Dear battery enthusiast,
Welcome to Battery Associates’ May Newsletter. We have summarised some of the month’s most relevant battery news, highlighting technology and research development, and updates from Battery Associates.
Battery Newsletter structure:
Battery Industry Highlights
B.A Editorial
Battery Insiders Podcast
Company Membership Update
B.A Updates & Events
Battery Industry Highlights
In this section, we have summarised relevant battery news from the past month.
On May 10, the French government launched a 2 billion euros Critical Metals Fund in partnership with InfraVia, a private equity firm. This public-private fund will be used to finance critical metal-related businesses in France and Europe. The state has shown its commitment to supporting this initiative by allocating €500 million euros through the France 2030 plan, overseen by the General Secretariat for Investment. The remaining funds will be contributed by private investors. InfraVia aims to reach the initial closing of the fund at €1 billion euros by the end of 2023.
B.A Commentary: The Inflation Reduction Act (IRA) of the Biden government in the USA has attracted a significant amount of business to the North American market meanwhile the European market environment has become less attractive for battery companies due to various factors, including the energy crisis. In response, the French government is taking steps to create a favorable and competitive environment for battery businesses in France. They are providing financial aid to attract battery companies to establish their operations in the country.
On May 12, ProLogium, a Taiwanese solid-state battery company, made a significant announcement regarding its plans to construct a large-scale solid-state battery manufacturing facility in Dunkirk, France. This facility is set to have a nameplate production capacity of 43 GWh. The project comes with a substantial investment of approximately USD $5.6 billion dollars (€5.2 billion euros).
B.A Commentary: As part of the French government's France 2030 plan, France is actively welcoming battery businesses to establish their facilities in the country. In line with this initiative, following the announcement of the 2 billion euros French Critical Mineral Fund, ProLogium has revealed its plan to establish a battery facility in France. ProLogium, which is backed by Mercedes Benz, has already made arrangements for its Li-ion battery manufacturing joint venture, ACC, in Nouvelle Aquitaine, France.
On May 16, French nuclear materials company Orano and Chinese manufacturer XTC New Energy signed agreements to establish two joint ventures for the production of critical materials for electric vehicle (EV) batteries in Dunkirk, located in France's Hauts-de-France region. The total investment for these ventures amounts to USD $1.6 billion dollars (1.5 billion euros). In this collaboration, XTC New Energy will hold a majority share in the Cathode Active Materials (CAM) plant, while Orano will own a majority share in the Cathode Active Material Precursors (PCAM) plant. Both facilities are expected to commence operations by 2026.
B.A Commentary: The French government is striving to establish a comprehensive supply chain for the battery business within the country. Following the announcement of ProLogium's battery facility, Orano, and XTC New Energy have also revealed their plans to establish CAM and PCAM processing plants in Dunkirk, France. These plants will utilize metals like cobalt, nickel, manganese, and lithium for manufacturing purposes. Furthermore, Orano is considering the establishment of a battery recycling plant in the future, aiming to foster a circular business environment.
On May 11, Honda Motor Co., Ltd. (Honda) and GS Yuasa International Ltd. announced the signing of a 50:50 joint venture agreement to establish a new manufacturing unit in Japan dedicated to the production of lithium-ion batteries. The operations of the new manufacturing unit are anticipated to commence by the end of 2023. The total investment for this endeavor amounts to ≅ USD $28 million dollars (4 billion yen).
B.A Commentary: This announcement of a battery manufacturing facility builds upon their previous collaboration, which was unveiled in January 2023. The focus of their collaboration is the development of high-capacity, high-output lithium-ion batteries for electric vehicle (EV) applications. They claim to be working on high-capacity and high-power batteries specifically for Honda's EVs. As part of Honda's electrification plan, the company has made substantial investments in battery manufacturing companies worldwide. One of their cell manufacturing partners is GS Yuasa.
Dyson to establish battery plant in Singapore as part of USD $3.4 billion dollars global investment planOn May 3, Dyson revealed plans to establish a new battery manufacturing facility in Tuas, Singapore, as part of the company's ongoing five-year investment strategy worth USD $3.44 billion dollars (£2.75 billion). The construction of the facility is projected to be completed later this year, with full operations scheduled to commence by 2025.
B.A Commentary: Dyson produces a wide range of consumer electronics products. They have planned to establish their own battery production facility in Singapore to supply battery cells for their internal needs. The production capacity and investment details of the facility have not been disclosed by the Dyson Group.
