American Airlines makes investment in Universal Hydrogen
The fuel distribution network uses modular hydrogen capsules that are handled like cargo.
American Airlines made a strategic equity investment in Universal Hydrogen Co. to help build a green hydrogen distribution and logistics network for aviation.
The investment supports America’s science-based targets to reduce greenhouse gas (GHG) emissions by 2035 and, ultimately, its commitment to achieving net zero GHG emissions by 2050.
This investment makes America the first US airline to make two direct investments focused on developing both hydrogen-electric propulsion technology and the future of hydrogen distribution logistics.
Hydrogen deliveries for regional aircraft to start in 2025, with plans to expand services to larger, single-aisle aircraft — first for auxiliary power in the late-2020s and then as a primary fuel by the mid-2030s. Because these segments represent two-thirds of aviation emissions — and with green hydrogen being a true zero-carbon fuel — these advances put aviation on a path to meet Paris Agreement emissions targets.
American joins Airbus Ventures, GE Aviation and Toyota Ventures, as well as several major hydrogen producers and aircraft lessors, as strategic investors in Universal Hydrogen.
Derek Kerr, American’s CFO, said, “As the world’s largest airline, American has a responsibility to exercise leadership in making aviation sustainable. Our investment in Universal Hydrogen represents a vote of confidence for green hydrogen as a key element of a sustainable future for our industry.”
Paul Eremenko, co-founder and CEO of Universal Hydrogen, said, “This move by American is a strong signal that customers want a true zero-emissions solution for passenger aviation and are willing to back tangible, pragmatic steps to get there quickly.”