The agreement allows the Chinese JV company, under license from Polypore’s subsidiary, Celgard, LLC (Celgard), to supply quality, high-performance, dry-process separators used in lithium-ion batteries for energy storage and electric vehicle applications. Celgard agreed to license certain Celgard technology and patents on dry-process polypropylene separators to the JV company. In the joint venture agreement, Polypore Hong Kong Ltd. will have 49 percent of the equity contribution and SEMCORP will have 51 percent. The agreement will become effective as soon as all regulatory approval processes are complete.
Celgard is recognized as the inventor of the lithium-ion battery separator and has more than 40 years of market-leading research, development and manufacturing know-how. Celgard supplies advanced products to customers with consistent quality that enable high battery performance. Celgard holds wide-ranging patents in coated and uncoated lithium-ion battery separators used in energy storage systems, electric vehicles and other applications. As a global dry-process technology company, Celgard’s thin film manufacturing know-how has enabled higher energy densities in lithium-ion batteries. At the core of Celgard’s technology, the blown film process has been refined to yield high film strength and uniformity with excellent manufacturing efficiency. Leading lithium-ion battery manufacturers recognize Celgard’s outstanding product quality and service.
SEMCORP Group is a leading wet-process separator producer in China, with more than a decade of demonstrated success in manufacturing infrastructure. Across its five manufacturing sites, SEMCORP Group has an annual base film production capacity of 3.3 billion m2 as well as more than 80 different products including various base film and coated options. SEMCORP Group’s advantages include consistent quality, high yield, advanced R&D, high manufacturing efficiency, outstanding cost control, and well developed customers.
The cooperation will be based on combining SEMCORP Group’s manufacturing efficiency and cost control capability with Celgard’s dry-process polypropylene separator technology and quality control. The JV will bring advanced innovative solutions and products to the market in order to meet the rapidly growing demand of lithium-ion batteries. The JV will be licensed with Celgard’s advanced proprietary dry-process film technology, manufacturing know-how and equipment and will be able to produce high-performing monolayer, co-extruded multilayer and ultrathin products through the licensed technology.
Celgard, through its subsidiaries, will provide comprehensive support to ensure the JV’s success regarding new product development, quality control and intellectual property protection. With the growing demand of new energy vehicles and the rapid demand for emerging energy storage systems, the lithium-ion battery industry is moving from “GWh” into a “TWh” era. Dry-process separator demand driven by energy storage systems and applications that require relatively low energy density is expected to grow quickly and provide a bright future for the JV.
“When you combine Celgard’s technology, process capabilities, and material science expertise with SEMCORP Group’s operational expertise in China, there is a great opportunity to expand industry solutions and support growth in China” said Lie Shi, Celgard’s president. “We are very excited to begin our partnership with SEMCORP Group. Together we can bring high performance affordable separators to the growing energy storage and electric vehicle applications in China. We look forward to combining our respective strengths in manufacturing and dry-process battery separator technology to achieve new solutions for the world’s environmental and energy challenges.”
“We see a great opportunity for dry-process separators in the energy storage market, similar to the one that SEMCORP Group has been able to capture in the electric vehicle market with our wet-process separators,” said Paul Xiaoming Lee, Chairman and CEO of SEMCORP Group. “With Celgard’s licensed best-in-class technology and know-how, as well as SEMCORP Group’s deep experience in China, proven ability to manufacture high-quality separators at scale, and cost advantage, our joint venture with Polypore is poised to become an innovative supplier of dry-process separators.”
About Celgard and Polypore
Celgard specializes in coated and uncoated dry-process microporous membranes used as separators that are a major component of lithium-ion batteries. Celgard’s battery separator technology enhances the performance of lithium-ion batteries for electric drive vehicles, energy storage systems and other applications.
Celgard, LLC and Polypore Hong Kong Limited are wholly-owned subsidiaries of Polypore International, LP (Polypore).
Polypore is a global company with facilities in nine countries specializing in microporous membranes used in electric and nonelectric vehicles, energy storage systems and specialty applications. Visit www.celgard.com and www.polypore.com.
About SEMCORP Group
SEMCORP Group, formally known as Yunnan Energy New Material Co. Ltd. (002812.SZ), is a global leader in developing and producing high-performance wet-process separators and coated separators for the lithium-ion battery industry. SEMCORP Group currently has five manufacturing facilities in China, with planned expansions both in China and internationally to better serve electric vehicle, consumer electronics, and energy storage customers. In addition to separator film, SEMCORP Group also manufactures packaging and printing products. Visit http://en.semcorpglobal.com.
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