Airbus scales back hydrogen jet project amid technical and economic hurdles

Airbus delays hydrogen jet ambitions as green aviation dreams face turbulence

Technical roadblocks, industry skepticism, and weak hydrogen infrastructure force major rethink

Airbus’s once-bold pledge to launch a zero-emissions hydrogen-powered aircraft by 2035 has encountered a major setback. After investing more than $1.7 billion in the program, the European aerospace giant is now slashing its hydrogen aircraft budget, redirecting staff, and pushing the timeline back by up to a decade.

The move marks a significant reversal for what had been one of the most ambitious environmental initiatives in the aviation sector and reflects a broader corporate trend of recalibrating green investment strategies as costs rise and public momentum softens.

From bold vision to sobering reality

In 2020, Airbus unveiled three hydrogen-powered aircraft concepts as part of its “ZEROe” initiative. The most advanced version would carry up to 200 passengers over 2,000 nautical miles, a vision the company’s CEO Guillaume Faury called “a historic moment.”

Since then, Airbus has partnered with major airlines like Delta and Air New Zealand and involved over 200 airports to explore hydrogen infrastructure. The company also leveraged green funding and COVID-era government support, particularly from France, which made green development a condition of its €15 billion aid package.

But despite the enthusiasm, engineers quickly ran into steep technical and commercial barriers.

Fundamental flaws and re-engineering setbacks

Initially, Airbus aimed to power the hydrogen aircraft by directly combusting liquid hydrogen in jet engines. However, the approach still produced nitrogen oxide (NOx) emissions, failing to deliver truly zero-emission performance. Moreover, storing hydrogen safely aboard an aircraft requires extreme cooling to minus 423°F, adding significant weight and complexity.

By 2023, Airbus had shifted focus to hydrogen fuel cells, which convert hydrogen into electricity for propulsion. While this eliminates emissions entirely, the heavier systems and limited range meant a reduced payload—down from 200 to 100 passengers, and a shorter 1,000-nautical-mile range.

According to insiders, the design challenges made it increasingly clear that Airbus's 2035 target was overly optimistic. The aircraft would be limited to niche regional markets, far from competing with the workhorse narrow-body jets that dominate global fleets today.

Wider green pullback mirrors Airbus retreat

Airbus’s scaling back of its hydrogen plans aligns with a broader retreat from green pledges across the corporate world. Energy company BP and biofuel producer Neste have both postponed hydrogen investments. Porsche has rebalanced its focus from all-electric to combustion-engine vehicles in light of weaker-than-expected consumer demand.

For Airbus, the pullback isn’t a complete abandonment. Executives say the research has proven that hydrogen-powered aviation is technically feasible—but not yet commercially viable.

“Our destination is not changing,” said Bruno Fichefeux, head of future programs at Airbus. “To get there, we need to adjust to reality.”

A second development cycle begins

In early 2024, Airbus informed its workforce of budget cuts to the hydrogen program and the beginning of a second “development loop.” Engineers are now reassessing aircraft specifications, seeking an optimal balance between performance, cost, and emissions.

During a March event, CEO Guillaume Faury compared the hydrogen project to Concorde—technologically impressive, but commercially unsustainable. “We have come to the conclusion that it would be wrong to be right too early,” he said.

Faury, who has long been a champion of hydrogen, drew from his earlier career in automotive R&D, particularly during his time at Peugeot when the auto industry was blindsided by the electric vehicle revolution. That experience shaped his conviction that Airbus should proactively embrace green innovation—but also reinforced his awareness of timing and market readiness.

Industry consequences and future outlook

The delay is a significant blow to aviation’s decarbonization efforts. With aviation responsible for roughly 2% to 3% of global emissions, hydrogen had been viewed as a long-term solution for clean flying.

For now, Airbus will continue to explore hydrogen, but its near-term focus is expected to shift toward more incremental improvements—like sustainable aviation fuels (SAFs), hybrid-electric concepts, and efficiency enhancements on existing aircraft platforms.

Still, the hydrogen setback serves as a reality check for the clean aviation agenda and highlights the gulf between ambition and execution in an era where market pressure, engineering limits, and infrastructure gaps are redefining what’s possible.

Stay tuned to The Horizons Times for updates on sustainable aviation, aerospace innovation, and the shifting landscape of green technology investments.