ARKANSAS, Nov 22 (Future Headlines)- Komatsu, the global leader in construction and mining equipment, is set to acquire American Battery Solutions, Inc. (ABS), a Detroit-based battery systems manufacturer. The acquisition is slated to be finalized on December 1, 2023, pending the completion of necessary procedures. This strategic move positions Komatsu to integrate ABS’ advanced battery technology into its construction and mining equipment, fostering the development of battery-operated machinery. The initial focus will be on powering mining equipment in North and South America, aligning with the growing demand for electrification in these regions.
ABS specializes in developing and manufacturing heavy-duty and industrial battery packs, utilizing lithium-ion batteries for various applications. ABS offers a diverse range of battery packs for commercial vehicles, transit buses, and on- and off-road vehicles. The company provides both standard and custom battery systems tailored to the specific needs of customers. ABS emphasizes superior performance, extended product life, and enhanced safety through its advanced battery technology.
The acquisition positions Komatsu to develop and manufacture battery-operated construction and mining equipment by leveraging ABS’ battery technology alongside Komatsu’s knowledge and network. The first set of equipment incorporating ABS’ batteries will be deployed to power mining equipment in North and South America, addressing the increasing demand for electrification in these regions.
Komatsu envisions expanding the use of batteries in construction equipment globally, establishing a robust global supply system. ABS will operate as a stand-alone business entity within Komatsu, continuing its growth plans and customer programs in the commercial vehicle segments. With the support of Komatsu’s mining and construction opportunities, ABS aims to position itself as a leading provider of battery systems in both on-highway and off-highway markets worldwide.
The focus on powering mining equipment aligns with the broader industry trend toward electrification, driven by environmental considerations and the pursuit of sustainable practices. Komatsu’s plans to extend the use of batteries to construction equipment signals a commitment to advancing electrification across various sectors. The establishment of a global supply system underscores Komatsu’s ambition to play a pivotal role in the worldwide adoption of battery-operated machinery.
Komatsu expresses its commitment to supporting ABS’ battery business post-acquisition, fostering the further development of electrification initiatives. ABS, under Komatsu’s umbrella, aims to contribute to both on-highway and off-highway markets, showcasing the versatility of its battery systems.
Reporting by Alireza Sabet; Editing by Sarah White