Honda and GS Yuasa have signed a three way partnership settlement towards the institution of a brand new firm, which is able to work on high-capacity, high-output lithium-ion batteries, primarily for electrical autos.

The 2 Japanese firms have been negotiating the deal since January and are prepared to ascertain the “Honda・GS Yuasa EV Battery R&D Co., Ltd.” three way partnership (50/50) later this 12 months.

The principle focus can be “analysis and develop lithium-ion batteries and battery manufacturing strategies that can be extremely aggressive at a world degree” however the long-term objective of the partnership is clearly the mass manufacturing of EV batteries. That is why the brand new firm “will attempt to ascertain a provide chain for key uncooked supplies and a highly-efficient manufacturing system for its batteries.”

That is not a shock, as a result of GS Yuasa, one of many largest Japanese battery producers, would like to treat lithium-ion EV batteries more seriously. The corporate was already engaged in EV batteries (Lithium Power Japan three way partnership for Mitsubishi plug-ins, and Blue Power three way partnership for Honda hybrids).

The brand new partnership with Honda (and probably different companions) would possibly put GS Yuasa among the many largest all-electric automobile battery producers later this decade.

Feedback by Koichi Yamamoto, Consultant Director and President (to be) of Honda・GS Yuasa EV Battery R&D Co., Ltd. mentioned:

“We’re more than happy that Honda and GS Yuasa have reached a three way partnership settlement, which is able to grow to be a brand new milestone in our pursuit of the conclusion of carbon neutrality, which is a objective shared by the 2 firms. The brand new firm will totally leverage the strengths of the 2 firms and set up a powerful presence within the quickly increasing battery market.”

The query is what battery chemistry and battery cell kind can be chosen for the brand new electrical vehicles, in addition to whether or not Honda is prepared for some new options, like cell-to-pack or structural battery packs.

These questions have to be answered by the Honda・GS Yuasa EV Battery R&D Co., earlier than the companions resolve to take a position billions in new battery crops.