Honda caution on hydrogen car

Price is not right: Takeo Fukui knows that technology is good but cost needs to fall

11 April 2012

Honda president Takeo Fukui has warned against over-excitement over the new hydrogen fuel-cell car his firm launched this week, saying costs have to fall if it is to reach a mass market.

Fuel-cell cars are the most promising pollution-free vehicles but face significant barriers to entry. These include the cost of the technology and a lack of service stations for the hydrogen fuel.

"This is a must-have technology for the future of the earth," said Fukui, who expects to make 200 of the new cars in the next three years.

The car costs tens of millions of yen and it would need to fall below 10 million yen (£47,100) to be a mass-market product, Fukui said.

The latest model, the FCX Clarity, is not on sale but will be leased for $600 (£307.50) a month in the US next month.

California is the only place with enough hydrogen service stations and celebrities prepared to pay a premium to take the green alternative.

Actress Jamie Lee Curtis was among the first five customers to take delivery of a Clarity.