BYD’s Huizhou battery plant will focus on producing the company’s ferrous batteries as its core technology for electric vehicles. The facility is ready for operation and will play a key role in boosting the mass production of the BYD electric cars.
Earlier this month, BYD Co. reached an agreement with Shanghai-based SAIC Motor to supply the Chinese auto giant with lithium-ion batteries for hybrid vehicle production.
In May, Volkswagen formed a partnership with BYD Co. to jointly develop hybrid and electric vehicles powered by lithium-ion batteries.
BYD said it was bullish about sales of its F3DM plug-in hybrid car, after China’s industry regulators recommended the energy-efficient model as eligible for government subsidies.
BYD, SAIC sign lithium-ion supply deal
BYD Co Ltd, China’s largest rechargeable battery maker and a well-known automobile producer, recently signed an agreement with one of China’s top three auto groups to provide lithium-ion batteries for hybrid vehicles.
Sources said that BYD’s sales manager Wang Jianjun confirmed that BYD did reach an agreement with a major auto maker in China but declined to disclose the name of the partner.
Shanghai Volkswagen Automotive Co Ltd, a 50:50 joint venture between Volkswagen and the Shanghai Automotive Industry Corp, is believed to be BYD’s domestic partner.
In July, SAIC said it plans to invest more than RMB 12 billion in the next three or five years to develop hybrid vehicles and related auto parts. The auto maker also signed an agreement with the Shanghai municipal government to jointly develop the new-energy vehicle industry.
SAIC is planning to launch a new product, the Roewe 750 hybrid sedan, that could cut fuel costs by 20% as compared to the existing model. Its Roewe 550 mid-class sedan, another plug-in hybrid model, will be unveiled and commercialized in 2012. The model can improve fuel-efficiency by 50%.
BYD’s iron-phosphate-based lithium-ion batteries can be recharged more than 2,000 times, which allows the batteries to last for over 600,000 km.