Toyota has established a division to speed development of next generation batteries.

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The company currently uses nickel metal hydride (NiMh) batteries for the Prius hybrid but has decided to use more energy efficient lithium ion batteries for the plug in version due out in 2012.


Toyota’s managing officer in charge of developing batteries, Koei Saga, told reporters at the Detroit show this week: “We believe a key to the electrical mobile technology lies in innovation of battery technology. Lithium ion batteries will already be a step forward, but we need batteries that offer far superior performance.”


The new division employs about 50 engineers who are studying production processes for the next generation of batteries – Saga did not say when they would be launched.


He said Toyota had looked at sourcing some batteries from outside the company although it plans to mainly use its own technologies. It developed current batteries with consumer electronics maker Panasonic.


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