On May 10, Chinese battery manufacturer EVE Energy announced plans to establish its European factory in Debrecen, Hungary. The factory is projected to have an annual capacity of 28 gigawatt-hours and is scheduled to begin operations in 2026. The investment for this project is expected to exceed 1 billion euros, with the Hungarian government contributing approximately USD $40.66 million dollars (38 million euros) to support the initiative.
B.A Commentary: EVE Energy is one of the chosen suppliers to provide 46XX cells for BMW. As part of BMW's electrification plan, the company is partnering with various battery manufacturers worldwide to expedite their electrification efforts. In North America, Envision AESC will be supplying batteries for BMW. With the recent announcement of EVE Energy in Hungary, it is anticipated that they will supply 46XX cells to BMW's EV manufacturing facilities in Europe.
On May 9, Li-Cycle and Glencore announced they will develop a Recycling Hub by repurposing part of Glencore’s existing asset base in Portovesme, Italy. They would be producing critical battery materials from recycled battery content. The facility aims to process 50,000 to 70,000 tonnes of black mass annually, equivalent to 36 GWh of lithium-ion batteries. The feasibility study is expected to be completed by 2024, with operations to begin in late 2026/early 2027.
B.A Commentary: Li-Cycle has already established its joint venture Li-ion battery recycling spoke facility with Eco Stor AS and Morrow Batteries AS in Norway. Additionally, they have announced a Li-ion battery recycling Spoke facility in partnership with KION Group in France. Now, Li-Cycle is partnering with Glencore to establish a battery recycling hub facility in Italy. The battery black mass collected from the spoke facilities in Europe will be processed at the hub facility in Italy.
On May 26, Hyundai Motor Group and LG Energy Solutions signed a Memorandum of Understanding (MoU) to establish a 50:50 joint venture for their second battery manufacturing facility in Bryan County, Georgia, USA. The total investment for this project amounts to USD $4.3 billion dollars (KRW 5.7 trillion). The facility is expected to have a nameplate production capacity of 30 GWh. Construction is scheduled to commence in the second half of this year, with battery production slated to begin by the end of 2025.
B.A Commentary: As part of Hyundai Motor Group's electrification strategy, they are forging partnerships with battery manufacturers worldwide to establish cell manufacturing facilities and meet their growing demand. Hyundai, along with LG Energy Solutions, has already invested $3.5 billion in Ohio, USA, for their first cell manufacturing facility in the United States. Now, they are further investing $4.3 billion in Georgia, USA. It is anticipated that the Inflation Reduction Act (IRA) has encouraged Hyundai to expand its production capacity.
Rimac launches new energy brand Rimac Energy to manufacture battery energy storage solutionsOn May 4, Rimac Technology launched Rimac Energy for the development of stationary energy storage systems (ESS) for commercial and industrial applications. Rimac Energy plans to produce pilot systems for selected customers this year, with commissioning scheduled for 2024. The annual production capacity of up to 10 GWh is expected. High-volume ESS production is set to begin in 2025 at the Rimac Campus in Croatia.
B.A Commentary: Rimac Energy asserts that their Battery Energy Storage System (BESS) is constructed with an innovative electrical architecture, providing notable benefits in terms of performance, safety, and availability. These advantages include up to a 50% reduction in energy losses and a 40% smaller system footprint. Although primarily an automotive company, Rimac is now venturing into the energy business with their energy storage solutions
On May 25, Stellantis N.V. and Lyten, Inc. announced that Stellantis Ventures, the venture fund of Stellantis, has invested in Lyten's tunable three-dimensional graphene technology. This investment aims to accelerate the integration of Lyten 3D Graphene™ applications in the mobility sector, specifically for the development of the LytCell™ Lithium-Sulfur electric vehicle battery, lightweight composites, and innovative onboard sensing technology.
B.A. Commentary: Stellantis N.V. strategically invests in niche technologies, and they have recently made an investment in Lyten's Lithium-Sulfur EV Battery Technology. If this sulfur-based battery technology proves to be commercially viable, feasible, and scalable, Stellantis will have a knowledgeable partner to expedite the commercial adoption of this technology.
On May 12, it was revealed that Northvolt plans to establish a battery factory in Germany with the support of state aid from Berlin. The German Federal government, along with the Schleswig-Holstein State government, announced their commitment to provide financial assistance for Northvolt's battery cell manufacturing project. The funding will be provided under the Temporary Crisis and Transition Framework (TCTF), a new EU state-aid regime. The factory aims to achieve a nameplate production capacity of 60 GWh.
B.A. Commentary: The Inflation Reduction Act (IRA), implemented by the Biden administration in the USA, has made the North American market highly attractive for battery manufacturers. As a result, several European battery projects proposed by manufacturers have been temporarily halted, with a shift in focus towards expanding in North America. To strengthen the battery ecosystem within Germany, the German government has announced financial aid to Northvolt, allowing them to kickstart their previously proposed battery project in the country.
