According to a report by the Wall Street Journal, Chrysler has filed a lawsuit in Michigan court alleging that battery supplier Johnson Controls charged inflated prices. Chrysler is now seeking $15 million in damages saying that Johnson Controls charged for more lead than it actually put into producing the batteries.
Chrysler is the midst of cutting cost as it revamps its lineup to produce more fuel-efficient and compact vehicles. John Campi, Chrysler’s purchasing chief, has previously pushed to buy more parts from India where cost is lower.
Insiders say that Chrysler has previously looked into buying batteries from India instead of JCI. Both companies were not available for comment.
Source: Automotive News (Subscription Required)