During the” International Hydrogen Energy Forum(HYFORUM 2004)”, the Ministry of Science & Technology (MoST) and DaimlerChrysler Corporation (DC) signed the FCB Purchase contract. DC will supply three fuel cell Citaro buses for the GEF/UNDP China Demonstration for FCB Commercialization Project. Around September, 2005, Beijing citizens will have a chance to ride the fuel cell buses. The signing of the contract makes China the first to successfully complete the bidding process among the five countries that are supported by GEF/UNDP to demonstrate the fuel cell bus.

　　With the emphasis on energy and environmental issues, hydrogen and fuel cell technologies are becoming more and more attractive. Major western countries consider hydrogen and fuel cell as a strategically high technology, and established pertinent research, development and demonstration projects. Fuel cell bus, as a kind of Zero-Emission-Vehicle (ZEV) with high energy efficiency, is the new generation clean vehicle. Against the background of global heavily polluted environment, the technology of the fuel cell ZEV demonstrates a promising future. It can resolve the issues of air pollution and energy conservation as well as to support a sustainable growth in transportation. The technology has the potential to boost the revolution in automotive industry. This novel technology may significantly mitigate the over dependence on the ever depleting oil resources. It will take us into a hydrogen era, in which human life style may be significantly different from that of today.

　　The MoST paid much attention to the development of fuel cell vehicle technology. In the “ninth” and “tenth” Five-Year- Plan’s, fuel cell vehicle and pertinent technologies were included in the technological development plans. In 2001, the MoST began to launch the “Target-Oriented Project on Electric Vehicles”program, which is aimed to develop the fuel cell vehicle technology. It is one of the 12 national Target-Oriented Projects. This project received government’s financial support of up to 900 million RMB. Today, fuel cell cars and buses have been built with an accumulated operation mileage of more than 2000 kilometers.

　　DC is a pioneer in fuel cell vehicle development. Since the early 90’s, DC has produced 20 types of research vehicles and prototypes. Last year DC produced 60 hydrogen fuel cell vehicles based on the Mercedes-Benz A-Class. They are running on the streets everyday in USA, Europe, Japan and Singapore. In ten European cities, 30 fuel cell buses are already in operation in regular route service.

　　The “GEF/UNDP China Demonstration for Fuel Cell Bus Commercialization Project” and the “Target-Oriented Project on Electric Vehicle” are complementary and supplementary to each other. The final vehicle system integration and assembly of the fuel cell vehicles in “the Target-Oriented Project on Electric Vehicle” are all arranged in the locations of Beijing and Shanghai, which are the same cities as the GEF/UNDP program. The project receives support from the municipalities of Beijing and Shanghai in terms of financial funding and policy bias. This situation provides a fine technical forum for the development of fuel cell vehicle technology.

　　Beijing and Shanghai are the two largest and the two most representative cities in China. To achieve the goal of “Green Olympic” for the forth coming 2008 Olympic Games, Beijing has strived to strengthen the environment protection measures while enhancing the construction of city infrastructure. Shanghai is striving to decrease vehicle emissions and improve air quality. The demonstrating operation of fuel cell buses in the two cities with different regional and environmental characteristics will help boost the application of fuel cell vehicles throughout the nation in a larger context.