American Battery Factory looks to, well, build a network of U.S.-based lithium battery factories

ABF batteries

Battery energy storage is becoming an important part of our clean energy future, which means lithium batteries and their raw materials are among the highest in-demand commodities on the energy market. According to the National Blueprint for Lithium Batteries, the demand will increase 10 times over the next decade. In addition, a looming issue for the U.S. is the reliance overseas battery cells and raw materials.

The aptly named American Battery Factory Inc. (ABF) announced plans this week to develop a network of Lithium-Iron Phosphate battery (LFP) cell giga-factories in the United States. Today, almost 80% of all LFP battery manufacturing takes place in China.

“We talk a lot about generating renewable energy as a society, but not about how to store it,” said Zhenfang “Jim” Ge, ABF Chairman of the Board. “Without batteries, moving to an entirely green energy economy is impossible. Each factory we build will create an estimated 300 to 1,000 quality jobs. As our network grows, we will help mitigate decades of U.S. manufacturing job losses resulting from the closure of nearly 66,000 U.S. manufacturing sites while eventually making it possible to move the country and the entire world to 100% renewable power.”

ABF was incubated within Lion Energy, which earned about $100 million in battery storage sales last year. The founders of Lion Energy recognized the need to onshore a U.S.-based LFP battery supply chain. To accomplish this, they created ABF not only to be able to partner with a domestic battery cell supplier, but also to establish an independent manufacturer for all pack integrators and energy storage solution providers.

The company’s co-founders include ABF and Lion Energy Chairman Mr. Ge, ABF Chief Financial Officer and Lion Energy President Tyler Hortin, ABF Board Member and Lion Energy CEO Frank Davis, and ABF President and CEO Mr. Charles.

ABF says they are in “active dialogue with pack integrators, energy storage solution providers and other organizations” to develop U.S.-based supply partnerships. Forthcoming agreements and the first ABF manufacturing site will be announced in the coming months.

ABF continues to actively look for new factory sites across America. Examples of ABF LFP market segments include the following:

• Battery Energy Storage Systems (BESS) for grid/utilities, residential, small to medium enterprises (SME) and industrial/commercial applications (healthcare, telecommunications networks, emergency service applications, data centers, etc.)

• Selected electric vehicles including trucks, e-buses, trams, agricultural vehicles (e.g., tractors and mowers), recreational vehicles requiring auxiliary power, off-road vehicles, marine/water sports, e-bikes, wheelchairs, golf carts, sweepers, forklifts, scooters and heavy construction machinery

• U.S. military, government and defense contractors to sustain national security, reduce foreign dependency and fulfill “U.S.-Made” mandates

“We created ABF to first accelerate the growth of the U.S. clean energy economy and empower consumers, businesses and government organizations to save money and move toward energy independence,” says Paul Charles, President and Chief Executive Officer at ABF. “Eventually, we plan to supply the world through our network of factories with the best and safest battery chemistry and technology available.”

ABF says its LFP batteries will be designed to perform 10,000+ life cycles (full charge and discharge) and have a 20 to 30-year life span. LFP batteries require fewer replacements and do not contained the much-maligned cobalt and nickel chemistry, which is more toxic and combustible. ABF also claims it batteries will be ethically sourced and not include conflict minerals.

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