Daimler AG and Robert Bosch GmbH have agreed to join forces to develop and manufacture electric motors for Mercedes-Benz and Smart cars. The 50:50 joint venture company will be called EM-motive GmbH, with headquarters and manufacturing facilities in Hildesheim plus an engineering site located close to the parent companies in the Stuttgart area.

Some 100 employees are expected to start working for EM-motive from the fourth quarter of this year. Production is scheduled to begin in 2012 and the motor will debut in the full electric version of the new-generation Smart ForTwo, which goes on sale early next year. The electric motor will also be sold to interested parties, something Bosch will handle.

“Like lithium-ion batteries, electric motors are key components for our electric vehicles. It is extremely important that competence in this field is maintained in Germany. In joining forces with Bosch, we have now teamed up with a long-standing partner, and are confident that this move will lead to outstanding results,” said Prof. Dr. Herbert Kohler, VP of e-drive & Future Mobility in Group Research & Advanced Engineering and Chief Environmental Officer of Daimler.

This JV is expected to churn out more than 1 million electric motors by 2020.