(Yicai Global) Sept. 12 -- Chinese new-energy busmaker Foshan Feichi Automobile Manufacturing plans to export its hydrogen cell vehicles to Malaysia in a bid to improve local public transport.
Feichi and Sarawak Economic Development penned a memorandum of understanding covering the supply and delivery of the buses on Sept. 10, Feichi's parent Shanxi Meijin Energy said in a statement yesterday. It did not disclose financial details of the agreement, which is the vehicle maker's first in Southeast Asia.
The buses will be used as part of a pilot project in Sarawak state to augment public transport, the statement added. Hydrogen-powered vehicles have not quite garnered the same attention as their electric plug-in and hybrid counterparts, but are another form of supposedly green automobiles as they do not produce pollutants while running.
But both require electricity, which in many countries is still generated primarily using fossil fuels. EV batteries need charging from a mains power source, while the hydrogen for fuel cell cars is created using electrolysis -- a process that involves passing electricity through water.
The deal comes shortly after coke processor Meijin inked an agreement with Guangdong Hongyun High-Tech Investment to set up an investment arm for the hydrogen energy sector. Meijin will put CNY67.5 million (USD10 million) into the new venture for a 45 percent share, it said on Sept. 6.
Local firms in Sarawak are also investing in the construction of hydrogen production plants and refueling stations to get the fuel-cell vehicles into use. There is an abundance of resources there and there will be enough to power the buses, Meijin's latest statement added.
Editor: James Boynton