Toyota may have changed its CEO, but not its electrification strategy.that’s why

New Toyota CEO Koji Sato believes hydrogen is the way to go in terms of carbon neutrality. While every other automaker is focusing on battery electric vehicles, Sato is betting big on hydrogen, saying it will be the backbone of Toyota’s future. “We want to make sure that hydrogen remains a viable option. We need a production and transport supply chain. Unless we see developments there, we can’t expect energy use to increase,” Sato said. His comments echo those of outgoing Toyota CEO Akio Toyoda, who has been vocal about alternative powertrain technologies such as hydrogen and hybrids rather than pure electric vehicles.

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However, the new Toyota CEO isn’t discounting BEVs. He believes that pure battery electric vehicles will also play a vital role in the automaker’s future, along with hybrid and hydrogen vehicles. Toyota’s new chief executive explained: “We are pulling out all the stops. It is important to remain flexible so that products and energy can be tailored to the different carbon-neutral needs of different markets.”

Toyota has been one of the frontrunners in hydrogen powertrain technology. The automaker unveiled the Mirai, the OEM’s only hydrogen-fueled vehicle. So far, the Toyota Mirai has received mixed reactions from consumers. It was updated for 2020, and the second-generation sedan has a fully loaded range of 647 kilometers, which is really impressive. Another advantage is that the hydrogen powertrain emits only water during propulsion, making it a truly zero-emission vehicle. However, challenges include a lack of refueling infrastructure, high costs, and some safety issues such as hydrogen being highly flammable.

First published date: Mar 20, 2023 at 09:44 AM CST