valves and pressure regulator, etc. In the future, FTXT will build internationally competitive products around the core technology of hydrogen fuel cells such as: high performance membrane electrode, high power density stacks, high efficiency of fuel cell engine, high pressure on-board hydrogen storage tank, high integration on tank valves, etc., and FTXT is committed to provide cost-effective hydrogen fuel cell technology solution for the customer.
Link to the Baoding city’s hydrogen strategy (2021)