With competition in electric vehicle projects steadily climbing, Magna International Inc. wants a partner before it makes any kind of commitment to building the sophisticated battery pack required by electric vehicles and hybrids (Sony Vaio VGN-FZ battery)..
Siegfried Wolf, Magna’s co-chief executive officer, said: “We believe that the market for hybrid and electric vehicles will continue to grow, and we hope to capitalize on the opportunities that such growth could provide to capable suppliers (Sony VGP-BPS8 battery).
“We are reviewing with potential joint venture partners some of the opportunities available, including opportunities to supply batteries for hybrid and electric vehicles (Sony VGP-BPL9 battery).
“At this point, other than our current contract to supply battery packs to a European OEM, Magna has not been awarded any such battery business, either directly or through a potential joint venture partner,” Wolf said (Sony VGP-BPL11 battery).
Wolf also said any investment in battery manufacturing or a potential joint venture involving Magna has to meet sufficient market demand to justify an investment, conclusion of joint venture terms with technology partners and the availability of financing and the settlement of other key terms (Sony VGP-BPL15 battery).
Currently, Magna is one of the world’s most diversified automotive suppliers.
However, the interest in electric vehicles has set off a scramble that resulted in new alliances and partnerships (ASUS A3000 Battery).
Last week, Ford Motor Co., which has close ties to Magna, announced plans to expand its electric vehicle program, which will be based in the Detroit suburbs.
Meanwhile, Renault-Nissan CEO Carlos Ghosn has said the Japanese automaker has taken nearly 20,000 advance orders for the Leaf battery car, which goes on sale late this year (ASUS Eee PC 1000HE Battery).
Toyota, the leading Japanese carmaker, and Tesla also recently announced a new alliance, centered around building a new electric vehicle at the old New United Motor Manufacturing plant in California (Dell Inspiron 6400 battery).
Last week, Mahindra & Mahindra, one of India’s largest manufacturers of farm equipment and commercial vehicles, purchased a controlling stake in REVA, an electric vehicle builder based in Bangalore, India, which had been a partner in a joint venture with General Motors Co. GM terminated its relationship with REVA immediately after Mahindra’s announcement (SONY VAIO VGN-FZ4000 Battery).
Daimler AG also signed an agreement with BYD, the Chinese maker of battery powered cars.