Volvo and Westport Join Hands to Propel Green Fuel Technology Forward

In a landmark collaboration aimed at driving the global shift towards sustainable transport, the Volvo Group is partnering with Westport Fuel Systems Inc. to supercharge the development of environmentally sound fuel system technologies. This joint venture, poised to operationalize by mid-2024, intends to hasten the delivery and widespread use of Westport’s innovative High Pressure Direct Injection (HPDI) system, which posits a more eco-friendly alternative to traditional fuels by utilizing biogas or hydrogen in internal combustion engines.

Volvo’s long-term commitment to reducing CO2 emissions has found a compatible technology in Westport’s HPDI system, which the company has successfully implemented in its trucks for more than five years. The system is highly revered for its capable approach to slashing CO2 emissions in the here and now, particularly when deployed in liquefied biogas scenarios, and it holds promising potential as a pathway to harnessing hydrogen.

The intricacies of the HPDI system lie in its sophisticated ‘tank to tip’ mechanism, primarily leveraging diesel technology. It employs a carefully designed injector that introduces a minute quantity of pilot fuel that sparks prior to the main gas infusion, resulting in a seamless ignition process.

As part of the joint venture arrangements, Westport is infusing the collaboration with its prized HPDI assets and expertise. Simultaneously, Volvo is injecting financial vigor, acquiring a 45% stake with an investment of about $28 million, supplemented by the possibility of additional funding up to $45 million, tied to the future success of the joint operation.

Both Volvo and Westport are driven by the mission to reach Net Zero greenhouse gas (GHG) emissions in their products and practices by 2040. This initiative is a significant stride toward their mutual goal, with both parties viewing the use of renewable fuels in internal combustion engines, especially through the HPDI technology, as a pivotal element in the journey toward a carbon-neutral future.

Significantly, Westport lauds its 40% biomethane HPDI system not just for its environmental benefits, but also for its cost-effectiveness in achieving CO2 reduction goals, suggesting a competitive edge over fuel cell technologies. This collaboration is not merely a business move but a steadfast commitment by both Volvo and Westport to lead the charge in a carbon-constrained world.

FAQ Section:

What is the purpose of the Volvo and Westport collaboration?
The collaboration between Volvo Group and Westport Fuel Systems Inc. is focused on developing and accelerating the use of Westport’s High Pressure Direct Injection (HPDI) technology to promote the global shift towards sustainable transport by adopting more environmentally friendly fuel systems.

What is the High Pressure Direct Injection (HPDI) system?
The HPDI system is a technology that allows the use of biogas or hydrogen in internal combustion engines in a more eco-friendly manner. The system works by injecting a small amount of pilot fuel to ignite the main gas infusion, which can significantly reduce CO2 emissions, particularly when used with liquefied biogas.

When is the joint venture expected to operationalize?
The joint venture is expected to be operational by mid-2024.

How much is Volvo investing in the joint venture?
Volvo is investing approximately $28 million for a 45% stake, with the potential for additional funding up to $45 million depending on the future success of the operation.

What are the long-term goals of Volvo and Westport for this venture?
Both companies aim to reach Net Zero greenhouse gas (GHG) emissions in their products and practices by 2040, viewing the use of renewable fuels in internal combustion engines, particularly through the HPDI technology, as vital to achieving a carbon-neutral future.

Why does Westport claim its biomethane HPDI system has a competitive edge over fuel cell technologies?
Westport highlights the environmental benefits of its biomethane HPDI system, and also emphasizes its cost-effectiveness in achieving CO2 reduction goals, suggesting that it can be more competitively priced compared to fuel cell technologies.

Definitions of Key Terms and Jargon:
Sustainable Transport: Modes of transportation and related systems that are environmentally friendly and resource-efficient throughout their life cycles.
CO2 (Carbon Dioxide) Emissions: The release of CO2 into the atmosphere, typically from burning fossil fuels, which contributes to climate change.
Biogas: A type of biofuel that is naturally produced from the decomposition of organic waste. When used as fuel, it can help reduce carbon emissions.
Hydrogen: An alternative fuel that, when used in fuel cells or internal combustion engines, produces water as the only emission.
Net Zero Greenhouse Gas Emissions: Achieving a balance between the greenhouse gases put into the atmosphere and the removal of them, to minimize global warming.
Fuel Cell Technologies: Devices that generate electricity through a chemical reaction between hydrogen or another fuel and oxygen, producing only water vapor and heat as emissions.

Suggested Related Links:
Volvo Group
Westport Fuel Systems Inc.



Oliwier Głogulski is a distinguished author and expert in the field of new technology equipment and services. His work is characterized by in-depth analyses and reviews of the latest tech innovations. Głogulski's articles and publications are valued for their comprehensive coverage and insightful perspectives on emerging trends and technologies. His contributions significantly influence consumer and professional understanding of the rapidly evolving tech landscape.