A new carbon black supported palladium catalyst for direct formic acid fuel cell applications has been prepared and characterized by X-ray diffraction. Bi-modal distribution of Pd crystallite sizes was observed. The average Pd size for crystallites in small size and large size ranges were about 2.7 nm and 11.2 nm, respectively. The initial activity of the catalyst in the oxidation of formic acid tested in a fuel cell was similar to a commercial well dispersed 20 wt.% Pd/Vulcan. The rates of the fuel cell power decay were measured for formic acid of two purities for various current loadings. The results showed that various mechanisms contribute to the decrease of cell power with time. In direct formic acid fuel cell (DFAFC) fed with a very pure HCOOH accumulation of CO2 gas bubbles in anode catalyst layer is responsible for observed power decay. In DFAFC fed with a pure for analysis (p.a.) grade formic acid the formation of COads poison from the formic acid impurities is the main deactivation reason. (C) 2011 Elsevier B.V. All rights reserved.