South Korean battery company Samsung SDI has formed a strategic alliance with Swedish truck manufacturer Volvo Group to develop and manufacture power supplies for the company's electric commercial vehicles, hoping to capitalize on the next big wave of electrification.
The partnership with Samsung SDI will accelerate the development of Volvo's electric truck, bus and boat range, Volvo said. Samsung SDI will supply batteries and modules to power a wide range of heavy vehicles that Volvo is developing based on common architecture and common technologies - from 18 ton buses to 20 ton excavators and 44 ton trucks.
Samsung SDI, the second largest EV battery maker in South Korea after LG Chem, said the alliance is an opportunity for it and Volvo to gain market leadership in the electrification of heavy-duty vehicles.
The Volvo Group is the world's fifth largest heavy truck manufacturer and owns a 45 percent share in China's third largest manufacturer, Dongfeng Commercial Vehicles. Pilot tests of its new electric vehicle and equipment products have shown a 98% reduction in carbon emissions, a 70% reduction in energy costs and a 40% reduction in operator costs.
Volvo Group is spun off from Swedish car manufacturer Volvo Car Group. LG Chem won a contract earlier this year to supply batteries for Volvo's electric vehicles. The deal has huge potential as the Volvo Car Group aims to have electric vehicles account for half of global sales by 2025.
