Magna could manufacture batteries in Europe

Magna International has reported that it intends to produce lithium-ion batteries together with the Japanese company GS Yuasa Corp in Europe. If the negotiations between the companies conclude favourably, an investment of 466 million dollars is expected for building a plant in Spain or Austria.

It is assumed that the operations of the new facility should begin during the first quarter of 2012. Magna also notes that this factory must supply batteries for 50,000 cars a year, meaning that manufacturers of hybrid/electric models in the old continent could choose the new alternative.

GS Yuasa Corp is known in the land of the rising sun as the largest producer of lithium-ion batteries, for that reason the company indicates that the time has come to expand its borders, so the partnership with the Canadian automotive component manufacturer is attractive to its interests.

For the moment both companies report that the talks are going well, however it will still be necessary to wait until they conclude.

Source | Automotive News