Volkswagen, Sanyo to work together on HEV batteries

Volkswagen and Sanyo Electric have entered into an agreement to develop battery systems for hybrid vehicles. The idea is to introduce newer technologies for making nickel metal hydride batteries.

The HEV NiMH batteries are part of an ever-widening pursuit to make the new technologies as palatable as possible for both automakers and consumers.

Sanyo is already working with Ford and Honda, producing HEV batteries for the Escape and the Accord hybrids. The Volkswagen deal marks Sanyo’s first battery systems agreement with a European automaker.

Results are expected later this year.