Cummins Engine is fully committed to hydrogen and fuel cells in a diversity of markets and applications. One billion USD is to be invested in this, in order to make new technologies for the use of hydrogen ready for market. Exciting are the latest reports about the activities in India: There, Cummins has been active for already 30 years in a joint venture with Tata Motors, and will now strongly expand this. The new joint venture bears the name TCPL Green Energy Solutions.
It involves the establishment and expansion of production capacities in India for a diversity of products related to fuel cells, hydrogen, engines and battery technology, together with the Cummins business unit Accelera. As Cummins is also active in the field of electrolyzers of various designs, this topic will certainly also play an important role in the joint plans, as India is subsidizing electrolyzer capacities of its own in the country according to the motto “local for local.” With these electrolyzers, the ambitious goals of hydrogen production based on regenerative energy sources in India are to be implemented. For Cummins, a very large, new future market is emerging here.
Accelera
This Cummins subsidiary stands for an entire area of topics that includes fuel cells as well as the establishment of its own comprehensive electrolyzer production – from PEM to SOFC over to alkaline (trademark HyLYZER) – and new technologies that make hydrogen directly usable in truck engines. Accelera sees itself as a manufacturer of components, but also as a system developer and system integrator. The last, for example, pertains to the X15H hydrogen combustion engine that will be put to use in a Peterbilt Model 579 concept truck (range of 500 miles, H2 tank capacity of 80 kg at 700 bar).
The share price is again at a good level for both additional and new buys.
Disclaimer
Each investor must always be aware of their own risk when investing in shares and should consider a sensible risk diversification. The FC companies and shares mentioned here are small and mid cap, i.e. they are not standard stocks and their volatility is also much higher. This report is not meant to be viewed as purchase recommendations, and the author holds no liability for your actions. All information is based on publicly available sources and, as far as assessment is concerned, represents exclusively the personal opinion of the author, who focuses on medium- and long-term valuation and not on short-term profit. The author may be in possession of the shares presented here.
Written by Author Sven Jösting, June 9th, 2023
