Toyota-Panasonic JV to create lithium-ion battery production for hybrid vehicles

London — Carmaker Toyota and electronics major Panasonic's joint venture, Prime Planet Energy & Solutions, has announced it will establish a new battery production line within Panasonic's Tokushima factory in Japan to build lithium-ion batteries for hybrid vehicles to meet growing demand.

It said Oct. 6 that automotive prismatic lithium-ion battery production was expected to begin in 2022, with production levels to be gradually expanded thereafter.

The JV expects the production line to have enough capacity to supply around 500,000 hybrid vehicles a year.

PPES said the expansion to its production capability would allow it to handle the growing demand for these batteries for hybrid vehicles.

"As electrification of automobiles is a must in tackling environmental issues such as global warming and air pollution, the global electric vehicle market is expected to continue growing rapidly," it said.

PPES, which is 51%-owned by Toyota and 49% by Panasonic, was formed in February and started operations in April, with the aim of developing, manufacturing and supplying lithium-ion, solid-state and next-generation batteries for automotives, as well as providing a wide range of added values and solutions to benefit the environment.

In August, lithium producer Orocobre said it had signed a memorandum of understanding with PPES to supply up to 30,000 mt/year lithium carbonate equivalent by 2025 from the Olaroz lithium facility to be used in PPES' battery production and supply chain.