Primearth EV Energy (PEVE), a joint venture between Toyota and Panasonic, will be building its fourth battery manufacturing factory in China. This news comes in as the Chinese Government is working towards expanding incentives towards low emission vehicles.
The said plant will offer a capacity of producing around 100,000 batteries annually, taking PEVE’s total production in China to 400,000 units. The facility will be built in 2021. The battery manufacturer will begin production at two more factories in China by 2020.
Although hybrids currently do not qualify for incentives, the Chinese authorities are planning to reclassify these types of vehicles to include them in the new energy vehicle category. Hybrids could help in speedier adoption of new energy vehicles since they do not require any kind of infrastructure to operate.
PEVE was formed in 1996 as a joint venture between Toyota and Panasonic, in which the automaker holds 80.5% stake, while Panasonic hold 19.5%. The company supplies nickel hydride battery, lithium-ion battery, BMS (battery management systems) to automakers.