Mexican Media Brands
A123 Shifts Focus to Batteries for Hybrids
Battery maker A123 Systems LLC, which went bankrupt last year after betting heavily on an electric vehicle market that didn't develop, is turning to supplying smaller batteries for hybrid vehicles instead, The Wall Street Journal reports.
#hybrid
Share
Battery maker A123 Systems LLC, which went bankrupt last year after betting heavily on an electric vehicle market that didn't develop, is turning to supplying smaller batteries for hybrid vehicles instead, The Wall Street Journal reports.
CEO Jason Forcier says the company has adopted a "more moderate plan" for steady growth driven by a sharp focus on faster-growing demand for the smaller lithium-ion battery systems used in hybrids.
A123 filed for bankruptcy protection last October and sold its automotive operations three months later to China's Wanxiang Group for $257 million. Forcier tells the Journal that the restructured battery maker, now headquartered in Livonia, Mich., expects 20% annual growth in revenue for the next several years.
The global EV battery making industry is operating at no more than 20% of capacity, Forcier estimates, mainly because consumer demand for pure electric vehicles remains low. The Journal notes that A123 supplies high-tech propulsion batteries to BMW, Daimler and General Motors for use in all-electric and hybrid powertrains.
RELATED CONTENT
-
When Automated Production Turning is the Low-Cost Option
For the right parts, or families of parts, an automated CNC turning cell is simply the least expensive way to produce high-quality parts. Here’s why.
-
Plastics: The Tortoise and the Hare
Plastic may not be in the news as much as some automotive materials these days, but its gram-by-gram assimilation could accelerate dramatically.
-
On Automotive: An All Electric Edition
A look at electric vehicle-related developments, from new products to recycling old batteries.
