The announced founding of a new subsidiary company by BASF and Toda has now been completed. BASF Toda America (BTA) will be making NCM and NCA cathode materials for use in e-mobility. The move is part of BASF’s globalisation strategy.
BASF and Today announced in December that they would be adapting their structures to focus more on expanding their business in the USA, and would be bundling their factories in Elyria, Ohio and Battle Creek, Michigan, under the terms of a joint venture.
The founding of this joint venture marks the second time BASF and Toda are cooperating. The already existing BASF Toda Battery Materials has been preparing to ramp up production capabilities and securing a supply of cathode materials to address the growing e-mobility market in North America. The German company is hoping to work better with the U.S. market with a local production facility and more direct access to consumers.
BASF is looking to set up local production globally though. The most recent production expansion was in the Japanese manufacturing plant in Onoda, which produces cathode materials with a high nickel percentage. Capacities there tripled, and the largest calcination plant has taken up operation there.
The President of BASF’s Catalysts Division, Kenneth Lane said: “With this investment, BASF is executing its vision to establish a global manufacturing presence for battery materials and responding to growing market needs.”
In Europe, BASF announced already last year to invest 400m euros to build production plants for cathode materials. The material for those parts will come from Russia and Finland however, where BASF has signed an MoU with Norilsk Nickel (Nornickel) to provide nickel and cobalt.
BASF is currently supplying components for the major vehicle platforms, and is in the qualifying process for emerging technologies that will replace the current models. One example is its recent cooperation with Sion Power as they seek to develop Li-metal batteries.
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