The supply chain for batteries for electric vehicles and other manufacturing needs to be improved, the president of American Fork, Utah-based American Battery Factory Inc. said.
“On the manufacturing side all the key machining is made in China and nowhere else,” John Kern, said in a video interview.
“I’m confident that by ’27, ’28…most of the materials we need will be available in the United States,” he said.
The question is what happens between now and then.
“We don’t have enough players,” he said, referring to suppliers for the battery industry. “When can we have enough U.S. content?”
Kern was interviewed following the Battery Show in Detroit the week of Oct. 7. American Battery Factory is a lithium iron phosphate (LFP) battery cell manufacturer. One of the company’s priorities is creating a domestic battery supply chain of LFP cells.
The executive said his company is confronting is dependability of suppliers. In some cases, “you never know if they’ll meet the timeline,” he said. “Will have enough to meet our needs?”
“In order to be competitive in scale manufacturing of LFP battery cells, or any cells of that matter, we need the best chemistries, high-end machining and process data analytics to optimize production,” Kern said in a follow-up email. “For the manufacturing machines, the reality is that almost all of the best machining for battery cell production, like high-speed prismatic folding machines, is currently only made in China. We hope to eventually see American manufacturing of these machines as we start this domestic supply chain.”
On Tuesday, after the interview, American Battery Factory, announced a seven-year partnership with Tinci Materials Texas LLC to secure a supply of battery chemical materials.
American Battery Factory said in a statement the accord will help the company as it prepares to build its first gigafactory in Tucson, Arizona. Materials supplied by Tinci will be integrated into assembly of the battery cells.
“Securing a reliable supply of materials for battery cell production is one of the single most significant steps we can take as we roll out fully localized LFP batteries in North America,” Kern said in the statement announcing the agreement with Tinci.
“Working with Tinci has given us long-term stability for cell production, which is crucial as we soon enter the stage of facility construction,” Kern added. “Through this partnership, we can build batteries that have the highest ratings of longevity, safety and cost competitiveness, which allows us to build an effective domestic supply chain.”
“Our agreement with ABF aligns with our core mission, which is to foster green chemistry for a low-carbon and beautiful life,” Jared Pyland, sales engineer at Tinci Materials, said in the statement. “Demand has never been higher for clean energy solutions as we continue this global energy transition.”
In the earlier interview, Kern said the battery industry needs to improve longevity. In the Tuesday announcement, American Battery Factory said cells made at the new complex can last up to 30 years.
