Magna in talks with GS Yuasa on lithium ion battery production venture

Article by Christian A., on September 17, 2010

A source has said that Magna International Inc. is in discussions with Japan's GS Yuasa Corp. to make lithium ion batteries in Europe for PSA/Peugeot-Citroen SA, and probably Ford Motor Co. and BMW AG.

Plans include constructing a 40 billion yen ($466 million) factory in Spain or Austria. The source added that it’s likely the factory will begin operating in 2012 and eventually produce batteries for 50,000 cars a year.

GS Yuasa has been supplying lithium-ion batteries for Mitsubishi Motors' i-MiEV, the world's first electric car from a major carmaker, through a three-way joint venture that includes trading house Mitsubishi Corp.

A tie-up between GS Yuasa, Japan's biggest battery maker, and Canadian supplier Magna, which has a strong presence in Europe, will benefit both companies.

Both would get access to a broad customer base in a segment that will surely grow as carmakers are including electric cars in their lineup so as to meet stricter emissions and mileage regulations. The source said that the companies seek to supply lithium ion batteries to Magna customers such as Ford and BMW and other car producers in Europe.

It’s likely that the lithium ion batteries will be used for a new electric vehicle that PSA plans to produce in Spain, according to a report from the Nikkei business paper. It’s also likely that the joint venture will have GS Yuasa taking a majority stake and Magna holding a 20%-40% stake.

That Mitsubishi Corp. will join the venture is a possibility. GS Yuasa plans to expand sales as the global electric vehicle market is expected to grow amid worries about climate change. [via autonews - sub. required]

Topics: magna

If you liked the article, share on:

Pin It

Comments

Recommended

It’s quite safe to say that this generation marks the rise of the electric cars. For the past few years, automakers have been very busy trying to find the perfect...
by - March 28, 2017
Want to go for a sportier look, but don’t have enough cash to burn? Good news for future Ford Edge buyers, as the 2018 model year will have an optional...
by - March 28, 2017
Audi refreshes its portfolio as its go-faster division officially announces the release of six new RS models by the end of 2018. That’s quite a huge number of cars to...
by - March 28, 2017
Has Toyota started the production of a new electric supercharger? Well, a patent that was recently published indicated that they might have. And this electric supercharger looks more durable and...
by - March 27, 2017
The Tesla Model S has finally arrived in South Korean soil and is now available for test drive. But, there’s a catch. You’ll have to wait several months if you...
by - March 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