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Renault, LG Chem and CEA preparing to sign three-way agreement concerning next-generation traction battery development and production; European plant, based in France

Renault, LG Chem and CEA (France’s Alternative Energies and Atomic Energy Commission) are preparing to sign a three-way agreement in September concerning next-generation battery production.

In 2010, Renault and the CEA initiated a strategic partnership in the areas of clean vehicles and mobility. As part of this partnership, they signed several research agreements including a strategic cooperation contract for new battery technologies. Renault says that the results achieved by its R&D Laboratory and the CEA in new-generation batteries for electric vehicles have made it possible to enter the preparation phase for industrial production.

In addition to the research and development of next-generation traction batteries, Renault and its partners are negotiating concerning the LG Chem-led construction of a European battery factory in France. This factory would produce current-generation batteries from the end of 2015 and, from early 2017, the new-generation batteries resulting from the agreement between Renault, CEA and LG Chem.

Renault restated its commitment to cut CO2 emissions and bring customers a range of electric vehicles at affordable prices as well as its ambition to be present across the entire electric vehicle value chain, from technical architecture to motors and batteries. Renault is supporting the development of a EV electrics industry in France as part of the ongoing negotiations with LG Chem. A final agreement is expected in the second-half of 2013.

Renault/CEA laboratory. The Renault-CEA partnership currently involves 200 people, two-thirds CEA, one-third Renault, working at the CEA sites in Grenoble and Saclay and Renault’s Technocentre in Guyancourt.

The joint Renault-CEA laboratory “advanced batteries”, set up as part of the original agreement, was tasked with developing new technology for lithium-ion batteries in the medium term. The studies conducted by the laboratory, which has received an annual budget of around €15 million (US$18.6 million) since 2010, have now reached a sufficient stage of maturity to plan life-sized tests with a manufacturer.

The three-way agreement between Renault, CEA and LG Chem targeted for next September will complement the studies currently under way between Renault and the CEA and will concern only the development of next-generation batteries.

These batteries will deliver higher performance in terms of durability, and fast-charging capacity. LG Chem, which is recognized as a leading global player in electric batteries, will provide its technological expertise in this field, acquired over a period of over 15 years. To date, LG Chem has filed more than 6,000 patents.

European battery factory in France. In view of the current economic situation, Renault is keen to build ties with a blue-chip partner able to invest in a battery factory that would meet the needs of European markets. As part of ongoing negotiations, Renault is supporting the idea of a battery factory in France to be managed by LG Chem.

The original location must now be reviewed. This is because the site to be selected jointly by Renault and LG Chem must have the potential to expand in the longer term in order to produce electrodes, and must therefore be able to increase capacity.

Moreover, wherever the factory is located, it must be able to easily serve all European markets while minimizing logistics costs. The production capacity and jobs offered by this factory should be higher than in the original project.

The strategic cooperation agreement between Renault and CEA, begun in 2010, perfectly illustrates the effectiveness of close scientific and technical cooperation between a private company and a public organization, something we have been able to achieve. Creating economic value and employment, this model has enabled France to quickly take a leading world position in zero-emission technologies for automobiles.

—CEA Chairman Bernard Bigot

The CEA is a public body working in scientific and technological research in five main areas: carbon-low energies; defense and global security; information technologies; health technologies; and the design and operation of large-scale fundamental research infrastructures.



LG is destined to become the dominant vehicle battery maker in the world.. it probably rankles the Japanese to have lost this race.


This is the type of multiple partners agreement required to accelerate electrified vehicles mass production at reduced cost.

Hope that they can go full steam by 2017 of even before.

Roger Pham

What are the specs of LG-et al new-and-improved battery?


RP...specs of new improved batteries are changing every year. By the time a battery is on the market place, improved versions are being developed or coming out somewhere else.

Whoever can develop and mass produce the fastest at the lowest price will be the winner. JVs between Giants may have the upper hand soon. Smaller current producers will be bought out or will go Chapter 7 or 11.

The EV battery market may not stabilize before 2020/2025. Producers may drop from 30-40 to about 10-15.

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