Matsushita and Toyota Agree to Establish Joint Venture for Ni-MH EV Batteries

Matsushita Electric Industrial Co., Ltd., Matsushita Battery Industrial Co., Ltd. (collectively called "Matsushita"), both of Osaka, Japan, and Toyota Motor Corporation, (TMC), Toyoda Automatic Loom Works, Ltd., both of Aichi, Japan, today announced that they have agreed to establish a joint venture company for the development, manufacturing and Sales of nickel metal hydride (Ni-MH) rechargeable batteries for electric vehicles (EVs).

Combining Matsushita's R&D and production technologies for batteries and Toyota's technologies for car battery applications, the new company will work towards improving the performance of Ni-MH rechargeable EV batteries and lowering manufacturing costs. As a result, the company aims to actively expand the EV market by selling and sharing its achievements to the worldwide EV industry.

Background

Problems such as air pollution, global warming and the exhaustion of petroleum resources are becoming increasingly serious. From an environmental point of view, EV development and practical use are eagerly anticipated, and its advancement is drawing much attention worldwide.

Therefore, auto manufacturers and electric power companies in Japan and elsewhere are actively engaged in EV development. Responding to the California "EV demonstration program," several companies have already announced their intent to sell EVs.

There remain, however, a number of issues to be resolved in EV utilization, such as performance and cost. In particular, there have been calls for commercialization of a high-performance storage battery fit for practical usage.

Progress

For years, Matsushita has conducted research and development of Ni-MH rechargeable EV batteries, and Toyota has been active in the development of EVs. Incorporating Matsushita's Ni-MH rechargeable batteries, the Toyota RAV4-EV won the international EV rally held in Scandinavia last August with an overwhelming lead, demonstrating its high performance. Based upon these experiences, Matsushita and Toyota have decided to form a joint venture to speed up commercialization of Ni-MH rechargeable EV batteries.

New company outline

1. Company name

   Panasonic EV Energy Co., Ltd. (provisional)

2. Establishment

   September 1996 (planned)

3. Start of business

   Beginning of 1997 (planned)

4. Location
   (provisional)

   On the premises of the Hamanako factory, Matsushita Battery Industrial Co., Ltd. 555 Sakaijuku, Kosai, Shizuoka

5. Contents of business

   Development, manufacturing and sales of nickel metal hydride rechargeable batteries

6. Capital

   2 billion yen (planned)

   Matsushita

   60%

   TMC, Toyoda Automatic Loom Works

   40%

7. President

   Mr. Tetsunari Kawase (proposed)
   Currently an advisor to Matsushita Battery Industrial Co., Ltd. Formerly Director of EV Battery Development Center, and Director, Member of the Board, Matsushita Battery Industrial Co., Ltd.

8. Board members

   Directors

   4 from Matsushita including President
   3 from TMC

   Auditors

   2 from Matsushita, 1 from TMC