Dear battery enthusiast,
Welcome to Battery Associates’ June 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 Product Launch offer Battery Insiders Podcast B.A Updates & Events
Battery Industry Highlights
In this section, we have summarised relevant battery news from the past month.
On June 14, the European Parliament approved new rules for the design, production, and waste management of all types of batteries sold in the EU. The new law considers technological developments and future challenges in the battery ecosystem. Upon implementation, cell/pack/component suppliers to battery manufacturers in the EU and cell manufacturers in the EU must provide specific data to measure their ESG impacts. Data points include a mandatory carbon footprint declaration and label for electric vehicles, pack architecture design, digital battery passport, due diligence, stricter waste collection targets, minimum levels of materials recovered, and minimum levels of recycled content in newly manufactured batteries.
B.A Commentary: In December 2020, the EU Commission presented a proposal for the regulation of batteries and waste batteries. The goal of the proposal is to develop sustainable batteries in the EU through the implementation of rules and regulations that enhance the circularity of the battery industry. After various consultations, the proposal was approved by the EU parliament. In March 2023, the EU Commission also proposed a New Critical Raw Materials Act to ensure secure and sustainable access to critical raw materials necessary for the clean energy transition. These regulations complement other EU initiatives such as the European Green Deal, the Circular Economy Action Plan, and the New Industrial Strategy.
On June 3, the Tata Groups subsidiary, Agratas Energy Storage Solution signed an MoU with the Gujarat State government to establish a Lithium-ion Gigafactory in Gujarat, India. The facility is projected to have a nameplate production capacity of 20 GWh and an initial investment of INR 13,000 Crores (USD $1.6 billion) for phase one. In phase two, the production capacity is expected to double. Production of Lithium cells is anticipated to commence within 2 to 3 years. The facility is also expected to create over 13,000 direct and indirect employment opportunities.
B.A Commentary: Tata Group subsidiary Agratas Energy Storage Solution chose Gujarat for its facility due to the advantageous proximity to major ports, enabling seamless import and export of raw materials and finished products. In 2022, the Indian government launched the Production Linked Incentive (PLI) scheme for Advanced Chemistry Cell (ACC) Battery Storage to promote the local production of Lithium-ion batteries in India. Among the 9 bidders, 4 organizations were awarded the incentive, but Tata Group was not among them. However, Tata's extensive supply chain capabilities can enable them to manufacture batteries competitively even without government-backed incentives.
On June 13, the governor of Indiana announced that General Motors and Samsung SDI will establish a joint venture EV battery manufacturing plant in St. Joseph County, Indiana. The plant is projected to have a nameplate production capacity of over 30 GWh, with an initial investment of USD $3 billion. Operations at the facility are expected to commence by 2026. This development is anticipated to create 1,700 manufacturing jobs.
B.A Commentary: Previously, on April 26, General Motors and Samsung SDI announced their plans to establish a joint venture battery manufacturing facility in the US market. However, the exact location was not finalized at that time. Now, it has been confirmed that they are establishing a joint venture in Indiana, USA. GM's partnership with LG Energy Solution, called Ultium Cells, is already constructing three Gigafactories in the USA with a total production capacity of 140 GWh. General Motors is also expanding its production capacity in the US through collaboration with Samsung SDI.
On June 2, General Motors (GM) and POSCO Future M joint venture, Ultium CAM, announced that the overall project investment is projected to exceed USD $1 billion. Because of the addition of a Cathode Active Materials (CAM) plant and an integrated precursor materials production (pCAM) plant in Quebec, Canada. The facility is expected to commence operations by 2025.
B.A Commentary: The Canadian Federal government, as part of the Strategic Innovation Fund's Net Zero Accelerator initiative, announced its investment to support the GM-POSCO Future M JV, Ultium CAM. This investment has enabled the joint venture to expand its plan and establish an additional CAM and pCAM plant in Quebec, Canada. Both Canada's federal government and the Quebec province will contribute approximately CAD $150 million (USD $112 million) each to the JV.
On June 12, the Biden-Harris administration announced more than USD $192 million in new funding in advancing battery recycling technology including schemes and initiatives like recycling batteries from consumer products, launching an advanced battery research and development (R&D) consortium, and the continuation of the Lithium-Ion Battery Recycling Prize, which began in 2019. The initiative seeks to improve the efficiency, cost-effectiveness, and environmental sustainability of battery recycling, fostering a circular economy approach.
