Daimler aims to produce its own battery cells

Daimler aims to manufacture its own battery cells, according to a report by Business Insider on Tuesday, citing company sources.

The automaker struck a deal to purchase lithium-ion battery cells from Farasis Energy in 2019 and the Chinese-American supplier had aimed to build a factory in East Germany in relation to electric vehicle production.

The plant is yet to be built and the initial cell samples of the company had problems, which led Daimler CEO Ola Källenius to change his mind, according to a Business Insider report citing company sources.

The report said it was not clear if the automaker wants to manufacture the battery cells on its own or with a partner.

Daimler has not commented on the report.