Daimler to build global production hub for lithium-ion batteries

Daimler has started the construction phase for a second battery factory at its subsidiary Accumotive’s site in Kamenz, Germany, consolidating its move towards electromobility.

With an investment of about 500 million euros (Rs 3,640 crore), the site in Kamenz will be one of the biggest and battery factories in Europe. For the official groundbreaking, Prof Dr Thomas Weber (member of the board of management of Daimler AG, Group Research & Mercedes-Benz Cars Development), Markus Schäfer (member of the divisional board of Mercedes-Benz Cars, Production and Supply Chain Management) and Frank Blome (CEO Deutsche Accumotive GmbH & Co KG) met with Stanislaw Tillich (minister president of the Free State of Saxony and president of the German Bundesrat) and other representatives from politics and economy.

Commenting on the occasion, Weber said: “By 2025, our passenger car product portfolio will contain more than ten fully electric vehicles. At the same time, we are continuously pushing our plug-in-hybrid offensive and the introduction of 48-volt-systems. Highly efficient battery systems are an important aspect of our strategy. They are an integral part of the vehicle architecture and not a ready-made product. The development, production and integration of those complex systems into our vehicles is one of our core competences.”

The new production facility is planned to start operations in the middle of 2018. The area of about 20 hectares is located in immediate proximity of the existing battery factory in Kamenz, about 50 km from Dresden. With the construction of the second facility, the production and logistics area will be quadrupled to about 80,000 sq m. Accumotive will gradually increase the number of employees in the coming years. The workforce will double by the end of this decade.

“Already in 2012, we started the battery production for vehicles of the brands Mercedes-Benz and smart in Kamenz. For about a year now, we have additionally been producing stationary energy storages. Thanks to the know-how and motivation of our employees we have qualified for a further development step, becoming the competence center for worldwide battery production. In our new factory in Kamenz, we pursue a holistic approach starting sustainability already in our production processes,” said Blome, who will be responsible for the global battery production compound.

The new plant will be constructed as a CO₂-neutral factory. Production facilities will be powered by a cogeneration unit and a photovoltaic system combined with stationary energy storage systems. Solar modules with the surface of two football fields will be installed on the rooftop of the new production building. This equals a capacity of 2 MW. The new battery factory will also be benchmark for Industry 4.0 with most modern facilities and technologies.

Mercedes EQ at Paris

Mercedes-Benz also showcased its new product brand for electric mobility, EQ, at the recently concluded Paris Motor Show. Series production of the EQ with a range of up to 500 km will start within this decade in the SUV segment. A model offensive will follow subsequently, complementing the portfolio of Mercedes-Benz cars with electrified models. Accumotive will deliver the batteries for the first EQ production model.

Minister President Tillich emphasised: “The investment is a strong sign of trust in the Saxon location here in the Upper Lausatia. This brings us a great deal closer to our goal of getting the traditional Saxon automotive industry ready for the era of electromobility. Electromobility or stationary energy storage – both segments have a great potential for the future.” He also referred to the already existing competence in the Free State, since the battery research alliance of the Fraunhofer society contains four institutes from Saxony.”

Future ‘green’ investments

Daimler is investing an overall amount of one billion euros into the global production of battery systems. “We are building a global production compound for lithium-ion batteries. Kamenz will become the competence center of this compound. With the new battery factory, the flexible and efficient production network of Mercedes-Benz Cars deepens crucial know-how for the production of promising future technologies. This also strengthens our global competitiveness and puts us in a very good position concerning future mobility,” said Schäfer.

In the future, Kamenz will produce lithium-ion batteries for all electrified vehicles of Mercedes-Benz and smart – including plug-in hybrids as well as fully electric vehicles. On top of that, Kamenz will produce batteries for stationary Mercedes-Benz energy storage units as well as 48-volt-systems. The 48-volt-system will gradually be integrated into different model ranges.

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