Sanyo, VW to co-develop hybrid batteries

Sanyo Electric and Volkswagen will jointly develop next-generation Nickel Metal Hydride (NiMH) batteries for hybrid electric vehicles (HEV). Sanyo has already provided HEV batteries for Ford's Escape Hybrid and Honda's Accord Hybrid on the North American market.

Sanyo is working to reduce the size and weight of its HEV NiMH systems, while increasing output. The company also is working with lithium-ion technology.

Sanyo is focusing on batteries as one of the major drivers of a financial rebound, and has set an ambitious goal of obtaining 50% of the hybrid vehicle battery market by the end of 2010.

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