NEC Restructures Automobile Rechargeable Battery Business

March 30, 2006 by Jeff Shepard

NEC Corp. and Fuji Heavy Industries, Ltd. will dissolve NEC Lamilion Energy Ltd., a joint venture of both companies, which develops manganese lithium-ion rechargeable batteries for automobiles.

In accordance with the agreement, Fuji Heavy Industries will transfer all of the shares it holds in NEC Lamilion Energy to NEC and NEC Tokin Corp., a subsidiary of NEC that carries out energy device business. NEC Lamilion Energy will continue to promote manganese lithium-ion battery business for hybrid and electric automobiles as a wholly-owned subsidiary of NEC.

Since NEC Lamilion Energy's establishment in May 2002, it has focused on the planning and development of rechargeable batteries, which have been developed to a level capable of becoming the global de facto standard through the integration of NEC's laminate-type manganese lithium-ion cell technology and Fuji Heavy Industries' battery pack technology.

NEC Lamilion Energy has developed a long-life battery (10 years/150,000 miles) based on high-power cells (2700W/Kg at 25 degrees centigrade, SOC 50%, 10 sec), which it has supplied to more than 20 domestic and international automobile/auto parts manufacturers for industry evaluation. It has also achieved the development of vehicle integration technology via in-house evaluation, which was the initial goal of the joint venture company.

NEC Lamilion Energy will collaborate with NEC Tokin in the fields of fundamental battery material technology research and mass production, in which the aim is to complete mass production technology that has already been developed and is currently being employed in a test production line at NEC Tokin Toyama Plant. The restructuring is also aimed at expansion of NEC Lamilion Energy's strength in high-power and long-life battery technology to other industrial fields.