Solus Advanced Materials Partners with Toyota Tsusho to Establish North American Battery Foil Production Venture

Seokwangbyeok, CEO of Solus Advanced Materials (second from left), and Naoki Saito, CEO of Toyota Tsusho Metal Division (second from right), are posing for a commemorative photo at the MOU signing ceremony on the 31st.
[Photo by Solus Advanced Materials]

[Asia Economy Reporter Kim Heung-soon] Solus Advanced Materials (formerly Doosan Solus) is teaming up with Japan's Toyota Tsusho to target the North American market for the first time in the battery foil industry.

On the 31st, Solus Advanced Materials and Toyota Tsusho signed a memorandum of understanding (MOU) to establish a joint venture (JV) in the North American region for the production and sale of battery foil, a copper foil used in secondary batteries.

The two companies are considering establishing a production system capable of producing 30,000 tons of battery foil annually as early as 2024 through the joint venture. They plan to hold further discussions regarding site selection and additional investment for expansion in response to the growing North American electric vehicle market.

Toyota Tsusho, a Japanese general trading company, focuses on procuring materials and parts including automobiles and has a global logistics network. Solus Advanced Materials and Toyota Tsusho also plan to cooperate on process optimization, raw material procurement, and sharing sales bases to successfully enter the North American electric vehicle market.

According to the United States-Mexico-Canada Agreement (USMCA), which came into effect in July last year, automakers must source at least 75% of key materials and parts locally to receive tariff benefits. Coupled with the spread of protectionism, the related industry expects North American customers’ preference for local procurement of battery foil, a core material for secondary batteries, to increase further.

Seo Gwang-byeok, CEO of Solus Advanced Materials, said, "The signing of the MOU is significant as it recognizes Solus Advanced Materials’ technological capabilities and competitiveness," adding, "The joint entry of Solus Advanced Materials and Toyota Tsusho into North America will serve as a good model for building the electric vehicle ecosystem."

This content was produced with the assistance of AI translation services.