Yanmar Power Solutions has acquired land in Amagasaki City, Japan, where it plans to build a new factory dedicated to testing marine hydrogen engines and developing next-generation fuel technologies.

The company, a subsidiary of Yanmar Holdings, secured the site at the Phoenix industrial area in Hyogo Prefecture as part of efforts to strengthen its production system in anticipation of rising demand for alternative-fuel engines.

The new facility, provisionally named the Amagasaki Coastal Factory, is scheduled to begin operations around March 2029. It will primarily focus on test operations for marine hydrogen engines, along with related development activities. The site spans approximately 3.4 hectares, with a planned total floor area of about 8,000 square metres at launch.

Yanmar Power Solutions said the project supports its broader strategy to advance powertrains compatible with hydrogen, methanol and ammonia fuels while establishing production systems suited to next-generation marine and land-use engines.

The move comes as the maritime sector accelerates efforts to commercialise decarbonisation technologies in line with industry ambitions to reach carbon neutrality by 2050.

Founded in Osaka in 1912, Yanmar operates across engine manufacturing, agriculture, construction equipment, energy systems, marine technology, machine tools and components, and is widely recognised as a pioneer in compact diesel engine development.