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The French half of the Renault-Nissan Alliance has reached an agreement with two partners to develop and produce lithium ion batteries in France. Renault, the French Atomic Energy Commission (CEA) and the French Strategic Investment Fund (FSI) will create a joint venture for EV batteries. The venture will address the full lifecycle of the batteries, including recycling after they have been used in vehicles.

While many other car-makers (with the notable exception of Toyota) are jumping on the lithium ion bandwagon for new hybrid models, Honda will stick with nickel metal hydride for now. Honda President Takeo Fukui told Automotive News that lithium ion batteries are not yet reliable or durable enough for high volume applications. When Honda debuts a new dedicated hybrid model early next year to take on the Prius, it will continue to use nickel metal hydride batteries.