Ford Motor Co and startup Redwood Supplies mentioned on Wednesday they’re partnering to type a “closed loop” or round provide chain for electrical car batteries, from uncooked supplies to recycling.
The purpose is to decrease the price of EVs by decreasing the dependence on imported supplies, whereas additionally narrowing the environmental influence from mining and refining of battery supplies.
Ford and Redwood will work carefully with Korean battery maker SK Innovation, which has a three way partnership with Ford known as BlueOvalSK to make EV battery cells in the USA, Ford govt Lisa Drake mentioned at a media briefing.
Redwood, which was based in 2017 by former Tesla Inc govt J.B. Straubel, has been recycling battery scrap and supplies at services in Nevada.
In mid-September, the corporate mentioned it might broaden its enterprise to incorporate refining these supplies into battery elements, together with cathodes and anodes, with the purpose of supplying sufficient of these elements to equip one million electrical autos after 2025.
In July, Redwood raised $700 million from buyers, together with Amazon.com Inc, Constancy, T. Rowe Value and Baillie Gifford. On Wednesday, Straubel mentioned Ford had invested $50 million. Redwood presently is valued at $3.7 billion by investor web site PitchBook.
Redwood has partnerships with battery makers Panasonic in Nevada and Envision AESC in Tennessee, in addition to Amazon.
The difficulty of battery life-cycle administration has taken on rising significance within the plans of each car and battery producers.
Normal Motors Co President Mark Reuss, at a convention on Tuesday, mentioned recycling and reuse of EV battery supplies is a vital situation for the auto trade because it ramps up manufacturing of electrical autos.
“There’s a variety of materials in a battery cell that may be reused,” he mentioned. “We’re spending time on that.”
GM and battery companion LG Power Resolution in Could introduced a partnership with startup Li-Cycle to recycle battery scrap materials from Ultium Cells, the GM-LGES three way partnership that’s constructing battery crops in Ohio and Tennessee.
Straubel mentioned Redwood goals to start recycling some materials from Ford this yr, with the objective of supplying the primary anode materials in 2023-2024 and the primary cathode materials at mid-decade.