The German automaker said on Monday it will
expand capacity at Deutsche ACCUmotive, its battery-making
division in Saxony as it expects "high and steadily-growing
demand" for electric-car batteries.
The unit supplies batteries for the luxury Mercedes division's
hybrid S-Class, E-Class and C-Class models, Daimler said.
Steps to increase battery output tie in with Daimler's plans
announced last month to phase out production of lithium-ion
battery cells at its second Saxony-based Li-Tec division by the
end of 2015.
Daimler aims to employ the bulk of Li-Tec's 250 workers at
The Stuttgart-based manufacturer in future plans to buy battery
cells for its 2016 electric Smart model from LG Chem.
Asian makers of battery cells such as Samsung, Panasonic and LG
Chem are producing the cells at lower costs, reaping benefits
from scale effects as they're also serving non-automotive
industries, analysts said.
(Reporting by Andreas Cremer; Editing by Kirsti Knolle)
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