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Home » U.S. Battery Manufacturers Form Coalition to Boost Domestic Supply Chain

U.S. Battery Manufacturers Form Coalition to Boost Domestic Supply Chain

3D RENDERING OF A ROBOTIC ARM MANUFACTURING SOLID-STATE BATTERIES

Photo: iStock / PhonlamaiPhoto

August 8, 2024
SupplyChainBrain

U.S. battery manufacturing companies have formed a new coalition to push for more investments in a domestic supply for critical materials. 

The Battery Advocacy for Technology Transformation (BATT) includes suppliers and firms such as Mitra Chem, Xerion Advanced Battery Corp. and Orbia Fluor & Energy Materials, among others. Its goal is to lobby Congress and the White House to boost tax credits for U.S. suppliers manufacturing battery materials and components, use tariffs to ensure a "level playing field" with companies in other countries, and to tighten rules around sourcing to disqualify certain materials imported from "entities of concern," such as China. According to BATT, China currently accounts for the vast majority of global production and supply of most lithium-ion battery materials, including 90% of anodes, 75% of cathodes and 75% of separators.

“Our technology can compete in a free and open market, but unfortunately the domestic battery materials supply chain is up against a foreign supply chain that has benefited from decades of support from foreign governments,” Orbia vice president Miki Oljaca said. “Policy makers need to understand the depth and breadth of these on-going challenges for domestic manufacturers and what is needed to support this critical U.S. industry."

The U.S. has made it a priority in recent years to reduce its reliance on imported battery materials. In November of 2023, the Department of Energy (DOE) announced $3.5 billion in funding to build new domestic processing facilities for battery materials, and to retrofit existing facilities to expand manufacturing. In August of 2024, the DOE also put $63 million into battery recycling programs for state and city governments. 

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