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Denso to Invest $1.6 bn in automotive electrification

Denso is to invest approximately 180 billion yen (US$1.6 billion) over three years – from FY2018 to late FY2020 – to support development and production of electrified automotive products, systems and technologies.

To accelerate business execution around electrification, Denso is establishing the Electrification Innovation Center at its plant in Anjo, Aichi, Japan, in May 2020.

The centre will conduct advanced R&D, develop and test prototypes, and launch mass produce newly developed automotive electrification products, systems and technologies.

In addition, now that Denso and Toyota Motor Corporation (Toyota) have officially agreed to consolidate their electronic component operations within Denso, Toyota’s Hirose Plant will be transferred to Denso in April 2020.

Denso will use the Anjo and Hirose Plants to establish safe, efficient and sustainable manufacturing processes for electrification-related components. The superior production lines established at the plants will be rolled out to Denso’s manufacturing companies and affiliates worldwide.

Denso has long developed and produced key products for electric vehicles, including inverters and motor generators used in hybrid vehicles and battery packs for mild hybrid vehicles, and it helped pioneer the Prius.

Recently, it has partnered with startups to develop software-based solutions to advance innovation in electrification, as well as automated driving, connectivity and shared economy.