B.A Editorial B.A Editorial is a monthly news article curated by the B.A Community
"The Evolution of the French Battery Industry Ecosystem”
On May 11, French President Emmanuel Macron announced that the French government plans to offer tax credits for investments in renewable technologies. These credits will cover 25-40% of companies capital spending on wind and solar projects, power facilities, heat pumps, and storage batteries. The government intends to include this credit in next year's budget. Additionally, there is a proposal to limit the current 5000 Euros incentives for EV vehicle buyers in France to vehicles with a low carbon footprint and those manufactured within Europe. These new developments are expected to stimulate progress in France's battery ecosystem. Furthermore, the French government has established a 2 billion Euro fund, comprising both public and private investments, to establish a robust battery supply chain within the country (for more information, refer to our first summary).
Subsequently, ProLogium, a Taiwanese Solid State battery manufacturer, announced a 5.2 billion Euro investment in France. Moreover, French nuclear materials company Orano and Chinese manufacturer XTC New Energy have signed agreements to establish two joint ventures for the production of critical materials used in electric vehicle (EV) batteries within France (for more information, see our summaries 2 and 3). On May 15, French President Emmanuel Macron held a meeting with Tesla Founder and CEO Elon Musk to explore potential future investments by Tesla in France. The French President expressed that the introduction of these tax credits aims to make the French market an attractive destination for green technology investments. The Inflation Reduction Act (IRA) has already attracted numerous battery projects to the North American region, and now European governments are proposing tax credits to make their local markets viable for battery investments.
Battery Insiders Podcast Summary
Battery Associates runs a monthly podcast called Battery Insiders. Battery Insiders covers the role of batteries for sustainable development and battery-relevant topics featuring a range of battery experts and enthusiasts. Our podcast also includes the recordings of the Battery Revolution Clubhouse sessions co-hosted live by Mariam Awara. Battery Insiders is hosted by Bhavya Jha and Dr. Simon Engelke.
Talk on: "Battery Investments” Speaker: Qianran (Katherine) He, Digital and Energy Transformation Investment at TDK Ventures co-hosted by Dr. Simon Engelke and Mariam Awara Session Summary: On May 05, 2023, Battery Revolution Clubhouse hosted Qianran (Katherine) He, Digital and Energy Transformation Investment at TDK Ventures, who spoke on Battery Investments. Listen to the full episode here.
Talk on: "Battery Careers & Markets”
Speaker: Phoebe O'Hara, Battery Raw Materials Analyst at Fastmarkets NewGen co-hosted by Dr. Simon Engelke and Mariam Awara
Session Summary: On May 09, 2023, Battery Revolution Clubhouse hosted Phoebe O'Hara, Battery Raw Materials Analyst at Fastmarkets NewGen, who spoke on 'Battery Careers & Markets'. In this conversation, Phoebe and Simon delve into Phoebe’s battery journey, uncovering the strategies, mindset, and values. The episode also highlights the need for diversity and representation in the battery sector. Listen to the full episodehere.
Company Membership update
KPMG and Circulor announce alliance to meet growing demand for digital battery passports
KPMG and Circulor announce a new union to offer a complete package that enables customers to trace, monitor and control critical raw materials throughout their battery and other industrial value chains, from extraction to the end of a product’s “first life” and beyond. Read about the alliance here.
Battery Associates Updates & Events
Battery Day 2023
BatteryMBA September Cohort
Battery Day 2023 Join us on Thursday, September 21, 2023, for our online annual event - Battery Day 2023. Register here. Battery Day 2023 will feature panels and deep dive sessions to facilitate up-to-date knowledge of different battery technologies, future chemistries, applications, and market insights from leading battery experts. Last year's Battery Day welcomed 900+ delegates from 60+ countries with 30+ leading speakers in the battery sector. You can purchase the recordings of Battery Day 2022 to access 10+ hours of content here.
If you are interested in being involved in the event, please contact info@battery.associates. Sponsoring and speaking opportunities are available.
BatteryMBA Announcement
BatteryMBA’s ninth cohort starts on September 18, apply here! The course consists of an exciting battery case study track (with case studies from leading business schools). BatteryMBA alumni and participants work at Tesla, Airbus, JLR, Farasis Energy, Li-Cycle, Hitachi Energy, InoBat, AVL, Circulor, European Parliament, and many others. If you have any queries, reach out to us via email at info@battery.mba. Need-based scholarships and group discounts are available.
Battery Associates services
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About Battery Associates
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