Daimler Truck signs hydrogen deal with Emirati energy firm Masdar
German commercial vehicle manufacturer Daimler Truck and the state-owned Emirati energy company Masdar are examining a cooperation agreement to supply renewable hydrogen to Europe.
Daimler Truck and Masdar have signed a letter of intent toward the deal, the companies announced on Thursday.
The Abu Dhabi-based Masdar said the agreement supports the goal of the United Arab Emirates (UAE) becoming a leading producer and supplier in the low-carbon hydrogen market by 2031.
Daimler Truck chief executive Martin Daum said the company intends to develop business models centred around hydrogen and make the fuel available to customers.
He said Daimler Truck hopes to be a "catalyst" in solving a vexing "chicken-and-egg problem" where difficulty in finding hydrogen fuel and the lack of hydrogen-powered vehicles have both made expanding the sector difficult.
Few customers are interested in vehicles powered by unavailable fuels, but the lack of demand for hydrogen-powered vehicles makes investing in building hydrogen fuelling stations difficult.
"We will definitely not be operating a ship ourselves, nor will we be building a pipeline," said Daum. "But we have a lot of expertise and can offer an interface between the customers and key accounts of Daimler Truck and the hydrogen supplier."
The lorry manufacturer has aimed to sell a five-digit number of zero-emission vehicles by 2030 in order to comply with EU emissions regulations. Daimler Truck is pursuing both battery-powered electric and hydrogen fuel-cell vehicles.
Low-carbon hydrogen, which is produced using renewable electricity from sources like wind and solar power, is intended to help reduce climate-damaging CO2 emissions from the combustion of fossil fuels.
