According to Minister of Economy, Trade and Industry Ken Saito, the government will provide up to 350 billion yen (USD 2.44 billion) for 12 projects involving storage batteries or related parts, materials, or production equipment.

“We hope that these efforts will strengthen Japan’s storage battery supply chain and the storage battery industry’s competitiveness,” Saito said, as reported by Reuters.

According to reports from Japanese media, the action will help increase the nation’s yearly production capacity for storage batteries by about 50% to 120 gigawatt-hours (GWh), from 80 GWh at the moment.

“The government backing included support for investments by Toyota, Nissan Motor, and joint projects that Panasonic Holdings’ energy unit would run with automakers Subaru and Mazda Motor, respectively,” Saito said.

The latest assistance follows the Fumio Kishida government’s June 2018 announcement of nearly USD 1 billion in subsidies, with the first batch to be awarded in April 2023, for the production of storage batteries.

With its battery subsidiaries Prime Planet Energy and Solutions and Primearth EV Energy, Toyota would invest a total of roughly 245 billion yen to increase solid-state and prismatic battery production capacity by 9 GWh, according to the industry ministry. Toyota is also opening a new EV battery plant to supply upcoming Lexus EVs, which are slated to open by 2029.

Toyota plans to begin battery deliveries in November 2026. The Yomiuri newspaper reports that the plan calls for the construction of battery plants in the prefectures of Hyogo and Fukuoka.

Toyota acknowledged in a statement that the ministry had approved the plans for the development and manufacturing of its solid-state and next-generation batteries. Still, it did not provide details about the new plants or the amount of money it would be investing.

Nissan announced in a statement that the government had certified its plan to manufacture lithium-iron-phosphate batteries. The carmaker planned to incorporate these batteries into small cars starting in the 2028 fiscal year.

It stated that it would receive up to 55.05 billion yen in support for achieving its domestic production capacity of 5 GWh annually.

Japan’s Panasonic will build EV battery parts for Subaru and Mazda as it teams up with them to boost domestic production. It’s expected to invest around USD 3.8 billion (550 billion yen).

Meanwhile, as per another report from Electrek, Toyota and Nissan will lead the efforts of the Japanese automobile industry that will invest USD 7 billion (1 trillion yen) to boost the nation’s EV battery output. The Japanese government will help as it aims to establish a domestic supply chain while moving away from China and South Korea, which currently dominate the market.

Japan has been seen as one of the biggest laggards as the industry shifts to all-electric. Sales of domestic EVs fell 39% in the first half of the year.

According to the Japan Light Motor Vehicle and Motorcycle Association, domestic passenger EV sales totalled 29,282 through June 2024, down 39% from 2023. Electric vehicle share of passenger vehicle sales slipped 0.7% from the first half of 2023 to 1.6%.

As per a spokesperson of the Japan Automobile Importers Association (JAIA), foreign brands are taking Japan’s EV market by storm. China’s BYD, for example, is offering a “wider variety of models than domestic manufacturers.

BYD’s passenger car imports surged 184% in the first half of 2024. Although only 980 BYD models were imported, BYD is gaining a foothold as new models hit the market.

After launching its first EV, the Atto 3, in Japan in January 2024, BYD has introduced other top-selling models, including the Dolphin and, most recently, the Seal. BYD launched the Seal EV in Japan in June, with starting prices around USD 33,100 (5.28 million yen).

In fact, BYD can now launch low-cost EVs as it controls nearly its entire supply chain. The Chinese automaker, often touted as Tesla’s rival, has emerged as the second largest EV battery maker globally, behind CATL.

As Japan looks to secure an EV battery supply chain, domestic companies, including Toyota and Nissan, are investing heavily.

The post Through USD 2.4 billion package, Japan eyes breaking China’s EV battery monopoly appeared first on International Finance.

The plant is expected to be operational in 2027 and produce anodes for approximately 90 gigawatt-hours of battery capacity per year. By the 2024 end, the company plans to begin supplying prototype battery cells to automakers for testing. The company aims to supply products on a large scale by 2027/2028.

In today’s episode of the “Start-up of the Week,” International Finance will talk about Addionics in detail.

Knowing The Company In Detail

Established in 2017, Addionics specialises in battery technology within the energy sector. The company offers rechargeable batteries with architecture applicable to current and emerging lithium-ion battery (LIB) technology. Addionics is serving sectors requiring advanced energy storage solutions, leveraging both hardware innovations in smart 3D current collectors and software-driven AI optimisation for performance attributes. It was founded in 2017 and is based in London, United Kingdom.

“As well as investing in Addionics, General Motors and Scania are potential customers for the company’s porous, three-dimensional copper and aluminium electrode battery materials that use less material – including 60% less copper,” Reuters reported.

Addionics says the electrodes, which look like sheer silk scarves when held up to the light, provide faster charging and boost electric vehicle range by 30%. It forecasts savings for automakers up to USD 7.50 per kilowatt hour.

Addionics CEO Moshiel Biton told Reuters that the company has been working with or talking to virtually all the major automakers in Europe, Japan and the United States.

As per Addionics, “3D Current Collectors” allow cheaper, lighter, faster-charging, and more conductive batteries. The unique architecture of the product allows a higher loading of the active material, while reducing weight and cost. And the start-up is here to make the “3D Current Collectors” a reality.

