Hitachi has announced that it will be providing lithium-ion batteries that power hybrid cars to General Motors from next year.

The electronics company also said it planned to increase its production of the batteries from 40,000 cells a month to three million a month.

Hitachi’s rivals have also been raising battery production for hybrid cars. Toyota said last month that it planned to use lithium-ion batteries for the first time in its plug-in hybrids.

Its hybrids currently use nickel-metal hydride batteries. Batteries for hybrid cars are among the products it is relying on to return to profitability.

Last month, it reported a net loss of 787.3bn yen ($8.1bn), which was the record annual loss for a Japanese manufacturer.

Hitachi shares closed up 3% at 307 yen.