Following the approval of all relevant authorities, BASF and Shanshan have formed the joint venture “BASF Shanshan Battery Materials Co., Ltd.”. The new entity will be majority owned by BASF (BASF 51% and Shanshan 49%).

The newly formed company has four sites in Hunan and Ningxia, China, with more than 1,600 employees. It already has a strong position in the battery materials value chain including raw materials, precursor cathode active materials (PCAM), cathode active materials (CAM) and battery recycling.

The joint venture will primarily focus on the rapidly growing electric vehicle (EV) market, while continuously serving global consumer electronic and energy storage segments.

BASF and Shanshan will together drive the joint venture’s continuous growth in China with the planned annual CAM capacity of 90 kilotons by 2022.

With this investment in China, we are ideally positioned to serve the world’s largest battery market. We will leverage our strong position in China to further accelerate our growth in battery materials globally.

—Dr. Markus Kamieth, Member of the Board of Executive Directors of BASF

With the completion of the transaction with Shanshan, BASF has reached a significant milestone in executing its strategic roadmap to build up a global battery materials value chain, equipped with an industry-leading CAM capacity of 160 kilotons by 2022. Its global manufacturing and R&D footprint will enable BASF to provide tailor-made cathode active materials to cell manufacturers and OEM customers with efficiency, proximity and synergies in all key markets.