Airbus and MTU Aero Engines plan to establish a joint venture dedicated to the development and commercialisation of a fully electric hydrogen fuel cell engine for aviation. The move follows a memorandum of understanding signed by the two companies at the Paris Air Show in June 2025.

The dedicated organisation is intended to accelerate technology development, design, testing and certification of the hydrogen fuel cell propulsion system, drawing on engineering and manufacturing teams from both companies. The agreement is non-binding and remains subject to standard regulatory approvals and completion of social processes at European and national levels, with the joint venture expected to start operations in 2027.

Bruno Fichefeux, Head of Future Programmes at Airbus, says: “Our planned joint venture is the next logical step in our shared vision of a hydrogen-based propulsion concept for aviation. By pooling our respective technology and expertise into a dedicated entity, we are establishing a European powerhouse capable of transforming advanced research into industrialised, certifiable electric propulsion systems. This new company will help secure strategic sovereignty in the next generation of aviation technologies while strengthening our ability to achieve the long-term ZEROe ambition.”

Dr Stefan Weber, SVP Engineering and Technology at MTU Aero Engines, adds: “Our ambitious goal is to pave the way for a newly developed, safe, reliable and economical propulsion system that will contribute to climate-neutral aviation. This project is a crucial milestone on our path to the first hydrogen-powered engine, and this is true European technology leadership. To that end, we want to create a company that covers the entire life cycle of fuel cell powertrains, from development and testing through certification to commercialisation.”

The joint venture aims to deliver the first hydrogen-based fuel cell propulsion system to a commercial aircraft, combining Airbus' aircraft programme, fuel cell propulsion and liquid hydrogen expertise with MTU's fuel cell technology development and engine design, integration, validation, certification and maintenance experience. The two companies also plan to support the emergence of a hydrogen aviation economy and its regulatory framework.