CLARIOS TO SUPPLY MAJOR AUTOMAKER WITH NEW HIGH-PERFORMANCE AGM BATTERY TO HELP IMPROVE FUEL ECONOMY AND REDUCE CO2 EMISSIONS

Rhea-AI Summary

Clarios introduces new high-performance rechargeable AGM battery technology, significantly reducing CO2 emissions and fuel consumption for vehicles.

Positive

• Clarios secures a supplier contract with a major OEM for its innovative AGM battery technology.
• The new AGM battery offers up to 80% reduction in CO2 emissions compared to traditional AGM batteries.
• Increased charge acceptance in the new AGM battery helps improve fuel economy and supports emission reduction goals.
• The new AGM battery will be first introduced in North America for light-, medium-, and heavy-duty vehicles.
• Clarios' focus on innovation supports automakers in achieving their circularity goals and reducing emissions in vehicles.

Negative

• None.

Insights

Automotive Industry Analyst

The announcement of Clarios' new AGM battery technology represents a noteworthy advancement in the automotive parts market, particularly in the context of emission reduction and sustainability efforts. The adoption of this technology by a major OEM underscores its potential significance in the industry.

The improved charge acceptance of the new AGM batteries is a key differentiator, potentially allowing for better fuel efficiency in internal combustion engines and supporting the electrical load in hybrid and electric vehicles (EVs). This could lead to a competitive advantage for the OEM in question, possibly influencing market dynamics in favor of vehicles equipped with these batteries.

From an environmental standpoint, the claim of up to an 80% reduction in CO2 emissions is substantial. If validated, this could align with global regulatory trends pushing for lower emissions and could influence consumer preferences towards more sustainable vehicle options. Additionally, this technology could contribute to the OEM's compliance with increasingly stringent emissions regulations.

Environmental Sustainability Expert

Clarios' new AGM battery technology appears to be a significant stride towards environmental sustainability in the automotive sector. The emphasis on CO2 emission reduction is particularly relevant, given the urgent global need to address climate change.

However, it is important to scrutinize the lifecycle impact of these batteries, including production, usage and disposal phases. An 80% reduction in emissions is a bold claim and would require a comprehensive lifecycle analysis to confirm its accuracy. Furthermore, the adoption of this technology by manufacturers could set a precedent, encouraging other companies to innovate towards greener technologies.

Lastly, the role of such advancements in supporting OEM sustainability goals cannot be understated. As companies increasingly aim for circular economy models, technologies that offer end-of-life recyclability or reuse will be critical. The market will likely watch closely to see if Clarios' batteries meet these broader sustainability criteria.

Market Research Analyst

The strategic partnership between Clarios and a major OEM for the supply of the new AGM battery technology could have a ripple effect in the automotive supply chain. As OEMs seek to differentiate their products, the integration of advanced technologies like Clarios' AGM batteries could become a selling point for consumers who prioritize sustainability and efficiency.

Moreover, the market for automotive batteries is expected to grow, driven by the increase in electrical system demands in modern vehicles. The introduction of this new AGM battery could capture a significant share of this expanding market, especially if it delivers on its promises of enhanced performance and reduced emissions.

It is also worth considering the potential impact on the stock market. Investors are often attracted to companies that demonstrate innovation and leadership in sustainable technologies. Clarios' announcement may therefore positively influence investor sentiment, provided that subsequent performance data and market adoption align with the initial claims.

• New AGM battery technology significantly improves rechargeability
• Highly efficient recharging supports OEM sustainability goals
• New AGM offers in many cases up to 80% reduction in CO2 emissions over traditional AGM batteries

GLENDALE, Wis., April 9, 2024 /PRNewswire/ -- Clarios, producer of one in three of the world's low-voltage car batteries, secured a supplier contract with a major original equipment manufacturer for its new high performance recharge absorbent glass mat (AGM) battery – a 12-volt battery with increased charge acceptance compared to traditional AGM batteries to help reduce fuel consumption and to help reduce CO2 emissions.

Clarios' new AGM technology provides significantly improved rechargeability compared to other AGM batteries. As such, the new AGM battery for light-, medium-, and heavy-duty vehicles will be first introduced in North America under a supply contract with a major original equipment manufacturer.

"We understand the focus automakers have on reducing emissions in their vehicles and how any improvement is important in helping them achieve their circularity goals," said Federico Morales-Zimmermann, Clarios Vice President & General Manager Global OEM Customers, Products, and Engineering. "This new AGM battery is the latest example of how we're innovating across our product lines to support customers, their new programs and the low-voltage architectures."

AGM batteries are being used across the industry to support increased demands on the low-voltage systems found in every vehicle. From internal combustion, to hybrid, and EVs, traditional AGM batteries are being adopted to support features like lane-keep assist, side blind zone alerts, engine start-stop cycling, adaptive cruise control, infotainment systems, and connected services and applications.

The new Clarios AGM battery supports all of these important features with the added benefit of increased charge acceptance. The Automaker can choose to optimize their low-voltage battery charging strategy, to help improve fuel economy and helps support carbon dioxide (CO2) emission reduction objectives.

About Clarios: Clarios is a world leader in advanced energy storage solutions. We partner with our aftermarket and original equipment customers to meet increasing market demand for smarter applications on a global scale. Our approximately 16,800 employees develop, manufacture and distribute a portfolio of evolving battery technologies for virtually every type of vehicle. Our technologies deliver uniquely sustainable, next-generation performance, and bring reliability, safety and comfort to everyday lives. We add value at every link in the supply chain, ensuring that up to 99% of the materials in our batteries are recovered, recycled and reused, contributing to the progress of the communities we serve and the planet we all share.

About Brookfield: Brookfield Business Partners: Brookfield Business Partners is a global business services and industrials company focused on owning and operating high-quality businesses that provide essential products and services and benefit from a strong competitive position. Investors have flexibility to invest in Brookfield Business Partners either through Brookfield Business Corporation (NYSE, TSX: BBUC), a corporation, or Brookfield Business Partners L.P. (NYSE: BBU; TSX: BBU.UN), a limited partnership.

Brookfield Business Partners is the flagship listed vehicle of the Private Equity Group of Brookfield Corporation, a leading global alternative asset manager with approximately $800 billion of assets under management.

Media Contact:
Christian Riedel
+49 173 9975 410
christian.m.riedel@clarios.com

View original content:https://www.prnewswire.com/news-releases/clarios-to-supply-major-automaker-with-new-high-performance-agm-battery-to-help-improve-fuel-economy-and-reduce-co2-emissions-302111111.html

SOURCE Clarios

FAQ

How does Clarios' new AGM battery technology impact CO2 emissions?

Clarios' new AGM battery technology offers up to 80% reduction in CO2 emissions compared to traditional AGM batteries.

What benefits does the new AGM battery offer for vehicles?

The new AGM battery provides increased charge acceptance, helping to improve fuel economy and support emission reduction goals.

Which region will be the first to introduce Clarios' new AGM battery technology?

The new AGM battery will be first introduced in North America for light-, medium-, and heavy-duty vehicles.

What features in vehicles are supported by traditional AGM batteries?

Traditional AGM batteries are used to support features like lane-keep assist, side blind zone alerts, engine start-stop cycling, adaptive cruise control, infotainment systems, and connected services and applications.

How does the new Clarios AGM battery benefit automakers?

The new Clarios AGM battery allows automakers to optimize their low-voltage battery charging strategy, improving fuel economy and supporting CO2 emission reduction objectives.