Northvolt Set to Receive KRW1.4tn Won Worth of Copper Foil from SK Nexilis

  • 20-Feb-2023
  • Journalist: Jaideep

Sweden [Europe]: SK Nexilis, a global Copper foil producer, recently announced a five-year partnership with Europe's largest secondary battery manufacturer, Northvolt. The agreement has been inked to supply Copper foil for Northvolt's Stalowa Wola plant in Poland from 2024 onwards. This marks an important long-term agreement between the two companies.

Volkswagen and Volvo Lead 1 trillion Won Investment into Northvolt's 150GWh Battery Plant Northvolt, a battery production plant with a total capacity of 150GWh, has secured investments of more than 1 trillion won from European automakers such as Volkswagen and Volvo. The contract volume represents roughly 80 percent of Northvolt's Copper foil demand during the period, worth up to 1.4 trillion won which can be used for 1.7 million electric vehicles. In 2024, SK Nexilis will begin to operate a Poland-based plant with an annual capacity of 50,000 tons.

The demand for global Copper foil in secondary batteries is set to surge at an average annual rate of 40 percent, from 270,000 tons in 2021 to 750,000 tons in 2025.

The forecast of a Copper foil shortage beginning in 2024 has set off competition among Copper foil producers. With the introduction of Copper foil with a width of 1 meter or wider, the productivity of secondary battery manufacturers is expected to be drastically increased.

However, wide Copper foils only account for 30 to 50 percent of most Copper foil producers’ output. SK Nexilis is an exception as more than 90% of its output consists of wide Copper foils. Considering this news, battery manufacturers are taking steps to build processes that will accommodate wide Copper foils.

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