Solus Advanced Materials has signed its first copper foil supply contract with Contemporary Amperex Technology Co. Ltd. (CATL), the world’s largest electric vehicle battery manufacturer. The South Korea-based materials company announced on June 2 that it will provide copper foil produced at its plant in Hungary to CATL’s battery manufacturing facility in Europe.

This contract marks a significant milestone for Solus Advanced Materials, as it expands its global footprint in the electric vehicle battery supply chain. The company operates the only copper foil production facility in Europe, located in Hungary, which gives it a strategic advantage in supplying the rapidly growing European EV market. The plant has been recognized for producing world-class copper foil and for its ability to deliver quickly and efficiently within the region.

Under the terms of the agreement, Solus will deliver its high-performance copper foil to CATL’s European production base. CATL has been aggressively expanding its manufacturing operations in Europe in response to growing demand for electric vehicles and energy storage systems. The Chinese battery giant, which held approximately 40% of the global EV battery market based on usage in the previous year, is ramping up its regional production to better serve European automakers and energy providers.

CATL has been operating a battery production facility in Erfurt, Germany, since 2022, with an annual capacity of 14 gigawatt-hours (GWh). The company is also preparing to launch a much larger plant in Debrecen, Hungary, later this year. That facility is expected to have an annual production capacity of 100 GWh, making it one of the largest battery manufacturing sites in Europe.

Solus Advanced Materials and CATL have also left the door open for potential future collaboration in new product development. According to the companies, further cooperation will depend on Solus' continued competitiveness in the European copper foil market, especially in terms of product quality, innovation, and supply chain responsiveness.

Kwak Keun-man, CEO of Solus Advanced Materials, highlighted the importance of the agreement in a public statement. “This new partnership with CATL, a global powerhouse in battery manufacturing, represents a major opportunity to reaffirm our technological leadership on the world stage,” he said. “Through this cooperation, we will not only accelerate innovation in copper foil production but also help stabilize CATL’s local supply chain in Europe. Our goal is to contribute meaningfully to customer satisfaction and long-term market growth.”

This agreement reflects broader industry trends as battery manufacturers prioritize localized supply chains to reduce logistical risks and enhance responsiveness. By strengthening its position in Europe, Solus Advanced Materials is well-positioned to support the evolving needs of global battery manufacturers like CATL and contribute to the continued growth of the electric vehicle ecosystem.