Sanyo Electric Co has announced the completion of its new factory for the lithium-ion (Li-Ion) batteries for eco-friendly vehicles in its Kasai Plant in Japan. The effort goes in line with the trend toward conservation of the environment. The Sanyo move is seen as boosting the development of rechargeable batteries for eco-friendly vehicles.
The new factory at Kasai is seen as helping Sanyo meet demands of the lithium-ion batteries for eco-friendly vehicles from various manufacturers. To kick off with a production capacity of 1 million cells per month, the plant expects to expand the production scale depending on demand later on. Further, Sanyo is also looking at effectively going in for a global expansion move of its rechargeable battery business for eco-friendly vehicles with additional investments in the business. The Kasai plant has been built at a cost of close to 13 billion yen and has a total floor area of 42,831sq m.
The new line from Sanyo is expected to spur added demand for such batteries. The Japanese major has been supplying nickel-metal hydride (NiMH) batteries for hybrid electric vehicles (HEV) to Ford, Honda and Volkswagen. Further, a co-development agreement for the NiMH batteries is also in place with PSA Peugeot Citroen. It also has co-developing deal for lithium-ion batteries for HEV with the Volkswagen group. The company’s lithium-ion batteries for Plug-in HEV will also be used in Suzuki vehicles too.