DNP Acquires US Site for Lithium-Ion Battery Pouch Factory
US EV Demand Expected to Grow
Tokyo, November 29, Dai Nippon Printing Co., Ltd. (DNP) has acquired land in Linwood, Davidson County, NC, USA, to construct a factory that will produce battery pouches that encase and protect lithium-ion batteries.
Image of lithium-ion battery pouch for EV
Amid the worldwide trend against global warming, countries and regions have come up with policies such as Carbon Neutrality and Green Recovery. Japan, the European nations, the United States, and the People’s Republic of China are actively developing and introducing electric vehicles (EV).
In the United States in particular, the Inflation Reduction Act (IRA) was enacted in August 2022 in order to swiftly advance energy security and climate change countermeasures. And taking advantage of this opportunity, the market is expanding on the back of subsidies for the introduction of EVs. For their part, manufacturers of batteries and components are proactively investing in the United States in order to build a supply chain for automotive lithium-ion batteries in that market.
DNP has leveraged a material processing technology, known as converting technology, to develop battery pouches DNP has been in commercial use since the late 1990s. We currently provide our products to domestic and overseas battery manufacturers, and our superior quality and long-standing track record have earned DNP the top global market share.
DNP already operates domestic battery pouch production plants at Tobata in Fukuoka Prefecture and Tsuruse in Saitama Prefecture1. Overseas, DNP Denmark, a DNP Group company, is building an optimal production and supply system, and has established a new plant for slitting jumbo rolls for battery pouches. In this latest development, we have acquired land to open a new battery pouch factory in response to further expected growth in US EV demand.
Linwood, Davidson County, NC, USA
Manufacture of exterior materials for automotive lithium-ion batteries
DNP aims to start operating a battery pouch slitting line for automotive lithium-ion batteries in the United States in 2026, and we are considering an investment of 10 billion yen to acquire factory land and install the slitting line. Depending on market conditions and demand, we will consider the expanding that facility and manufacturing jumbo rolls on the same site.
DNP aims for annual sales of approximately 100 billion yen from battery pouches for lithium-ion batteries by FY 2025. In addition, we will continue to develop and manufacture a variety of other environmentally friendly products, contributing to the realization of a decarbonized society.
1: For further information on the Tsuruse plant, please visit: https://www.global.dnp/news/detail/20167138_4126.html
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*Product specifications and service details referred to in this news release are current as of the date of the announcement. They may be changed without notice.