German Manufacturer Will Build A New Battery Plant In The US To Invest 2 Million Euros In 5 Years

- Aug 20, 2019-

A German battery company Akasol will produce products for electric trucks and buses at the plant, which is expected to employ 200 workers and produce 400 MWh of batteries per year.

Akasol recently announced that it will establish a new plant near Detroit, USA, and plans to start producing batteries at the plant next year. This will require an investment of around 2 million euros in five years, and the Michigan government's grant will benefit the plant.

It is understood that the plant will initially produce AKASystem OEM PRC commercial vehicle batteries based on lithium-ion technology, which Akasol calls the first system to be compatible with all mainstream manufacturers' standard plug-in hybrid electric vehicle (PHEV) modules. The system is available in 25 kWh and 33 kWh versions.

Akasol said it will focus on "high energy density battery systems." The company estimates that one-third of its production will flow to existing customers, including a well-known Swedish truck and bus manufacturer, while the company is actively looking for North American customers.

Akasol CEO Sven Schultz said the new plant is a core component of the company's international expansion strategy. Schulz believes that Akasol is gradually becoming the market leader in commercial vehicle battery systems in Europe with its unique battery expertise from module to system level and the fact that it has already produced batteries on a market-leading company.

 

The company believes that Michigan has "modern manufacturing" and "strong supply chain." However, there is no particular emphasis on where the parts for producing batteries will come from, but it is well known that China is increasingly leading the lithium-ion battery manufacturing market and the supply of chemicals needed to manufacture lithium-ion batteries.

As more and more lithium-ion batteries are produced in the United States, the chemical industry and other supply chains are likely to be encouraged to move to the United States. But compared to the global capacity of more than 200 GWh, the Akasol plant's 400kWh capacity is only a fraction of a mile.