PowerCo and Umicore receive full regulatory approval for battery materials production in Europe.
Play the article!

PowerCo and Umicore receive full regulatory approval for battery materials production in Europe.

PowerCo and Umicore prepare for large-scale industrial production of cathode active materials to power over 2 million electric vehicles annually by the end of the decade.

PowerCo, the battery subsidiary of Volkswagen Group, and Belgian circular technology group Umicore have announced that they have received full regulatory approval for their joint venture to produce cathode active materials (CAM) and precursor materials (PCAM) for electric vehicle batteries. The joint venture, which was announced in September 2022, is a strategic move for both companies as they look to secure their positions in the growing market for electric vehicles.

CAM is a crucial component of electric vehicle batteries, as it is responsible for battery performance and is the single biggest contributor to overall battery cost. By producing CAM and PCAM in Europe, the joint venture aims to reduce the cost of electric vehicle batteries and increase their performance, making them more competitive with traditional gasoline-powered vehicles.

The joint venture will supply PowerCo’s European battery cell factories with key materials for production from 2025 onwards. By the end of the decade, the joint venture is on track to produce CAM and PCAM for a targeted 160 GWh cell capacity per year, which is equivalent to an annual production capacity capable of powering about 2.2 million fully electric vehicles. This is a significant contribution to the green mobility transition and the development of a sustainable and fully integrated European battery supply chain.

The joint venture is headquartered in Brussels and will cover a large part of PowerCo’s EU demand, while also providing Umicore with secured access to an important part of the European demand for EV cathode materials. The production site search is ongoing, and the location of the site and the name of the joint venture will be disclosed in due course.

This joint venture is an important step for both companies and for the development of electric vehicles in Europe. With regulatory approval in hand, they can now swiftly proceed to prepare for large-scale industrial production of CAM and PCAM.

Click here and follow us on Google News for regular EV updates.

Spread the love

Leave a Comment

Your email address will not be published. Required fields are marked *