Daily Management Review

Porsche Plans A Joint Venture With German Battery Maker For Its EVs


Porsche Plans A Joint Venture With German Battery Maker For Its EVs
A new joint venture partnership with the joint venture with Customcells is being forged by the luxury sports car unit the German auto powerhouse Volkswagen, Porsche AG, for making batteries for electric car batteries that will have significantly higher performance levels which will help to reduce the time needed to charge them, the German brand has said.
Customcells is a specialist in manufacturing lithium-ion batteries and is based in the in southern Germany, through this new joint venture, Porsche is targeting making car batteries that will have significantly higher energy densities compared to the prototypes that the brand uses for its current range of battery powered luxury sports cars, the company said in a statement.
There is a conscious effort on the part of European car makers to significantly bring down their dependence on electric car battery makers of Asian as most of the companies are focused on developing and bringing to the market a range of all electric models in order to meet the stricter emissions targets that have been set up in the European Union.
Apart from requiring less time to get a fill recharge, the planned new higher performing batteries that the joint venture will make will also have improved energy density which will mean that there would be a reduction in the quantity of raw materials that would be used up in the batteries to achieving the same range or distance on a single charge. That in turn will help the brand to cut down on costs of making batteries and thereby reducing the costs of its electric cars and making them affordable.
Porsche, which will have a 80 per cent stake in the joint venture, will make investments in the high double-digit million euro sum, the company said. The companies have targeted to achieve a production capacity of 100 kilowatt hours which would mean that it would be able to manufacture enough batteries for a total of 1,000 cars annually.
The company wanted to accelerate its e-mobility drive, Porsche Chief Executive Oliver Blume said in April, and had added that the company had planned to set up an electric car battery manufacturing factory in Tuebingen in Germany. At that time he did not say if Porsche would seek a joint venture partner.
Customcells is based in Tuebingen.
On the other hand, Porsche's parent company Volkswagen has announced its plans of building about half a dozen battery cell factories all across Europe while also expanding its battery charging infrastructure for charging electric vehicles globally.