Nikola Corp. said Thursday it signed a deal with Germany's Bosch Group to build Bosch fuel cell power modules for two of the vehicle startup's hydrogen-powered trucks.
Bosch, which has a stake in Nikola, will supply fully assembled fuel cell power modules and other major components to the Phoenix-based company.
A fuel cell power module is a system that generates electricity from hydrogen in vehicles and is commonly used in commercial vehicles.
The truck maker will then assemble the modules at its manufacturing operation in Coolidge, Ariz., for its regional and long-haul commercial semis.
Nikola expects to launch the fuel cell power modules in 2023. The company's shares rose 2.3 percent to $11.01 in morning trading.