Named Mahy E-Cell, the venture will be 60% owned by Magna E-Car and 40% by HHI and will include joint engineering, design, development and testing activities for battery cells and battery packs. HHI said it was also using the venture as a stepping stone to start building energy storage systems for its wind and solar power businesses.

Lee Choong-dong, chief operating officer of HHI’s Green Energy Division, explained: ‘The establishment of Many E-Cell is a reflection of Hyundai Heavy’s determination to become a leading eco-friendly integrated energy company by advancing into Europe and North America’s electric car batteries market and ESS business. We see solar energy, wind power and energy storage systems as integral to our future growth.’

Franck Stronach, founder and chairman of Magna E-Car, added: ‘We are pleased to move forward together as partners with HHI to advance next generation cell and battery pack technology to support the growth of the electric and hybrid electric vehicle markets.’