In ancient times, there was a saying that “all roads lead to Rome” – we’re talking about its literal meaning, as the Roman Empire had an advanced system of roads and all roads in one way or another, would lead to a major road, and this major road would lead directly to the capital, Rome.
These days, it’s going to be “all roads lead to electric”, as almost every indispensable thing that we use daily is powered by electricity – from mobile phones to a simple toothbrush – all of these are powered by electricity. This goes the same in mobility, as manufacturers have been quickly shifting from internal combustion engines (ICE) to electric power.
With great demand for high-power, high-output lithium batteries to move these electric vehicles (EVs), including e-motorcycles and e-scooters, GS Yuasa Battery and Honda announced in January that they were in talks to establish a new company to answer that demand.
Now, the companies have agreed on a 50-50 joint venture forming the Honda・GS Yuasa EV Battery R&D Co., Ltd.
“We are very pleased that Honda and GS Yuasa have reached a joint venture agreement, which will become a new milestone in our pursuit of the realization of carbon neutrality, which is a goal shared by the two companies. The new company will fully leverage the strengths of the two companies and establish a strong presence in the rapidly expanding battery market,” says Koichi Yamamoto, representative director from Honda. Yamamoto will also be the new company’s first president.
The new joint venture company, Honda・GS Yuasa EV Battery R&D Co., Ltd., will research and develop lithium-ion batteries and battery production methods that will be highly competitive at a global level. Moreover, the new company will strive to establish a supply chain for key raw materials and a highly-efficient production system for its batteries.
The new company is scheduled to be established and begin operation before the end of 2023, with headquarters at Minami ku, Kyoto, Japan. The establishment of the new company and the start of its operation are subject to the approvals of the relevant authorities.