General Motors Co. and LG Corp will jointly work together to develop electric cars. A historical deal signed by two leading automakers in the world in promise to create revolution in battery technology.
The deal was signed by GM Chief Executive Daniel Akerson and LG President Juno Cho and in a joint statement the companies said they would design a range of electric vehicles that would be sold in markets around the world.
LG Corp's LG Chem Ltd currently supplies the lithium-ion batteries that power GM's Chevrolet Volt and Opel Ampera plug-in hybrids.
Recently GM confirmed it was developing a plug-in hybrid for its luxury Cadillac brand. They also said they are developing an all-electric small car that would be sold globally.
GM and LG collaborated to build a demonstration fleet of Chevy Cruze small cars that were used at the G20 economic summit in Seoul.
"This is a strategic development for LG and we fully support GM's goal to lead the industry in the electrification of the automobile," LG's Cho said in a statement.
"Electric vehicles are going to have to play a role in the really draconian cuts that have to made in terms of fuel consumption," he adds.