B.A Commentary: As per the new funding announcement, the Consumer Electronics Battery Recycling, Reprocessing, and Battery Collection initiative will receive USD $125 million in funding. An additional USD $60 million will be allocated to launch an advanced battery research and development (R&D) consortium. The remaining USD $7.4 million will be provided to the phase IV winners of the Lithium-Ion Battery Recycling Prize.
On June 16, Volkswagen's subsidiary, PowerCo, announced the development of its dry powder coating technology. According to Volkswagen's estimates, this new technology has the potential to save approximately 30% of energy and significantly lower production costs. Moreover, it requires only 15% of the floor space compared to a regular Gigafactory building block with a production capacity of 20 GWh. This translates to saving 7,000 square meters or four parallel coating and drying lines. Overall, this technology offers the potential for annual savings amounting to hundreds of millions of Euros.
B.A Commentary: To achieve scalability of their new dry coating technology, Volkswagen's subsidiary, PowerCo, has partnered with Koenig & Bauer and signed a joint development agreement to develop an industrial powder coating machine. PowerCo is currently testing and optimizing the technology in a pilot line at one of its laboratories in Northern Germany. Volkswagen claims its dry powder coating technology is expected to reach its final stage by 2024, with mass production of dry-coated cells anticipated to commence between 2026 and 2027.
On June 6, Li-Metal, a developer of critical lithium metal and lithium metal anode technologies for next-generation batteries, was awarded grant funding of USD 1.06 million (CAD 1.4 million) from various Canadian programs. These programs include the R&D Partnership Fund - Electric Vehicle, administered by the Ontario Vehicle Innovation Network (OVIN), and the Critical Minerals Innovation Fund (CMIF), funded by the Ontario Ministry of Mines.
B.A Commentary: As per the announcement, Li-Metal has received approx. CAD $931K ( USD $709,746 ) grant from the R&D Partnership Fund - Electric Vehicle, administered by the Ontario Vehicle Innovation Network (OVIN), and a CAD $500K grant from the Critical Minerals Innovation Fund (CMIF). With the funding from OVIN, Li-Metal intends to expand its production and refining capabilities for battery-grade lithium metal. Additionally, the funds will be allocated to advance pilot testing of innovative lithium metal products, including specialized lithium alloy ingots developed for next-generation batteries.
On June 16, Lyten, a battery technology company, announced the opening of the first automated Lithium Sulfur battery pilot line in Silicon Valley, USA. The pilot line is located within Lyten's 145,000-square-foot Silicon Valley campus and has a production capacity of 150 MWh per year. Starting in 2023, the Lithium-Sulfur pilot line will supply commercial battery cells to early-adopting customers in the defense, automotive, logistics, and satellite sectors.
B.A. Commentary: Lyten the Lithium-Sulfur pilot line announced that it will produce Nickel-Cobalt-Manganese (NMC) free pouch and cylindrical form factors to support a variety of customer requirements. Additionally, Lyten is securing domestic supply for its completely NMC-free battery materials, including low-emissions natural gas, sulfur, and lithium
On June 7, LG Energy Solutions and NOVONIX entered into joint research and development on artificial graphite anode material for lithium-ion batteries. Upon completion of certain steps on the JDA, LGES, and NOVONIX will enter into a separate purchase agreement, in which LGES will have the option to purchase up to 50,000 tons of artificial graphite anode material over a 10-year period from the start of mass production.
B.A Commentary: NOVONIX, with its current operating site in Chattanooga, TN, will supply IRA-compliant material to its customers in the United States. Additionally, they have secured a US$150 million grant from the Department of Energy to support their expansion. After meeting LGES requirements, mass production of the Artificial Graphite Anode Materials is scheduled to begin in their Tennessee-based facilities by 2026.
On June 26, LG Chem announced its mass production of single-crystal high-nickel cathodes for next-generation batteries such as 4680 cylindrical cells (with external dimensions of 46 millimeters in diameter and 80 millimeters in height) from existing pouch-type batteries at its cathode plant located in Cheongju, Seoul. LG Chem intends to extend its single-crystal high-nickel cathode production line to the Gumi plant by 2027, aiming to boost the overall annual nameplate production capacity to over 50,000 tons.
