Japan-based battery producer Envision AESC will supply high-performance cell modules for all Mercedes-Benz EQ electric vehicles assembled at its new manufacturing plant in Alabama.
Under the agreement, Envision AESC will support end-to-end production for the EQs at the Tuscaloosa, Ala facility which Mercedes Benz opened earlier this year.
This new factory corresponds with Envision’s Gigafactory to be built in the U.S. and support the Mercedes-Benz EQ line in Alabama.
“This marks a significant step forward in our company’s mission to be a leading technology partner to support the global transition to carbon neutral transportation,” Lei Zhang, Envision AESC Executive Chairman, said in a statement. “Our planned investment in a new Gigafactory will form part of an ecosystem in the region, aimed at growing the local supply chain and developing the whole life cycle opportunities of batteries. Our ambition is to develop advanced technology, future innovations and integrated net zero solutions.”
See EnergyTech's full coverage of e-Mobility moves in the C&I Sector
The new Gigafactory is expected to be operational by 2025. The company promised that it would be powered by net-zero carbon energy but did not detail what the resources would be.
Envision AESC is also announcing plans to build similar Gigafactories in France, Japan and the United Kingdom, aiming for 300 GWh capacity by 2030. The company is no startup, having produced batteries for more than 600,000 EVs globally in the past 11 years, according to reports.
Mercedes-Benz intends to produce 10 EQ models by the end of this year. Parent company Daimler AG has invested about 1 billion Euros in capital expansion projects for the EV line.
The EQ models all will utilize combined charging systems with power capacity up to 350 kWs.
