Why Aren't Hydrogen Cars More Popular?: Top 6 Barriers Explained

Short answer: hydrogen infrastructure and original equipment manufacturers (OEMs) are currently sparse, limiting availability to the few regions that adopted the technology early.
Specifically, hydrogen’s top six obstacles have been:
- Lack of refueling infrastructure.
- High cost of hydrogen production.
- Limited vehicle market with high costs.
- Energy efficiency concerns.
- Storage and transportation challenges.
- Public awareness and acceptance.
The hydrogen economy has recently seen notable progress across all six of these challenges.
Hydrogen-powered vehicles are no longer an emerging concept—they’re already on the road and establishing a strong foothold in the global economy.
Whether fed into an internal combustion engine (ICE) or a fuel cell—hydrogen is quiet, light, sustainable, and only emits water vapor. Climate and energy experts alike include its energy in their net-zero roadmaps.
So, if hydrogen is widely renowned as a clean and climate-friendly fuel source, why isn’t it used everywhere?
Key Barriers to Hydrogen Vehicle Adoption
Hydrogen-powered vehicles are a forward-thinking solution for transport and industry. However, significant roadblocks remain before the technology is widely adopted.
1. Why Is Hydrogen Fueling Infrastructure So Limited?
For people, businesses, and municipalities to use hydrogen mobility, they need a reliable supply of fuel to power their vehicles.
Unfortunately, with few hydrogen vehicles on the road, there hasn’t been much demand for building public fuel stations. Most retail stations are clustered in California, with only a handful elsewhere in the United States.
This “chicken or egg” dilemma is one of the most persistent burdens on new fuel technologies. For battery electric vehicles (BEVs), this problem was so persistent that it coined the phrase “range anxiety.”
Although public infrastructure is sparse, many commercial facilities have developed private hydrogen fuel systems to power their operations.
FASTECH has developed hydrogen fuel stations for Iwatani Corporation of America (ICA), Servco, and Shell—providing hydrogen on a commercial scale.
Hydrogen is also currently a driving force behind green port initiatives that cut the international shipping industry’s emissions.
If hydrogen follows a similar path as BEVs—which currently enjoy nearly 200,000 recharging stations nationwide—these infrastructural limitations will be temporary. Financial trends show steady investments in the market, promising further growth.
2. Why Are Hydrogen Fuel Costs Higher Than Fossil Fuels?
Hydrogen pump prices reflect the costs of production, compression, delivery, storage, and station operations.
California’s pump prices peaked at around $35 per kilogram in 2024 and have since fallen to the upper-$20s by recent estimates. Still, these prices put cost-per-mile well above that of diesel, gasoline, and many BEVs.
Steam methane reformation (SMR) is currently the cheapest and most widely used production method, accounting for about 95% of U.S. hydrogen.
Unfortunately, this process uses natural gas (a fossil fuel) and produces carbon dioxide (CO2) and carbon monoxide (CO)—two greenhouse gases. Hydrogen sourced this way is as clean to use as any other but undermines the fuel’s environmental benefits.
Therefore, efforts must shift toward pricier green hydrogen and other renewable sources to fully capitalize on the carbon-cutting benefits. Each production method has pros and cons regarding scalability, affordability, eco-friendliness, and operational efficiency.
The most popular compromise is electrolysis, a zero-emission but energy-intensive technology that renders hydrogen from water. Electrolysis shows promising synergies with renewable electricity generated by solar and wind power. However, mass production requires a dependable energy source, making large-scale electrolysis dependent on the power grid.
The energy and financial costs of hydrogen production translate to higher fuel prices for consumers at all levels. Despite these limitations, hydrogen costs are dropping, and experts expect this trend to continue.
3. Why Do Hydrogen Vehicles Cost More (and Offer so Few Options)?
In short, automakers and commercial OEMs haven’t historically invested as much in hydrogen mobility due to low demand. With few manufacturers in the game, the limited supply leads to higher prices.
Another barrier to transitioning is the prohibitive cost of hydrogen fuel cells (HFCs). Hydrogen fuel cell and storage technology can account for 80% of fuel cell electric vehicle (FCEV) costs.
In the past, hydrogen innovations were few and far between due to a lack of funding and public interest. These days, that’s starting to change.
- Automakers like Toyota, BMW, Hyundai, and Honda have all begun working with fuel cell technology.
- Transport giant, Cummins, has launched a line of hydrogen internal combustion engines.
- Government incentives have accelerated research and results.
