Suzuki and UK-based Intelligent Energy (IE) will establish a new joint venture (JV) called SMILE FC System Corporation (SMILE FC) to develop and manufacture air-cooled fuel cell systems.
Both the companies will invest JPY750m in the new 50-50 JV which will make fuel cell systems for the next generation of fuel cell vehicles.
Starting with the air-cooled fuel cell system, the two companies along with SMILE FC, will develop mass-production technology and manufacturing of fuel cells, and also exploiting the global supply chain of fuel cell parts, and familiarizing the fuel cell vehicles.
The joint venture also includes a non-exclusive license agreement that gives Suzuki access to IE's fuel cell technology for its next generation of environmentally friendly fuel cell vehicles.
The new JV will be led by Suzuki Motor executive vice president and representative director Osamu Honda as president of the company that will be based in Hamamatsu City, Shizuoka, with operations initially based in Yokohama, Japan.
Honda said the company has been developing fuel cell vehicles with IE since 2006, and this successful relationship has led to the formation of SMILE FC System Corporation.
"I believe that we can accelerate the commercialisation of fuel cell vehicles through this joint venture with Intelligent Energy," Honda said.