Dongwon Systems to expand battery component production
Dongwon Systems on Wednesday said it will spend 25 billion won ($22.2 million) on facilities to mass-produce aluminum anode foils, a core component in rechargeable batteries for electric vehicles (EV).
The packaging material manufacturer first started producing battery components in 2016, producing carbon-coated aluminum foil and carbon-coated copper foil. To expand production of aluminum anode foils, Dongwon purchased broad-strip mills made by Germany-based Achenbach, a firm that specializes in metal rolling mills and equipment used to produce aluminum anode foils.
Aluminum anode foils are an essential component for rechargeable batteries. They serve as the conduit for electrons inside the battery, connecting the positive and negative poles. The thinner the foil is, the smoother the movement of the electrons, according to Dongwon Systems.
Dongwon Systems aims to produce 8,000 tons of aluminum foil annually by 2022.
According to SNE Research, battery market research firm, the demand for aluminum anode foil worldwide will grow from 92,000 tons this year to 135,000 tons next year, a 46.7 percent increase. By 2025, the demand will climb up to 475,000 tons.
BY LEE JEE-YOUNG [email@example.com]