Hydrogen early adopter faces large issues amid Nikola challenges

Nikola inventory sinks to a 52-week low, a NHTSA grievance claiming the gasoline cell shuts down unpredictably, and considered one of hydrogen’s early adopters stays unconvinced. Is it time for Nikola to throw within the towel on hydrogen?

William Corridor’s Coyote Container firm made headlines earlier this 12 months, when it grew to become the primary firm to efficiently full a 400-mile supply in a Nikola Tre semi truck powered by a hydrogen gasoline cell.

Corridor, Managing Member and Founding father of Coyote Container, drove the hydrogen Nikola over the hilly, 400-mile route that took the truck and its 17.7 ton trailer by California’s Altamont Move and Grapevine Canyon on the I-5 interstate between the Port of Oakland and the Port of Los Angeles in Lengthy Seashore. The journey appeared like a ringing endorsement for the hydrogen-powered vehicles. Practically a 12 months later, although, William appears to have soured on the early adopter expertise, particularly citing higher-than-anticipated working prices, gasoline prices, weight limitations, and guarantee issues.

Coyote Container’s Nikola

“The truck prices 5 to 10 occasions that of a regular Class 8 drayage [truck],” Corridor instructed Clear Trucking. “On prime of that, you pay 5 to 10 occasions the Federal Excise Tax (FET) and native gross sales tax, [which comes to] roughly 22%. In the event you add the ten% reserve not coated by any voucher program, you might be at 32%. Thirty-two p.c of $500,000 is $160,000 for the trucker to by some means pay [out of pocket].”

Coyote Container isn’t alone in expressing issues concerning the practicality of hydrogen vehicles normally, however there are issues about Nikola’s hydrogen semi truck, particularly.

In an official NHTSA grievance made towards one Nikola HFCEV, the truck skilled 5 roadside propulsion outages leading to three towings and two cases the place the truck needed to limp dwelling on battery energy. The failure was unpredictable, reducing off energy whereas the automobile confirmed between 20 and 140 miles left of FC vary.

The primary such incident occurred with about 900 miles on the truck’s odometer, whereas the latest occurred at 28,340 miles. You may learn extra concerning the Nikola NHTSA grievance, under – or simply learn Corridor’s abstract of the scenario, in his personal phrases: I’ve handled extra tow vehicles within the final 10 months than in my total 62 years on this Earth.

NHTSA ID Nu. 11621826

Whereas no recall has been issued for the above difficulty but, the corporate has been no stranger to recollects previously, and could also be delicate about issuing one other one as its inventory reaches a brand new 52-week low (extra on that in a minute).

Regardless, the corporate issued a technical service bulletin (TSB) on October twenty ninth, simply 13 days after the official NHTSA grievance was filed.

The TSB itself mentions that, “a coolant becoming might come unfastened because of extra pressure on a coolant line. Extension of the hose returns the strain to an applicable degree,” however whereas it’s unclear whether or not or not the TSB is meant to handle the propulsion system, what is obvious is that the TSB impacts VINs 001-266 – successfully all of the Nikola hydrogen semis at the moment on the street (as of September 30, Nikola reported promoting 235 hydrogen semis).

And as for what it prices to refill a type of 266 hydrogen semis? Corridor says it’s unimaginable to inform. “Nobody will let you know what the H2 gasoline prices,” he stated. “It is because it’s being sponsored by the truck producers by artificially elevating truck pricing. It is a extreme market distortion.”

Corridor additionally stated the added weight of the truck’s hydrogen system, in comparison with a traditional semi, was additionally hurting his means to function the vehicles. “A Nikola Tre FCEV weighs 27,000 kilos versus my heaviest [diesel] sleeper weighing 19,400 kilos,” he instructed Clear Trucking, in that very same interview. “Most drayage vehicles weigh between 16,000 to 18,000 kilos. Shippers max out cargo at any time when they will, so I’ve to consistently swap to a diesel as a way to be street authorized.”

A better GVWR score for ZEV vehicles, particularly on drayage amenities and on off-highway routes with decrease relative speeds, might assist mitigate that difficulty with out including extreme threat at freeway speeds.

That received’t occur in a single day, nevertheless, and Corridor is shedding endurance.

The Coyote Container founder took to LinkedIn to vent. There, he shared some ideas on a Searching for Alpha article calling Nikola a, “robust promote.” Corridor wrote, “I’ve skilled an incredible quantity of guarantee restore down time within the final 14 weeks solely making 5 of my weekly journeys from Oakland to Lengthy Seashore. Coping with battery failures and gasoline cell shutdowns.”

Dave Baiocchi, Basic Supervisor of ETHERO Truck + Vitality (the promoting supplier), selected to answer Corridor publicly, writing in protection of Nikola, “I feel it’s truthful to say that as an especially early adopter of this know-how, and with one of many first items off the meeting line this truck has served you nicely.”

Nikola lately celebrated the manufacturing of its three hundredth hydrogen semi truck on the firm’s Coolidge, Arizona facility. Nikola’s third-quarter web income reached $25.2 million, falling in need of Wall Avenue estimates of $37.2 million. The miss was blamed on the surprising prices related to the repurchasing of 20 battery-electric Nikola Tre vehicles in October.

Electrek’s Take

Regardless of what is likely to be perceived because the unfavorable tone of this text, I need Nikola to succeed. I need to see a brand new American truck firm work out a method to succeed, and a method to proceed to develop. That stated, having proxy arguments along with your prospects about very actual, very regarding points on social media – and thru your sellers – isn’t the best way to do this.

We (I) reached out to Nikola employees by each e-mail and LinkedIn on Tuesday concerning these info and different (as but) unsubstantiated rumors about its 2025 FCHEV manufacturing plans, however acquired no response as of EOD, Friday, when this story went reside.

SOURCES | IMAGES: Gas Cell Works, NHTSA, Clear Trucking, Investing, Electrical-Automobiles.com, Searching for Alpha, and Coyote Container, by way of William Corridor (hyperlinks all through the article).