Dec 14 (Reuters) – Redwood Components is the newest firm to set up store in South Carolina’s escalating community of electric car and battery brands, the Carson Town, Nevada-based mostly firm explained on Wednesday.
Redwood stated it will develop a $3.5 billion battery materials campus in Ridgefield, about 30 miles (48.28 km) northwest of Charleston, that will recycle, refine and remanufacture cathode and anode supplies these kinds of as nickel, cobalt, lithium and copper.
Anode and cathode parts, which make up most of an EV battery’s cost, are not nevertheless manufactured in North America.
But various organizations have declared plans to make these elements in North The us by mid-10 years, to take gain of incentives designed into the U.S. Inflation Reduction Act. The IRS aims to decrease imports of batteries and elements from China, which controls the move of refined minerals this kind of as nickel and cobalt.
The Ridgefield facility aims to start out recycling late future year and ramp up component production potential to 100 gigawatt-several hours by 2025 — enough to source battery resources for extra than a million electric powered automobiles, the enterprise said.
The Redwood Elements campus, which is located in close proximity to the U.S. assembly plant for Volvo (0175.HK) and Polestar electric vehicles, has the potential to increase to 400 GWh, which would involve a number of billion dollars of further expenditure, a enterprise official stated.
The Ridgefield facility is envisioned to supply battery resources to Ford Motor (F.N) and SK On in Kentucky, Toyota Motor (7203.T) in North Carolina and Volvo and Envision AESC in South Carolina.
South Carolina by now is property to auto brands BMW (BMWG.DE) in Greer, Mercedes-Benz Vans in North Charleston, Arrival (47K.F) in Rock Hill and Proterra (PTRA.O) in Greenville and Greer.
Volvo is developing a battery plant future to its assembly facility in Ridgeville and BMW is partnering with Imagine AESC on a $700 million battery plant in Woodruff.
A second North American “battery belt” is springing up in Canada, in Becancour, Quebec, on the St. Lawrence River.
Among the the firms setting up or considering investments in battery substance refining and producing facilities there are Standard Motors (GM.N), Ford and Volkswagen (VOWG_p.DE), as well as suppliers SK, BASF (BASFn.DE) and Posco Chemical (003670.KS) and mining/refining corporations Umicore (UMI.BR) and Nouveau Monde (NOU.V).
Reporting by Paul Lienert in Detroit Enhancing by Josie Kao
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