ARKANSAS, Nov 06 (Future Headlines)- Orbia’s Fluorinated Solutions business and Solvay are forging a powerful partnership through their joint venture agreement, aiming to establish the largest polyvinylidene fluoride (PVDF) production facilities for battery materials in North America. This strategic collaboration has far-reaching implications, as it addresses the critical need for robust, secure, and local supply chains in the North American electric vehicle (EV) market, a sector marked by significant growth and demand for lithium-ion batteries.

The United States is witnessing an unprecedented expansion of the EV and stationary energy storage market. This rapid growth necessitates a reliable and domestic supply chain for battery materials. The Orbia-Solvay joint venture is poised to play a pivotal role in securing the supply of essential minerals and intermediate materials, with Orbia providing these critical inputs to Solvay for the manufacturing of suspension-grade PVDF. PVDF is a crucial component serving as a lithium-ion binder and separator coating in electric vehicle batteries.

Solvay, a global leader with deep process technology and market expertise, brings valuable innovations to this collaboration through its Solef PVDF technology. When combined with Orbia’s material assets and production proficiency, this joint venture promises to deliver PVDF solutions that have far-reaching impacts on the electric vehicle industry. The PVDF products resulting from this venture will enable EVs to travel longer distances on each charge, extend the lifespan of batteries, and enhance battery safety.

Two production sites are designated for this partnership, highlighting the commitment to a well-rounded approach. The first site in Augusta, Georgia, will be responsible for the manufacturing of finished PVDF products, ensuring the highest quality materials. The second site, located in St. Gabriel, Louisiana, is dedicated to the conversion of raw materials into essential intermediates, ensuring a streamlined supply chain. These plants are expected to be operational by 2026, indicating a swift response to the growing demand for battery materials in North America.

Orbia’s role in this joint venture significantly contributes to its strategic position as a key supplier of battery materials. The company’s offerings include a broad spectrum of products and services, ranging from electrolyte salts such as LiPF6 to custom electrolyte formulations, specialty battery additives, and recycled anodes. With an extensive portfolio of battery-related materials, Orbia is well-positioned to support and catalyze the transformation of the electric vehicle and energy storage industries.

This partnership not only reinforces the North American battery materials supply chain but also signifies the growing emphasis on sustainability and innovation within the EV sector. As the electric vehicle market expands, the Orbia-Solvay joint venture will play a crucial role in driving technological advancements and enhancing the performance and safety of lithium-ion batteries, all while contributing to the broader sustainability goals in the industry.

Reporting by Alireza Sabet; Editing by Sarah White