Mercedes is holding talks with US electric car manufacturer, Tesla.

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Head of development at Mercedes, Thomas Weber, told WirtschaftsWoche that Tesla is interesting because it has a certain knowledge of battery technology, and experience with car production.


Tesla has developed a lithium-ion battery-driven sports car that sells for almost US$100,000. It is assembled by Lotus.


Weber said Mercedes wanted to be the first manufacturer to bring a hybrid car with a lithium-ion battery to the market by 2009.


The system is being developed with the German supplier, Continental. and US battery specialist, A123.

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