Ballard Power Systems has announced that a subsidiary of strategic partner Zhongshan Broad-Ocean Motor Co., Ltd.– called Shanghai Edrive Co. Ltd. has commissioned its fuel cell engine manufacturing facility in Shanghai, China.
Shanghai Edrive will assemble Ballard Power’s FCveloCity 30-kilowatt (kW) and 85kW fuel cell engines at the facility under a technology transfer, licensing and supply arrangement between Ballard and Broad-Ocean that closed earlier this year. Broad-Ocean also plans to assemble Ballard-designed engines at facilities in Hubei and Shandong Provinces.
An opening ceremony held recently at the Shanghai Edrive facility was attended by Catherine McKenna, Canada’s Minister of Environment and Climate Change and Ma Xingfa, Vice Chairman of the Shanghai Municipal Government Science and Technology Committee, along with Gong Jun, CEO of Shanghai Edrive and Alfred Wong, Managing Director of Guangzhou Ballard Power Systems Co., Ltd.
Minister McKenna noted, “Clean fuels reduce carbon pollution and help improve air quality. That’s why Canada supports innovative businesses like Vancouver-based Ballard. Its fuel cells, which are used for electric buses, facilitate affordable zero-emission transportation. Ballard is commercializing and exporting clean energy solutions that are in demand here in China, and around the globe.”
Randy MacEwen, Ballard President and CEO said, “Commissioning of Shanghai Edrive’s facility is an important step in our strategy to localize production in China, as the market for fuel cell-powered heavy duty applications – including buses and commercial trucks – heats up in China. And, this timing dovetails with the recent roll-out of the Shanghai Fuel Cell Vehicle Development Plan, a ground-breaking initiative for large-scale vehicle deployment. The Plan includes annual production targets of 3,000 fuel cell electric vehicles by 2020 and 30,000 fuel cell electric vehicles by 2025.” He added “We are thrilled to have Broad-Ocean as a key partner to accelerate the adoption of fuel cell-powered heavy-duty vehicles in China. Broad Ocean has manufacturing scale, supply chain muscle, operations excellence, bus and commercial vehicle OEM relationships, and a strong balance sheet. Ballard will also benefit from Broad-Ocean’s demand pull-through of fuel cell vehicles for use in its own new energy vehicle leasing business.”
Gong Jun, Shanghai Edrive CEO added, “We anticipate significant demand for zero-emission fuel cell electric buses and commercial trucks in key Chinese cities, including Shanghai. We are excited to collaborate with Shanghai to support implementation of the Shanghai Fuel Cell Vehicle Development Plan. Our company has already started production of Ballard-designed fuel cell engines and we expect to scale our manufacturing operation through 2018.”
Shanghai Edrive’s fuel cell engine manufacturing facility is over 50,000 square feet and has a capacity to manufacture and test several thousand engines annually. Ballard has provided training to Shanghai Edrive to ensure consistent manufacturing build quality and engine performance.
Each fuel cell engine assembled by Shanghai Edrive will utilize FCvelocity-9SSL fuel cell stacks manufactured by Guangdong Synergy Ballard Hydrogen Power Co., Ltd., a joint venture owned by Guangdong Nation Synergy Hydrogen Power Technology Co. Ltd. (“Synergy”) and Ballard in the City of Yunfu in China’s Guangdong Province. The joint venture manufacturing facility was commissioned in September 2017.
Shanghai Edrive was founded in 2008 as a manufacturer of electric drive systems and motor controllers for use in a variety of electric vehicles and has been a subsidiary of Broad-Ocean since 2016.
On August 18, 2016 Broad-Ocean became Ballard’s largest shareholder following an investment of $28.3 million in Ballard common shares, representing approximately 9.9% of Ballard’s outstanding common shares following the transaction. During 2017 Broad-Ocean has manufactured over 70 million motors to power small and specialized electric machinery for electric vehicles (EVs), including buses, commercial vehicles and passenger vehicles, and for heating, ventilation and air conditioning (HVAC).