Johnson Controls-Saft Advanced Power Solutions (JCS) on September 6 announced that the company has signed a letter of intent (LOI) with a major vehicle manufacturer to supply lithium-ion (Li-ion) batteries. The LOI is for the development phase, which is expected to lead to volume production for a later date.
“Johnson Controls-Saft Advanced Power Solutions is pleased to have been selected for this program,” said Alan Mumby, Johnson Controls’ vice president and general manager of the company’s hybrid battery business. He also leads the JCS joint venture.
“This program positions the JCS joint venture as the leading manufacturer of lithium-ion batteries for the next generation of alternative powertrain vehicles.”
An investment in the range of $15 million to $20 million will be made for the production of lithium batteries.
"The JCS investment will enable capacity to be easily augmented, with minimal additional expenditures, as demand increases.” said Mumby.
This will be the first JCS European HEV lithium-ion battery manufacturing plant.
Since the launch of the joint venture in January 2006, JCS has made tremendous progress in both the chemistry and manufacturing of lithium-ion batteries for vehicle applications, as a result of the combined strengths of Johnson Controls and Saft.
Last month, the United States Advanced Battery Consortium (USABC), a consortium of the U. S. Council for Automotive Research – an umbrella organization for collaborative research among DaimlerChrysler Corp., Ford Motor Co. and General Motors Corp., awarded the JCS joint venture a 24-month contract to continue its development work for advanced, Li-Ion batteries for vehicle applications. The focus is on accelerating Li-Ion technology development by improving battery power in low temperatures, and creating solutions that reduce battery system costs. This funding, provided by the U.S. Department of Energy through USABC as part of the FreedomCAR and Fuel Partnership project validates the capabilities of JCS to enhance cell performance, systems development and cost reduction for lithium-ion technology that meets or exceeds automotive standards.