The company currently operates manufacturing facilities in Hangzhou, China, Changzhou, China and southeastern Michigan in the United States. The opening of the new facility is the result of a surge in European market demand for low voltage automotive products, a strategic focus of A123. The new plant will complement A123’s existing technical center in Stuttgart, Germany.

With the assistance of CzechInvest, A123 will open the manufacturing plant in Ostrava and expects to begin production in the second half of 2016. This European location will establish regional assembly of A123’s 12V Lithium-ion starter battery and next generation 48V battery and support the growing market demand.

“Our new business wins in the micro-hybrid market have validated A123’s strategy and given us an opportunity to expand our global manufacturing footprint,” said Jason Forcier, CEO. “Our recently announced technology advancements related to high power chemistries have resulted in over $1B in new low voltage business awards globally in the last 15 months. We are honored to be the market leader in this space.”

The system assembly capacity in phase one of the factory will exceed 600'000 units per year and the company expects to reach this level of production in the next few years based on business it has already been awarded.