TOKYO–Sanyo Electric Co. announced a major push into the growing market for auto batteries, with a plan to mass-produce lithium-ion cells for use in plug-in hybrid vehicles from 2011.
Sanyo Electric said it plans to produce 300,000 to 400,000 batteries per month for use in plug-in hybrid vehicles that can be recharged at home. The company also said it will produce battery systems, including rechargers, in the U.S., Europe and China after 2012.
The move comes as Sanyo is trying to cash in on the growing market for auto batteries, as auto makers roll out more fuel-efficient models in response to stronger demand.
Sanyo is the subject of a takeover bid by electronics giant Panasonic Corp., which jointly produces batteries with Toyota Motor Corp. for sole use in the auto giant’s hybrid vehicles. But Sanyo said it expects to offer its batteries to a broader customer base.
“We’ll try to deal with all automakers,” Mitsuru Homma, Sanyo’s executive vice president in charge of global sales and component operations, said at a press conference.
The plan is a step toward Sanyo’s ambitious target of producing 10 million lithium-ion batteries per month for hybrid and plug-in hybrid vehicles by 2015. The company has also said it aims to grab a 40% share of the global markets for lithium-ion and nickel metal hydride batteries by 2020.
In addtion, Sanyo said it is considering building facilities to produce battery systems in Europe, possibly near Germany, as the company will start producing lithium-ion batteries for Volkswagen AG (VOW.XE) later this year. The company also aims to set up facilities in the U.S. and China, it said.
“We want to make (battery systems) in places close to our customers,” said Honma.
The takeover of Sanyo by Panasonic is awaiting approval from the U.S. and Chinese authorities, having already cleared regulatory hurdles in the European Union and Japan.