Two heavy weight chemical firms are in negotiations to collaborate on cathode active materials (CAM) for lithium-ion batteries in the North America market.
Japan’s TODA KOGYO CORP and Germany’s BASF have entered into exclusive negotiations with the goal of manufacturing a range of CAM for the automotive, consumer electronics and stationary storage markets.
Both parties already collaborate in Japan in the form of newly formed company BASF TODA Battery Materials LLC.
If successful the talks will lead to both firms combining their respective CAM businesses in North America, with BASF having a majority ownership stake in the proposed collaboration.
Tadashi Kubota, chairman of TODA KOGYO CORP., said: “In contrast to the highly mature mobile electronics and IT industries, the automotive lithium-ion battery market is still in its infancy period.
“Starting last year, due to a stronger demand in China, the USA and the EU market, over 30% growth per annum is now expected in the coming years.”
Kenneth Lane, president of BASF’s Catalysts division, said: “This proposed collaboration builds on the already successful relationship between BASF and TODA and reinforces BASF’s commitment to the North American cathode materials market.”