The newly-founded Brussels-based European EV battery materials producer IONWAY has decided to build its first CAM production plant in Nysa, Poland, next to Umicore’s existing CAM plant. With the support of Volkswagen Group-owned PowerCo SE and Umicore, the joint venture plans to increase its annual production capacity to 160 GWh by the end of the decade, which is equivalent to 2.2 million battery-electric vehicles. This move by IONWAY will contribute to the European Union’s Green Deal goals by promoting the establishment of regional, sustainable, and transparent battery value chains.
“We are excited with today’s announcement, as it marks the operational first step of IONWAY and an important step in the expansion of Umicore’s European local-for-local integrated battery materials value chain,” said Mathias Miedreich, CEO of Umicore.
Jörg Teichmann, Chief Purchasing Officer of PowerCo, stated, “IONWAY gives both PowerCo and Umicore a significant first-mover advantage in the fast-growing e-mobility market in Europe. PowerCo has now co-created what it was looking for: a battery materials supplier to secure and build-up manufacturing capacity for reliable and cost-competitive precursor and cathode material production based on responsibly sourced raw materials.”
The investment in Nysa has received strong support from the Polish government, which is expected to create approximately 900 industry jobs in the area by the end of the decade. IONWAY will receive €350 million in cash grants under the Temporary Crisis and Transition Framework (TCTF) from the Polish government, with a total investment of up to €1.7 billion (€1.35 billion after grants). The TCTF aims to provide support for sectors crucial to the transition to a net-zero economy, in line with the Green Deal Industrial Plan.
“We are thankful for the Polish government’s support in IONWAY’s choice for Nysa. The strategic location of the joint venture’s battery materials plant in Poland, right next to Umicore’s own battery materials plant, which is still unique in Europe, will further enable the transition to electric driving that is truly sustainable,” added Mathias Miedreich, CEO of Umicore.
The preparation of the site, engineering, and permitting processes are currently underway, with construction scheduled to begin once the permitting is completed. The plant’s production is expected to start soon after the construction is finished, ensuring PowerCo’s CAM demand for the Salzgitter cell gigafactory is met by the existing production capacity of Umicore in Nysa by 2025.
The choice of Nysa and Poland for the plant is based on their strategic location with access to renewable energy sources, a skilled workforce, and the support from the Polish government. Additionally, the production facility will benefit from Umicore’s CAM knowledge in Nysa and easy access to raw materials from Umicore’s refining operations in Finland.
“Today’s launch of IONWAY signals PowerCo’s and Umicore’s commitment to sustainable progress that makes electric cars affordable for everybody, starting now,” said Thomas Jansseune, CEO of IONWAY.
IONWAY will produce tailored high-performance CAM and related precursor materials (pCAM), supplying them to PowerCo’s European battery cell gigafactories. The selection of the site for IONWAY’s pCAM plant is ongoing and will be announced at a later date.
pCAM and CAM are crucial components of rechargeable batteries, and their performance plays a key role in the powertrain transition to e-mobility. Producing ultra-pure CAM is particularly critical, as it is the most valuable component of the battery.
Press Release: PowerCo and Umicore set up pre-eminent new European battery materials player
Umicore and Volkswagen Group-backed battery company PowerCo have announced the name and branding of their joint venture for large-scale industrial production of CAM and pCAM in Europe. The joint venture, headquartered in Brussels and named IONWAY, aims to increase its annual production capacity to 160 GWh by the end of the decade, enabling the production of 2.2 million battery-electric vehicles.
About Ionway
Please refer to the website of the new company: www.ionway.com.
About PowerCo
PowerCo is a Volkswagen Group company that manages global battery activities. It oversees international factory operations, the development of cell technology, and the integration of the value chain. PowerCo plans to establish cell factories with a total capacity of 240 GWh/year by 2030.
About Umicore
Umicore is a leading circular materials technology group that focuses on areas where its expertise in materials science, chemistry, and metallurgy can make a difference. It operates in three business groups: Catalysis, Energy & Surface Technologies, and Recycling. Umicore generates the majority of its revenues from clean mobility materials and recycling, with the goal of sustainable value creation.