14 April 2017 - SUZUKI MOTOR CORPORATION (SUZUKI), TOSHIBA CORPORATION (TOSHIBA)
and DENSO CORPORATION (DENSO) have reached basic agreement on establishing a
joint venture company for production of automotive lithium-ion battery packs in India, and
signed the agreement.
In India, higher attention is being paid to environment, and new CO2 standards for
automobiles is planned to be introduced. In the Indian automotive market where compact
cars are the mainstream models, introduction of sustainable technology suitable for such
affordable cars is required. The battery pack manufacturing joint venture by the three
companies will realize stable supply of lithium-ion battery packs in India in the course of
promoting sustainable cars in the country and will contribute to "Make in India" initiative by
the Indian Government.
The joint venture company will be established within 2017 and shall move to manufacturing
phase at earliest possible timing. The initial capital expenditure will be 20 billion Japanese
yen. The joint venture company will be capitalized at 2 billion Japanese yen, with the
planned participation ratio of SUZUKI 50%, TOSHIBA 40% and DENSO 10% respectively.
Establishment of the joint venture company will be further examined in details by the three
companies, and subject to approval by respective authorities in accordance with applicable
competition laws.
