Chrysler moves electric car plans up a gear

Car giant inks battery supply deal with lithium-ion specialist A123Systems

By Andrew Donoghue

09 Apr 2009

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Electric car

US car maker Chrysler's electric vehicle range has moved a step closer to reality as the company inked a major partnership with US battery specialist A123Systems.

Under the terms of the deal, A123Systems will provide Chrysler with battery systems for its planned ENVI range of electric vehicles.

First showcased at the North American motorshow in Detroit this year, Chrysler's entry into the electric vehicle market includes the Dodge Circuit EV, Jeep(R) Wrangler EV, Jeep Patriot EV, Chrysler Town & Country EV and the Chrysler 200C EV concept car. The company is expecting its first all-electric model to go into production early next year.

"Government and society are calling for the introduction of a variety of advanced propulsion vehicles," said Chrysler senior vice president John Bozzella, adding that the new partnership with A123Systems underlined the car giant's "commitment to contribute to our nation's goal of reducing dependence on foreign sources of energy, and reducing greenhouse gas emissions".

A123Systems specialises in lithium-ion battery technology and is currently planning a new production facility in Michigan where it will manufacture nanophosphate lithium-ion prismatic battery cells, modules and battery packs for Chrysler.

Chrysler first announced its ENVI range in September 2008, and speaking at the time Tom LaSorda, president and vice chairman at the company, said that the company had purposefully opted to fit electric drive technology to its existing models rather than develop entirely new vehicles.

"We didn't want to spend the time on developing an all-new platform, an all-new car and then an all-new propulsion system," he explained.

The A123Systems deal is the latest in a series of moves by ailing US auto giants to develop electric vehicle technology capable of tapping into increased demand for green vehicles.

Earlier this year, GM also announced that its Chevrolet brand would invest up to $30m in a facility to construct power packs for its new Chevrolet Volt plug-in hybrid range. The facility, which according to GM will be the first lithium-ion battery pack manufacturing plant to be owned by an automaker in the US, will assemble battery cells manufactured by South Korea's LG Chem.

Meanwhile, this week GM – which according to reports could be preparing for bankruptcy – also announced plans to partner with electric vehicle maker Segway to develop a two-wheeled electric concept car called the PUMA.

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