Panasonic and IOCL partners to produce cylindrical lithium-ion batteries

Panasonic-IOCL JV: Panasonic Group and Indian Oil Corporation Ltd (IOCL), India's largest oil company, have announced plans to establish a joint venture for the production of cylindrical lithium-ion batteries.

According to a statement released on Sunday, Panasonic Energy Co Ltd, a subsidiary of the Japan-based multinational electronics company, has signed a binding term sheet and commenced discussions with IOCL to outline the framework for this joint venture.

The collaboration is a response to the expected increase in demand for batteries in the Indian market, particularly for two- and three-wheel vehicles, as well as energy storage systems. Cylindrical lithium-ion batteries, commonly used in consumer electronics, power tools, and electric vehicles, will be the focus of the venture.

Both companies are conducting a feasibility study to explore the application of battery technology in facilitating India's transition to clean energy. They aim to finalise the details of their collaboration by the summer of this year.

IOCL, a state-owned company, has set a target to achieve net-zero carbon emissions by 2046, aligning with the Indian government's broader goal of achieving net-zero for the country by 2070. The partnership with Panasonic Energy is intended to address environmental challenges such as reducing CO2 emissions and enhancing India's self-reliance in the energy sector.

The joint venture is expected to contribute to the growth of India's battery industry by advancing cell technology and stimulating domestic demand for raw materials. Panasonic Energy, with its expertise in battery development and manufacturing, aims to support India's energy transition while promoting sustainability.

Established in April 2022, Panasonic Energy specialises in battery technology-based products and solutions globally. The company provides a wide range of solutions, including automotive lithium-ion batteries, storage battery systems, and dry batteries, catering to various industries such as mobility, social infrastructure, medical, and consumer products.

(With PTI inputs)