Japan's Sanyo Electric Co Ltd and auto giant Honda Motor Co Ltd on Friday said they would jointly develop batteries for hybrid cars powered by both a gasoline engine and an electric motor. Honda currently buys batteries for two models of hybrid vehicle from a unit of Matsushita Electric Industrial Co Ltd, a company spokeswoman said.
“We have decided to work with Sanyo to diversify the firms we procure our parts from,” she said, adding Honda would continue its ties with Matsushita.
Sanyo, a major electronics maker, has an agreement to supply batteries to Ford Motor Co Ltd, which is preparing to introduce a new hybrid vehicle. “We also wanted to introduce our batteries in the Japanese market through tying up with a major automaker like Honda,” said Sanyo spokesman Derek Wentz.
No specific timing had been decided for the introduction of Honda hybrid vehicles with Sanyo batteries, the company representatives said.
But the Nihon Keizai Shimbun newspaper reported the car would be developed in two to three years. By incorporating Honda's hybrid system technology, Sanyo aims to develop a battery system that will help slash production costs, as well as reduce gas emissions and enhance fuel efficiency, the financial daily said, without citing sources.
The tie-up is expected to enable the two firms to gain ground on the alliance of Toyota Motor Corp and the Matsushita Electric Industrial Co Ltd group, which now dominates the domestic market, It said.
Bureau Report