Asahi Kasei to build battery separator factory in Canada

Asahi Kasei announced that it will build an integrated factory in Ontario, Canada for base film manufacturing and coating of Hipore wet lithium-ion battery (LIB) separators. Asahi Kasei and Honda Motor Co., Ltd. (Honda) have reached a basic agreement on the plant and are currently exploring the possibility of joint investment.

Asahi Kasei Battery Separator Corp., to be established in October 2024, has reached an agreement to receive financing for the Canadian plant from the Development Bank of Japan (DBJ) through preferred shares. In addition, the investment is expected to receive financial support from the Canadian federal government and the Ontario provincial government.

Asahi Kasei's energy storage business is a key driver of its 2024 "Be a Trailblazer" plan, centered on the Hipore wet lithium-ion battery separator. With more than 40 years of innovation, the company is expanding into automotive as well as consumer electronics. Driven by clean energy policies, the new Canadian factory will be a key tool in meeting North American demand for EV battery separators and integrating into the local lithium-ion battery supply chain.

Hiroyoshi Matsuyama, senior executive officer of Asahi Kasei said:”In the medium term, the Hipore business will play an important role in Asahi Kasei's growth. This partnership with Honda comes in light of the expected growth of the electric vehicle market and the energy transition in North America. Our strong track record in the North American automotive market and aggressive electrification of its vehicle lineup positions us to make a meaningful contribution to improving lithium-ion battery performance. "

Asahi Kasei and Honda agree that the growing North American electric vehicle market requires a stable supply chain of high-performance batteries. They are exploring a joint venture to produce Hipore separators for use in batteries for Honda and other vehicles in this market.