B.A. Commentary: During the pilot stages, LG Chem plans to blend single-crystal cathode materials with traditional cathode materials in a ratio of 2:8. As the process progresses, the company plans to gradually transition to cathode materials composed entirely of 100% single-crystals. LG Chem claims that this newly developed cathode material will help boost the next-generation battery lifespan by more than 30% and increase the capacity by 10% or higher.
B.A Editorial B.A Editorial is a monthly news article curated by the B.A Community
"Building a sustainable powerhouse: Eurozone's vision for eco-friendly batteries and stringent ecosystem measures”
On June 14, 2023, the European Parliament approved new regulations for the design, production, and waste management of batteries sold in the European Union (EU). The goal is to establish stringent standards that promote sustainable battery ecosystems. During the proposal process, concerns have been raised by stakeholders regarding the feasibility of these regulations.
Following the presentation of the proposal on December 2020, Numerous position papers were published by various organizations.The European Association of Energy Storage published a position paperin April 2021 expressing concerns about battery recycling rates and technical challenges in accessing data from batteries without a Battery Management System (BMS). In October 2021,DIGITALEUROPEhighlighted the feasibility of implementing verification and validation processes for waste batteries. In January 2022,Eurobatand other organizations raised concerns about recycling targets and verification/validation of waste batteries and many more.
After considering the suggestions and recommendations from various associations, the European Parliament has approved the new regulations. The EU has also proposed a timeline for adopting the requirements outlined in the regulations and the law goes into effect on the twentieth day following its publication in the Official Journal of the European Union. Now, stakeholders in the battery value chain within the EU must take the necessary steps to comply with the new regulations.
Upstream players need to implement complex due diligence processes to ensure sustainable material sourcing. Midstream players, such as cell manufacturers, should adopt advanced manufacturing technologies to reduce the carbon footprint of individual cells. Battery pack manufacturers need to focus on designing battery packs that promote circularity in their architecture. Downstream players must adopt better traceability and validation methods to monitor and track batteries. However, implementing many of the rules proposed by the EU battery regulations is challenging due to the limited availability of existing standards and protocols. This poses a risk to the battery ecosystem in Europe.
To support and guide organizations through the complex journey of complying with the EU Battery Regulations, Battery Associates has developed a comprehensive one-stop solution platform. This platform addresses various challenges related to the implementation of the new regulations. To learn more about our product, please visit our newly launched website.
Product Launch offer
Limited-time offer! Be among the first 25 companies to grab our exclusive launch package. Get a 30-min expert call and an AI-powered tool for just €150. Understand EU battery regulations like never before. Act fast and secure your spot now! Visit our website.
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: Trends in Batteries - Finance Perspective
Speaker: Lauren Pamma, Director at Green Finance Institute hosted by Dr. Simon Engelke.
Session Summary: On May 09, 2023, Battery Revolution Clubhouse hosted Lauren Pamma, Director at Green Finance Institute, who spoke on Trends in Batteries - Finance Perspective. In this conversation, Lauren and Simon explore the trends and developments in the battery space. The episode highlights the opportunities in batteries from a finance perspective and also examines the challenges in the automotive sector. Listen to the episode here.
Talk on: Battery Regulation - Battery Passport
Speaker: Luise Müller-Hofstede, Director Of Business Development at Circulor, and Ilka von Dalwigk, Policy Manager at InnoEnergy hosted by Dr. Simon Engelke.
Session Summary: On May 24, 2023, Battery Revolution Clubhouse hosted Luise Müller-Hofstede, Director Of Business Development at Circulor, and Ilka von Dalwigk, Policy Manager at InnoEnergy, who spoke about the Battery Regulation - Battery Passport. In this conversation, Luise and Ilka discuss the circularity and sustainability in the battery industry and how the battery space is actively working on developing tools to make them meaningful and beneficial. They dived into the various Battery Passport initiatives like the BMWK-funded battery passport project and GBA pilots launched in 2022. The episode also highlights how the battery passport will simplify reporting, auditing, and compliance for companies, enhance visibility and control in supply chains, and enable transparent communication with consumers about sustainability and ethical sourcing. Listen to the episode 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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