General Motors and Honda are to establish a joint venture to mass produce advanced hydrogen fuel cell systems in the US from 2020.

Although GM is yet to launch a fuel cell car, the 2017 Honda Clarity went on sale in the US last month following its spring 2016 launch in Japan.

The two carmakers are investing $85m each in the joint venture, which will be named Fuel Cell System Manufacturing LLC and will operate within GM’s existing battery pack manufacturing facility site in Brownstown, Michigan, south of Detroit.

Honda and GM have been collaborating since 2013 on a more affordable commercial solution for fuel cell and hydrogen storage systems.

“The combination of two leaders in fuel cell innovation is an exciting development in bringing fuel cells closer to the mainstream of propulsion applications,” said Mark Reuss, GM executive vice president, global product development, purchasing and supply chain. “The eventual deployment of this technology in passenger vehicles will create more differentiated and environmentally friendly transportation options for consumers.”