VW looks on LG and Panasonic for the electric push image

Volkswagen is reportedly considering a partnership with car battery makers such as LG or Panasonic, for the automaker to help hit its electric targets.

Volkswagen has not put much emphasis so far on battery-electric cars, but Europe’s biggest automaker committed to radically change its view, as it is trying to overcome the emissions scandal implications concerning its brand image. Therefore, it recently said it would launch more than 30 purely battery-powered electric vehicles over the next ten years, estimating that such green models could then account for around a quarter of the Group’s global passenger car sales, equivalent of around 2-3 million units. To hit such targets, VW needs strong partners in this direction and battery specialists such as LG or Panasonic are on top of the list, sources told Bloomberg.

The insiders also revealed that the company is looking to build several factories around the world, planning to spend somewhere between 1.7 billion euros (1.88 billion dollars) to 2 billion euros (2.21 billion dollars) per site. A decision on the matter is expected to be made by the end of the year. Volkswagen confirmed it was eying several locations, adding however it was too soon to say where the factories would be situated. Bloomberg reported in June the automaker would likely build its first battery-plant in China, where it already has two joint ventures, thus helping limit the costs. Furthermore, the electromobility trend there will catch up some speed, as the government step up its efforts to promote environmentally friendly technologies.

The German auto Group already has a partnership with South Korea’s LG Electronics and they announced last week they would work together to develop connected-car related technologies.

Via Bloomberg