With continued support, FCEVs are expected to reach cost parity with their competitors, perhaps even surpassing their affordability by 2050.
4. How Does Hydrogen Fuel Efficiency Compare to Conventional Vehicles?
All fuel sources lose energy through heat conversion and system inefficiencies. FCEVs achieve energy efficiency rates around 40-60%, outperforming ICEs but falling short of BEVs.
In terms of range, FCEVs tend to outperform their plug-in BEV counterparts, achieving distances comparable to internal combustion engines.
Fuel cells are also lighter and more compact than rechargeable batteries because electricity isn’t stored but created through a chemical reaction. This feature allows fuel cells to retain stored energy more effectively, suffering minimal self-discharge.
As the FCEV industry continues making strides, experts expect efficiency to continue improving.
5. What Are Hydrogen’s Storage and Transportation Challenges?
Hydrogen requires specialized storage equipment that adds to its upfront and ongoing costs. This ties into the element’s low volumetric energy density, requiring pressurized storage and transportation to be logistically feasible.
The two most common hydrogen storage methods are compressed gas and cryogenic liquid states. Lowering hydrogen to a brisk -253°C allows it to carry more energy within a small space. The main shortcoming is the expensive equipment and energy required to maintain the cold, pressurized chamber.
This problem, too, has seen considerable innovation. Researchers have found material-based techniques—including metal hydrides, chemical carriers, and water-based gels—that could revolutionize hydrogen storage and transport.
6. Why Has Hydrogen’s Public Acceptance Been Slow?
Hydrogen’s reputation was marred early in its development by the infamous 1937 Hindenburg disaster. Though hydrogen as a fuel source has come a long way, a general distrust still lingers for some.
It’s true that gaseous hydrogen is flammable, and pressurized storage requires basic safety procedures. However, society comfortably co-exists with propane and other flammable fuel sources on a daily basis, with incidents acknowledged as exceptions.
Fuel cell technology is even safer than gasoline and diesel fuels. They produce less heat, require more oxygen to ignite, and emit only water vapor as a byproduct.
From a broader perspective, hydrogen is superior in environmental safety. Carbon emissions and oil spills are the top ecological disasters the world faces daily. Hydrogen’s lifecycle emissions still need to be considered and improved upon, but it offers potential for renewable energy where fossil fuels are an inevitable dead end.
Thankfully, the public is recognizing hydrogen’s potential and taking an interest in its continued development.
The Path Forward for Hydrogen Adoption
Hydrogen fuel production, infrastructure, and innovation have scored huge wins with government investments and private partnerships. As the hydrogen fuel and vehicle industry gains momentum, progress should accelerate until its adoption is on par with BEVs.
Though hydrogen and plug-in electric vehicles are competitors on the surface, they’re two sides of the same coin. Both technologies have pros and cons that make them better suited for certain applications, and both offer viable alternatives to high-emission fuels in many contexts.
Healthy competition between alternative energy sources should be viewed as positive, as all are racing to provide the most sustainable, beneficial solution to the world’s carbon crisis. Realistically, both electric batteries and hydrogen fuel cells will play crucial roles in making a greener, cleaner future.
FASTECH’s Role in Hydrogen Infrastructure Development
Hydrogen’s greatest strength is its versatility in meeting the energy needs of families and fleets alike. With a stronger foundation, hydrogen could be a top driver in the world’s sprint to net zero.
FASTECH is a leading-edge hydrogen fuel infrastructure ECP+M provider. From refueling stations to hydrogen hubs to power plants—this innovative company paves the way for a cleaner future.
Industry leaders like Chevron, Clean Energy, and Toyota recognize FASTECH’s value as a cost-effective crew of hydrogen experts.
Discover scalable hydrogen energy solutions and exceed your sustainability goals.
FAQs About Hydrogen Cars
Why aren’t there more hydrogen cars?
The fueling network is still small and concentrated in California, which limits where automakers sell and service vehicles. As stations open and supply steadies, model availability will expand.
Are hydrogen cars better than electric cars?
It depends on the use case. BEVs are typically more energy-efficient and cheaper per mile, while hydrogen offers refueling in minutes and a longer range. Many fleets evaluate both options, choosing based on their duty cycle and infrastructure.
How much does hydrogen fuel cost?
Prices vary by site and contract. As production and station throughput scale, costs can decline.
Are hydrogen cars safe?
Yes—hydrogen fuel and vehicles are federally regulated for safety and quality standards.