Redwood Materials, a leading battery recycler, has announced a long-term partnership with Toyota Motor to supply recycled materials for the automaker’s new electric vehicle battery plant in North Carolina. The agreement will see Redwood remanufacture battery components using materials provided by Toyota and recycled from end-of-life vehicles, including hybrid-electric models such as the Prius.
While the details of the contract have not been disclosed, Redwood CEO J.B. Straubel, who also co-founded Tesla, has expressed enthusiasm about the partnership. “This new contract will enable Redwood’s business to grow and expand with Toyota’s future needs,” he stated. Straubel further emphasized the company’s commitment to creating a closed-loop battery ecosystem, which aims to reduce EV costs and minimize dependence on imported materials while minimizing environmental impact.
As part of this effort, Redwood aims to establish an annual battery component production capacity of 100 gigawatt-hours in the United States, enough to supply over 1 million EVs per year. This capacity can be expanded up to 500 GWh annually. The company plans to supply Toyota from its existing facility in Sparks, Nevada, as well as from a new $3.5 billion facility currently under construction in Charleston, South Carolina.
Redwood’s remanufactured battery components will include cathode active material made from recycled lithium, nickel, and cobalt, as well as anode foil made from recycled copper. These components constitute a significant portion of the production costs for lithium-ion cells.
This partnership with Toyota marks another notable milestone for Redwood, following previous recycling deals with Panasonic, Volkswagen, and Ford. The company is also supplying remanufactured battery components to Panasonic for their joint EV battery plant with Tesla in Nevada.
With increasing focus on sustainability and circular economy practices in the EV industry, collaborations like this one between Redwood Materials and Toyota highlight the importance of recycling and reusing materials to reduce environmental impact while supporting the growth of the electric vehicle market.
Frequently Asked Questions (FAQ)
1. What materials will Redwood Materials supply to Toyota?
Redwood Materials will supply remanufactured cathode active material made from recycled lithium, nickel, and cobalt, as well as anode foil made from recycled copper.
2. How will Redwood Materials’ partnership with Toyota benefit their business?
The partnership with Toyota will enable Redwood Materials’ business to expand and grow with Toyota’s future needs, enhancing their presence in the EV battery market.
3. What is Redwood Materials’ goal with its closed-loop battery ecosystem?
Redwood Materials aims to establish a closed-loop battery ecosystem to reduce EV costs, decrease dependence on imported materials, and minimize the environmental impact associated with battery production.
4. Where will Redwood Materials supply battery components to Toyota from?
Initially, Redwood will supply battery components to Toyota from its facility in Sparks, Nevada. However, they are also building a new $3.5 billion facility in Charleston, South Carolina, from which they plan to supply Toyota in the future.
5. Which other companies has Redwood Materials partnered with?
Redwood Materials has previously formed recycling partnerships with Panasonic, Volkswagen, and Ford. They are also supplying remanufactured battery components to Panasonic for the joint EV battery plant with Tesla in Nevada.