Dow forms business to sell advantaged battery materials

02 November 2010 02:47  [Source: ICIS news]

MIDLAND, Michigan (ICIS)--US Dow Chemical is organizing a new business dedicated to selling advantaged battery materials, company officials announced on Monday.

The business will start selling raw materials and associated technology in 2012 initially focusing on rechargeable lithium ion batteries for the automotive market, said Monty Bayer, global business director, Dow Ventures & Business Development, Licensing and Venture Capital at the sidelines of Dow’s Investor Day in Midland, Michigan.

Dow did not disclose the specific type of materials they will sell to battery manufacturers.

Some of the major materials used in automotive lithium ion batteries include lithium ion phosphate, lithium metal oxides, polymeric separators, anode materials such as graphites, and electrolytes, among others.

One of the direct beneficiaries of the new business is Dow Kokam, a joint venture of Dow and battery maker Kokam, which is currently building a lithium ion battery production plant in Midland, Michigan.

The plant is expected to produce its first battery batch in early 2012.

Dow is also looking to invest in lithium projects in China to capitalize on the growing energy storage market potential in the region, said Pat Dawson, president of Dow Asia Pacific.

China is seeing a much faster growth potential for automotive lithium ion batteries as this region could soon become an electric vehicle Mecca,” said Dawson.

Government clean technology subsidies and environmental policies are expected to drive increasing demand for electric vehicles, he added.

Dow Chemical estimates the global energy storage industry to grow from the current $24bn (€17.28bn) to $74bn by 2020, with the largest growth opportunity in the automotive market.

($1 = €0.72)

To discuss issues facing the chemical industry go to ICIS connect

By: Doris de Guzman
+1 713 525 2653

AddThis Social Bookmark Button

For the latest chemical news, data and analysis that directly impacts your business sign up for a free trial to ICIS news - the breaking online news service for the global chemical industry.

Get the facts and analysis behind the headlines from our market leading weekly magazine: sign up to a free trial to ICIS Chemical Business.

Printer Friendly

Get access to breaking chemical news as it happens.
ICIS Global Petrochemical Index (IPEX)
ICIS Global Petrochemical Index (IPEX). Download the free tabular data and a chart of the historical index