Daimler and Evonik are reviewing options for Li-Tec JV

Article by Anita Panait, on June 12, 2013

Daimler is reviewing options for its battery-cell joint venture with Evonik Industries. Daimler and Evonik created the Li-Tec venture in 2008 to provide future Daimler electric vehicles with batteries, with an aim to give the German carmaker an advantage in electric vehicles over BMW. Daimler spokeswoman Silke Walters disclosed that the carmaker wants to provide Li-Tec with "a broader footing" in the "challenging" battery-cell market.”

Evonik spokeswoman Barbara Mueller remarked that the review may result to "bringing a new strategic partner on board." Citing unidentified sources, the German online edition of the Wall Street Journal reported that Daimler and Evonik were considering selling the joint venture for around EUR1 billion ($1.3 billion).

Li-Tec’s sale would mean that Daimler is abandoning its bid to control all technologies along the value chain of electric vehicles, including cell technology and the electric engine. A sale would also highlight the fact that demand of electric vehicles were slower than forecasted.

According to Daimler’s 2012 annual report, the joint venture posted EUR26 million in losses in 2011. In 2012, Daimler launched an electric version of its Smart two-seater microcar and will introduce the B-class Electric Drive in 2014. Evonik recently reported that its profit for the first quarter of 2013 dropped 10 percent as the chemical company trimmed prices for some of its products while costs of raw-material costs surged. [source: automotive news - sub. required]

If you liked the article, share on:

Comments

Recommended

BMW has revealed that its i brand has partnered with TED in order to launch a worldwide search of unique ideas under the title “NextVisionaries.” This brand has long been...
by - April 28, 2017
Not a few agree that the Volkswagen Polo news a styling overhaul. While this supermini still looks good as it is now, the latest facelift was around three years. With...
by - April 27, 2017
They say that when the going gets tough, the tough get going. That’s what Harvey Payne did with his Chevrolet Bolt. Ever since he bought it, it had been experiencing...
by - April 27, 2017
What defines a coupe? Well, according to the dictionary, “it is a car with a fixed roof and two doors”. Ok, now that it is clear, when does one not...
by - April 27, 2017
Back in 2013 was when the first hot hatch was released, that was the original A45 by Mercedes-AMG, carrying a hand-built 2.0 liter M133 turbo mill. It was then then...
by - April 27, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries