Denso earmarks $67 billion for electromobility R&D investment

The announcement came at the IAA Mobility conference in Munich.

Denso’s facility energy management system uses its Solid Oxide Fuel Cells (SOFC) (Image: Denso Corp.)

Denso’s facility energy management system uses its Solid Oxide Fuel Cells (SOFC) (Image: Denso Corp.)

Japanese automotive technology supplier Denso Corp. plans to invest $67 billion (¥10 trillion) in research and development over the next ten years to develop advanced technologies that overcome the twin challenges of environmental pollution and traffic fatalities.

During an announcement at IAA Mobility in Munich, recently appointed Denso President Shinnosuke Hayashi highlighted the role of the wider automotive industry in tackling carbon-emissions, calling upon the sector to find collaborative solutions to make transport safer and more environmentally friendly.

He says a significant portion of the investment will go towards electrification and further expand its product portfolio to accommodate the evolving needs of the mobility ecosystem.

Denso is ramping up its global production capacity, with expected production of 12 million inverters per year by 2025, while consolidating its expertise within vehicle semiconductor production and thermal management systems. Hayashi says advancements within these areas will support improved electric vehicle functionality and range.

The R&D investment announcement follows the recent unveiling of plans to achieve carbon neutrality throughout the entirety of the company’s supply chain by 2050. In July, Denso concluded a memorandum of understanding on starting negotiations for the transfer of selected internal combustion engine parts operations to Aichi, Japan-based Niterra Co., Ltd. The MOU covers domestic and international development, manufacturing and sales functions of Denso’s spark plug and exhaust gas sensor products.

Hayashi emphasized the transformative impact of innovative technologies such as carbon capture and recycling, as well as the implementation of Solid Oxide Fuel Cell (SOFC) and Solid Oxide Electrolysis Cell (SOEC) technologies at DENSO’s Japanese facilities. These technologies are will also be used in some European facilities.

“We’re making huge strides in our own manufacturing activities and by doing this, we believe we can empower the entire industry to do the same, to the benefit of society over the medium and long term,” Hayashi says. 

He joined DENSO as an engineer in 1986, working on the engineering, mass production, and global business development of the engine electronic control unit of the world’s first fully electronic controlled diesel rail system.