BEIJING, April 8 (Xinhua) -- A subsidiary of French energy giant Total has partnered with a Chinese energy technology firm to tap China's lithium-ion (Li-ion) cell market in the country's drive to a green future.
Saft, the Total subsidiary, has inked an agreement with Tianneng Group subsidiary Tianneng Energy Technology (TET) to set up a joint venture (JV) to expand their Li-ion business in China, according to a statement from Total.
Saft will have a 40 percent shareholding of the new JV, with the remaining held by TET.
The JV will mainly focus on the development, manufacturing and sales of advanced Li-ion cells, modules and packs for China and worldwide markets.
Manufacturing will be based at Changxing in east China's Zhejiang Province, with a potential capacity of 5.5 GWh.
The two parties also planned to expand the Changxing facility to ramp up its production capacity to meet future growing demand, mainly driven by e-mobility sales and the development of renewables.
The partnership will give Saft access to China's booming battery market as well as highly-competitive mass production capacity to accelerate its growth, said Patrick Pouyanne, Chairman and CEO of Total.
China is the world's largest renewables market, whose Li-ion sector is expected to represent over 40 percent of the global demand by 2025.