China: Degussa backs growth market for lithium-ion batteries

24-Jun-2005

Degussa AG and the Japanese company ENAX, Tokyo, are establishing a joint venture to collaborate in the highly attractive field of materials for lithium-ion batteries. An agreement to this effect has been signed in Shanghai. Both partners will hold a 50 percent stake in the joint venture. ENAX is both the technology provider and the future research partner for the joint venture. Through the joint venture Degussa acquires a worldwide exclusive license to manufacture highly-developed electrodes for lithium-ion batteries.

Once all the approvals have been obtained from the Chinese authorities, the new company will start business operations under the name "Degussa Enax (Anqiu) Power Lion Technologies Co., Ltd.". The joint venture is headquartered in Anqiu, in the northern Chinese province of Shandong. The electrodes are to be produced at the Anqiu site and then used at the ENAX sites at Tianjing near Beijing and at Yonezawa in Japan. The medium term plans include supplying electrodes to other battery manufacturers in the Asia region.

Degussa Management Board Chairman Prof. Utz-Hellmuth Felcht comments: "The new joint venture underlines our determination to systematically expand Degussa's presence in the attractive markets of Asia. We want to generate 25 percent of Group sales in Asia over the long term."

With the SEPARION® battery separator Degussa has developed a new type of ceramic membrane that improves the performance of large-volume lithium-ion batteries and makes them safer. These are essential factors if lithium-ion batteries are to be used more extensively in modern electric and hybrid electric vehicles. The electrodes produced by the new joint venture will enable Degussa to expand its portfolio to include another important component for manufacturing safer lithium-ion batteries. At the same time Degussa is making an essential contribution to the mobile energy supply of the future.

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