Nissan and Sunwoda Electric Vehicle Battery are to start studying joint development of next-generation vehicle batteries for the automaker’s e-Power vehicles.

The two companies will also discuss the development of an efficient production system to ensure stable supply capacity for jointly-developed batteries.

Nissan and Sunwoda aim to conclude a final agreement by the end of this year, based on the specific content and conditions of the study.

Nissan is expanding its global lineup of electric cars and e-Power models. The company’s e-Power technology consists of an electric motor that delivers power directly to the wheels and an onboard gasoline engine, which generates electricity for the motor.

Nissan will expand the 100% electric motor-driven e-Power technology globally into the B- and C-segments. Nissan expects to sell more than 1m electrified vehicles annually by the end of fiscal year, 2023.

Sunwoda has a global track record in the development of lithium-ion batteries, mainly used in consumer electronics and automotive batteries.

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Further discussions by the companies will focus on combining Nissan’s knowledge of electric vehicles and battery technology with Sunwoda’s next-generation battery development capabilities and production capacity, with an eye to strengthening competitiveness in the Chinese market and globally.

The companies are also considering the joint establishment of a secure supply structure geared toward future global business opportunities.