Addionics’s Breakthrough Technology

The “3D Current Collectors” enables higher battery output while also achieving greater savings. When it comes to the cost factor, the “3D Current Collectors,” during its construction phase, use up to 60% less copper and aluminium. In terms of performance, the product provides higher power, faster charging, more energy-dense, and lower cost with no safety and lifecycle compromises.

A proprietary battery cell modelling platform guides Addionics’ 3D battery manufacturing, optimising structures for specific performance outcomes. The same manufacturing process also turns recycled scraps of copper into advanced current collectors. It also reduces emissions during the production phase by optimising the electrodes’ drying process and minimising material use. Along with improved vehicle efficiency, the process can impact the industry and the global effort of decarbonisation.

Addionics remarked, “We did not invent the concept of 3D metal structures for battery electrodes. The concept and its benefits were previously mentioned by the academia while some companies tried to integrate these structures into batteries by using products from different industries. However, their efforts were unsuccessful, due to the lack of a battery-graded product. This means that there was no manufacturing process dedicated to battery current collectors, and this is exactly what we have been focusing on since day one.”

“Addionics’ novel 3D structure minimises the internal resistance and improves mechanical longevity, thermal stability and other fundamental limitations and degradation factors in standard batteries. This process results in a significant step-change in production costs and the performance of all key battery characteristics simultaneously,” the start-up commented.

Addionics employs unique in-house optimisation, artificial intelligence (AI), and a modelling platform that integrates into a battery’s hardware to create a smart, complete solution.

Here Is The Product Line-Up

Talking Addionics’ advanced “3D Current Collector” technology, delivers superior performance, apart from reducing production costs and boosting capacity. The unique 3D structured foil increases the coating surface area, strengthening the bond with the active material, and creating a highly porous structure for better performance.

“This design minimises degradation, improves capacity, and shortens charging time, enhancing efficiency and battery life. Our scalable manufacturing processes ensure high-quality, cost-effective 3D structured foils for diverse energy storage applications. Addionics’ advanced 3D Current Collectors offer superior performance while achieving up to 60% copper reduction, showcasing their exceptional efficiency and material optimisation,” the start-up noted.

The “3D Current Collector” provides higher energy density, allowing for enhanced battery performance, apart from enabling higher loading of the active material, enhancing the capacity of the battery. The enhanced structure reinforces the electrode, reducing the risk of deformation, cracking, or delamination during the battery operation.

“The manufacturing of 3D aluminium foil represents an innovative and efficient solution for EV battery-grade materials. With its scalable design, it offers adaptability to changing production needs while reducing reliance on manpower. The flexible design enables quick pattern changes and customisation. This advanced manufacturing method opens up new possibilities for creating superior batteries, empowering clients to unlock enhanced performance and efficiency in their battery technologies,” Addionics commented.

The next prominent product is the “3D Anode Current Collector.” which boosts the coating of the battery’s surface area, strengthening the bond with the active material for better performance.

“Our proprietary design minimises degradation, improves capacity, and shortens charging time, leading to greater efficiency and longer battery life. With scalable manufacturing, we deliver high-quality, cost-effective 3D foils, making our technology accessible for diverse energy storage applications,” the start-up explained its “3D Anode Current Collector” in the following words.

Addionics’ advanced “3D Current Collectors” offer superior performance while achieving up to 60% copper reduction, showcasing their exceptional efficiency and material optimisation. The tool has emerged as a cost-effective solution for energy storage applications with a favourable price-performance ratio, thereby promoting sustainable practices in the battery industry.

These “3D Current Collectors” seamlessly integrate into current battery production needs, offering a drop-in solution for easy adoption. Their enhanced electrode mechanical stability reinforces the electrode, reducing the risk of deformation, cracking, or delamination during battery operation.

The facility, being set up to produce “3D Copper Current Collectors,” (designed for EV battery-grade applications) has also been a first of its kind. The facility enables fast changes and flexible adjustment of the 3D porous media parameters, ensuring efficient manufacturing, along with enabling quick setup, rapid changes, and seamless deployment. Additionally, it minimises manpower requirements, ensuring efficient utilisation of resources.

Addionics’ Contribution To The Circular Economy

Addionics’ unique manufacturing process for anode copper collectors uses scraps of copper, helping the EV industry save natural resources and prevent emissions associated with mining and refining this metal. As copper demand rises with the growth of electrification, the supply and price of the material are becoming major issues for the industry and nations.

Addionics’ answer to the problem has been the usage of 100% recycled copper to produce its advanced “3D Anode Current Collectors.”

“Addionics’ innovative solution, which can work with both recycled copper and aluminium, reduces copper usage by 60%, enhancing cost-effectiveness and sustainability by minimising reliance on this critical resource. Through optimised battery architecture, Addionics significantly decreases the environmental impact associated with battery production, reducing emissions per battery pack across various chemistries,” the venture stated.

Addionics’ technology enables highly efficient manufacturing processes, leading to a significantly lower carbon footprint per square metre of foil produced. This energy-efficient approach aligns with circular economy principles, enhancing production efficiency while reducing resource consumption. Additionally, Addionics’ battery architecture contributes to weight reduction in the final battery pack, translating to a lower carbon footprint and reinforcing circular economy ideals.

By improving vehicle efficiency and prolonging battery life, Addionics is reducing the frequency of battery replacements and supports the generation of less waste, something which has helped it to earn the “Bloomberg NEF Pioneer” award in 2022.

The post Start-up of the Week: Meet Addionics, disruptive force in EV battery ecosystem appeared first on International Finance.