Boston, MA 07/21/2014 (wallstreetpr) – Fuel Cell Car is coming soon. Toyota (TM) announced that soon it is going to commence mass production of cars running on hydrogen fuel cells. This declaration is beneficial for companies manufacturing fuel cells like Ballard Power Systems Inc. (NASDAQ:BLDP). Toyota believes that fuel cell cars will run for longer life with greater torque in comparison to electric car. Further, these cars will not leave any exhaust behind but only water. Earlier, Toyota only commenced hybrid cars and brought it running on the roads. However, certain companies like Tesla (TSLA) are not in favour of fuel cell cars.
Fuel Cell Companies To Be Benefited
Toyota has not yet named this fuel cell car which will be expensive in price. It will go on sale in Japan by next year. Japan is having good infrastructure like refueling stations which improve the car’s functionality as per practical and standard features. Other Japanese car making companies like Nissan (NSANY) or Honda (HMC) will also manufacture fuel cell cars. Meanwhile, Japan’s Prime Minister Shinzo Abe has made an announcement that the government plans to provide Y2M, or a subsidy of $20K on every purchase of a fuel cell car, as reported by the Nikkei Asian Review. These recent announcements will be beneficial for companies like Plug Power (PLUG) and Fuel Cell Energy (FCEL), along with Ballard Power Systems Inc. (NASDAQ: BLDP).
Doubtful About Success
The successful launch of Fuel Cell Car would generate more revenue for companies like Ballard Power Systems. The advantages in long term though are still unknown and why this news didn’t increase the share price of Ballard Power Systems is a cause of concern as all stocks were down by 2% on Thursday. The companies are still unsure of the success of this launch by Toyota.
Ballard Power Systems Inc. (NASDAQ:BLDP). creates designs, develops and manufactures fuel cells with zero emission and is a global leader for PEM (proton exchange membrane) technology in developing fuel cell.
