Solus Advanced Materials Expects to Benefit from 'EU Industrial Acceleration Act'... Local Procurement Essential

by Lim Chunhan

Published 10 Mar.2026 08:12(KST)

Solus Advanced Materials stated on March 10 that, following the announcement of the European Union’s Industrial Acceleration Act (IAA), the company expects to benefit directly thanks to its copper foil plant in Hungary.

Solus Advanced Materials Expects to Benefit from 'EU Industrial Acceleration Act'... Local Procurement Essential

The European Commission has unveiled the Industrial Acceleration Act as part of its “Made in Europe” strategy. The core objective is to strengthen the competitiveness of European manufacturing by localizing the supply chains of strategic industries, such as electric vehicles. Through this initiative, the EU aims to increase the proportion of manufacturing within the EU from the current level of about 14% of gross domestic product (GDP) to 20%.

According to the Act, a certain proportion of EU-manufactured parts is required to qualify for electric vehicle subsidies, public financing, or public procurement. Excluding the battery, at least 70% of electric vehicle components must be produced within the EU, and for batteries, at least three core components must be sourced locally. These requirements will be expanded in phases. The Act designates ten core battery components, including battery cells, battery packs, cathode materials, anode materials, and current collectors-of which “copper foil” is included as a current collector.

Solus Advanced Materials currently operates a copper foil plant for electric vehicle batteries in Tatab?nya, Hungary. Major battery manufacturers operating in Europe-including Korean battery companies, ACC, and CATL-are all customers, so the company is expected to benefit directly from increased local demand for copper foil as European production expands.

Solus Advanced Materials’ Hungary Plant 1 and Plant 2 have a combined annual production capacity of 38,000 tons, representing the only mass production base for electric vehicle battery copper foil in Europe. Since 2019, the company has established stable mass production as the first copper foil supplier to launch local production in Europe. Last year, Solus Advanced Materials secured four new customers, and full-scale mass supply is set to begin in the second quarter of this year.

With this announcement, the strategic value of Solus Advanced Materials-having secured a production base within Europe-is expected to become even more prominent. As the only company producing copper foil for batteries in Europe, its monopoly position will be further strengthened, establishing the company as an essential partner for local battery manufacturers.

A representative of Solus Advanced Materials commented, “Under the IAA policy, local procurement within Europe is an indispensable requirement. We plan to further accelerate our medium- to long-term growth by expanding supply chain cooperation with European battery customers, centered on our production base in Hungary.”