Hyundai Motor has halted sales of its hydrogen fuel cell vehicle, the Nexo, in Japan, signaling a move to introduce a new hydrogen model in the market.
Hyundai Motor Japan (HMJ) has stopped taking orders for the Nexo, which has been available locally since 2022, and is preparing to roll out a replacement model.
This suspension is widely seen as a preparatory step for the launch of the “All-New Nexo,” Hyundai’s completely redesigned hydrogen SUV unveiled in June, marking the first major update in seven years since the original 2018 model.
The new Nexo features Hyundai’s proprietary 110 kW hydrogen fuel cell and a 150 kW electric motor, delivering a maximum driving range of up to 720 kilometers on a single fill-up — a leading figure for passenger hydrogen vehicles.
Sales of the first-generation Nexo grew steadily from 727 units in 2018 to more than 8,500 units in 2021, surpassing 10,000 annual sales in 2022. However, increasing competition, including Toyota’s Mirai, led to a dip in average annual sales below 10,000 units.
The revamped Nexo is expected to be a cornerstone in Hyundai’s push to boost electrified vehicle sales worldwide, especially in Japan, a key market for hydrogen and electric cars.
Hyundai’s sales in Japan rose 146.4% year-over-year through July, totaling 568 units. The recent launch of the electric Casper and the upcoming release of the new Nexo are expected to further accelerate sales growth.
Hyundai recently appointed Toshiyuki Shimegi, an executive with a background in imported cars, as the new president of HMJ. The company aims to surpass 10,000 annual sales of electric and hydrogen vehicles in Japan by 2029.
With Japan accelerating its decarbonization efforts and targeting carbon neutrality by 2050, Hyundai is also expected to expand its hydrogen commercial vehicle lineup, including potential introduction of hydrogen buses.
