U.S. energy firm invests in lithium-ion battery production base in east China

Construction has begun on a lithium-ion battery development and production base jointly funded by a Chinese company and a U.S. energy company in east China's Jiangxi Province.

The joint venture, Changhe New Energy Technology Co. Ltd, was established by Farasis Energy Inc., a U.S.-based energy company focusing on battery and fuel cell system development, and the local Yueliangzhou Tongye Development Company chemical firm in Jiangxi.

The base, in the provincial capital Nanchang, covered 20,000 square meters and would be completed in five years, said a source with the Nanchang Hero Economic Development Zone.

Farasis Energy will invest 800 million yuan (one million U.S. dollars) in the base.

The Chinese company declined to reveal its investment in the project.

The first phase of the project, at a cost of 200 million yuan (25 million U.S. dollars), would have a production capacity of 18 million lithium-ion batteries on completion next March.

The lithium-ion batteries would be mainly exported to Europe and North America for use in power-driven vehicles and laptops, according to the source.

Source: Xinhua