Automotive News   |   Automotive News Europe   |   Autoweek   |   Automobilwoche

Automotive News China Newsletter
Register our free newsletter, sent each Monday and Thursday

     Automakers   Suppliers   Auto Show   Comment   Car Cutaway   Newsletters   Press Releases   Register for Newsletter
  Contact Us:   Editorial   Advertising   Subscription Information   |   About Us   Media Kit
Home >> Suppliers Email this story   Print this story
Dutch company to invest 12.8 billion yuan in China battery cell plant
Bloomberg | 2018/10/23

Dutch battery maker Lithium Werks is investing 1.6 billion euros (12.8 billion yuan) in a massive lithium ion cell factory in China to meet surging demand for batteries.

The factory will have production capacity of 8 gigawatt-hours per year, or the equivalent capacity of batteries to power 160,000 cars.

It will be the company's second Chinese manufacturing site and should start production in early 2021, Chairman Kees Koolen said.

The company will provide 20 percent of the cost in equity capital and raise the rest in project finance from a consortium of Chinese banks.

"We're in China again because it moves faster than others. It makes decisions quickly," Koolen said. "We're also in discussions with European governments but they're just doing a lot of talking."

Batteries will play a key role in the energy industry to complement the increasing share of intermittent renewable power, and in the auto industry as a cleaner alternative to gasoline and diesel engines prevalent in cars, buses and trucks across the world.

The deal is part of a broader partnership signed last week between the Netherlands and China.

Lithium Werks is focusing on making batteries for uses beyond electric vehicles, betting that everything from forklifts to boats and mining equipment will soon also run on electricity. Koolen expects revenue will reach $1 billion by 2020 and he plans to have 10 battery factories in operation by 2025.

The company was founded at the start of the year by combining startups with different competences along the battery manufacturing value chain. Deals include a division of cell maker A123 Systems, as well as Valence Technology and Super B, which both bundle cells into battery packs. Koolen expects to close two more deals before year end and several more in 2019.

Related Stories
  • Automotive Energy Supply targets EV makers with first China battery plant
  •     --Published:2019/16/4
  • BYD, worried about nickel supplies, welcomes JV talks
  •     --Published:2019/12/4
  • CATL considers big expansion for German battery plant
  •     --Published:2019/5/3
  • Evergrande Health takes 1.06B yuan stake in Chinese auto battery maker
  •     --Published:2019/29/1
  • Germany backs r&d center for EV battery technology to rival Asia producers
  •     --Published:2019/25/1
  • CATL plans battery cell output of 60 GWh at German plant
  •     --Published:2019/25/1
  • Toyota, Panasonic plan EV battery venture to challenge Chinese rivals, source says
  •     --Published:2019/22/1
  • LG Chem to spend $1.07B to expand battery plants in China
  •     --Published:2019/15/1
  • Inside the race for next-generation EV battery supremacy
  •     --Published:2019/8/1
  • LG, Samsung take heart as China flags more open car battery market
  •     --Published:2018/21/12
  • S. Korea's SK Innovation to invest $354M in EV battery parts plant
  •     --Published:2018/9/10
  • Chinese lithium producer inks 5-year supply deal with BMW
  •     --Published:2018/2/10
  • CATL to develop batteries for SAIC-GM's electrified vehicles
  •     --Published:2018/11/9

    Our Newsletter Editions
    Automotive News China produces two email newsletters each week. You can sort your news by the articles highlighted in each of our newsletters here.

    Select your newsletter     


    Automotive News China
    Room 1303, Building 2, Lane 99, South Hongcao Road,
    Shanghai 200233
    Telephone: 86-139-1851-5816
    Fax: 86-21-6495-0895
    Home | Help Center | About Us | Privacy Policy | RSS
    Entire contents © Crain Communications, Inc.
    Use of editorial content without permission is strictly prohibited. All Rights Reserved.