Suzuki, Toshiba & Denso enter JV to make lithium ion batteries

The new Joint Venture between Suzuki, Toshiba and Denso aims to develop an ecosystem for the future of affordable electric powertrain for compact cars in India.

In preparation for the future and to ensure its market leadership in the prospect of electric vehicles, Suzuki Motor Corporation has entered into a Joint Venture with Toshiba and Denso to manufacture lithium ion battery packs in India.

The Joint Venture is aimed at providing an electric vehicle powertrain for affordable electric cars in India. Which means this will largely apply to compact and mid-size cars in India. The new Joint Venture company will be established in 2017 and aims to setup its manufacturing infrastructure at the earliest. The plant for the same will is expected to be setup next to Suzuki Motor’s manufacturing facility. The scale of the Joint Venture for the operation has been defined at 50 per cent for Suzuki, 40 per cent for Toshiba and 10 per cent for Denso. The initial capital investment for the project has been pegged at Rs. 1,184 crore.

In addition to manufacturing hybrid and electric compact cars by Maruti Suzuki in India, the Joint Venture will also facilitate supply of lithium ion battery packs in India for other automobile manufacturers to join the race for making tail pipe emission free vehicles in India.

"In the Indian automotive market where compact cars are the mainstream models, introduction of sustainable technology suitable for such affordable cars is required. The battery pack manufacturing joint venture by the three companies will realize stable supply of lithium-ion battery packs in India in the course of promoting sustainable cars in the country and will contribute to “Make in India” initiative by the Indian Government," said a communication statement released on this account.