In response to evolving market dynamics, Shell has announced the closure of seven hydrogen refueling stations in California, signaling a shift in focus amidst the automotive industry’s transition toward electric vehicles (EVs).
The decision to permanently close these stations comes as Shell halts its plans for further expansion in the state. With only three remaining hydrogen stations in California, the closures affect locations in key areas including San Francisco, Berkeley, San Jose, and Sacramento.
According to a Shell spokesperson, the move reflects a strategic response to market factors, following the discontinuation of its light-duty hydrogen station network build-out in 2023. Additionally, plans for 48 new hydrogen refueling stations have been canceled, aligning with Shell’s refocused strategy.
While hydrogen fuel cell technology continues to garner attention from automakers such as Stellantis Pro One, General Motors (GM), and Honda, Shell’s recent actions indicate a pivot towards strengthening its EV infrastructure. Last year’s acquisition of EV charging company Volta charge and a partnership with Penske underscore Shell’s commitment to expanding its Shell Recharge network and deploying Level 2 electric truck charging stations across several U.S. states.
As the automotive landscape undergoes transformation, Shell’s strategic adjustments reflect a broader industry shift toward sustainable mobility solutions.