| Mobile Web

Battery industry shifts to foundry model with Western design and Asian manufacturing

The battery industry is moving toward a division of labour similar to semiconductors, with Western companies focusing on next-generation chemistry design and intellectual property while Asian manufacturers handle mass production, industry officials say. The shift reflects limits on building and running gigafactories, weaker manufacturing competitiveness in Europe and the United States, and U.S. rules requiring the exclusion of certain China-linked supply chains. A wider range of battery chemistries and growing small-lot demand are also accelerating outsourcing.