China's State Council says it is urging domestic companies to continue developing fuel cell vehicle technologies along with plug-in hybrids and electric vehicles. Automakers and suppliers should "undertake the research and development of advanced technologies related to fuel cell vehicles ..." the council said - according to Auto News China.

Domestic manufacturers also should strive for breakthroughs in battery, electric motor and electronic control technologies for plug-in hybrids and electric vehicles, the council said in a statement published on October 18. The council includes alternative energy vehicles as one of seven "strategic emerging industries."

The council's support for fuel-cell research comes at a time when automakers question whether fuel cell-based powertrains can be made inexpensively enough to attract retail customers. To date, several domestic Chinese automakers - including Shanghai Automotive Industry Corp. and Changan Automobile Co. - have displayed fuel-cell cars at domestic auto shows. But none have put the vehicles into commercial use.

Daimler AG, General Motors Co., Honda Motor Co., Hyundai Motor Co. and Toyota Motor Corp. have announced they will be able to sell fuel-cell vehicles to retail customers by 2015. The automakers are participating in a project to set up a network of hydrogen fueling stations in the Los Angeles area, where small fleets of fuel-cell vehicles have been leased to the public. But it's still not clear whether automakers will ever produce fuel cells cheaply enough for the retail market.

Source: Automotive News China

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