On March 31, IBU-tec Advanced Materials and Wanhua Chemical Group Battery Technology Co., Ltd. officially established a partnership for the development of lithium iron phosphate (LFP) battery materials. Senior representatives from both sides jointly signed a Joint Development Agreement (JDA), aiming to achieve the production of LFP cathode materials in Europe through technological collaboration. This marks Wanhua Chemical's first contract for battery materials cooperation in Europe, paving the way for further development in the European market.

Under this cooperation framework, IBU-tec will adjust the calcination process according to the precursor specifications provided by Wanhua Chemical and plans to scale up this process to an industrial level in the coming months. It is expected that by the third quarter of this year, both parties will obtain reliable results to evaluate whether the jointly developed product can meet the demands of the European and North American markets. If the product meets expectations, it will open up significant potential for the production of LFP cathode materials in Germany and integrate them into the value chain of the European battery industry.

IBU-tec Advanced Materials, headquartered in Weimar, Germany, is focused on providing innovative solutions in the fields of LFP battery materials, air purification, resource conservation, and reducing plastic packaging. The company has become a technological leader in LFP cathode materials in Europe.

In 2023, IBU-tec successfully launched a new sodium-ion battery cathode material called IBUvolt® NMO. This NMO (sodium manganese oxide) product boasts unique advantages, as it does not rely on lithium or other rare materials, resulting in lower production costs and higher environmental performance. It is hailed as the "foundation of new sodium-ion batteries," and the material is expected to be widely used in small electric vehicles (such as urban transport vehicles) and stationary energy storage systems. In 2024, IBU-tec will collaborate with specialty chemicals company Lanxess to conduct research aimed at developing innovative iron oxides for the production of LFP battery cathode materials, with the goal of further enhancing the electrochemical performance of LFP batteries, including energy density, charging speed, and cycle life.

Wanhua Chemical Group Co., Ltd., formerly known as Yantai Wanhua Polyurethane Co., Ltd., was established on December 20, 1998, and officially changed its name to Wanhua Chemical Group Co., Ltd. in July 2013. It listed on the Shanghai Stock Exchange in 2001. The company's business covers five major industrial clusters: polyurethane, petrochemicals, fine chemicals, new materials, and future industries.

Wanhua Chemical's layout in the battery materials field began in 2020, when the company acquired Yantai Zhuoneng Lithium Battery Co., Ltd.; since then, the company has continuously increased its investment in battery materials business. Liao Zengtao, Party Secretary and Chairman of Wanhua Chemical Group, once stated that Wanhua would cultivate battery materials as a new billion-dollar business to recreate a new Wanhua.

Wanhua Chemical Group Battery Technology Co., Ltd.'s business scope covers three major battery main materials and over 20 types of products, including wet metallurgy, cathode precursors, ternary cathode materials, lithium iron phosphate materials, sodium battery anode and cathode materials, silicon-based anode materials, electrolytes and their raw materials, NMP, PVDF, and other links in the industry chain. The battery materials business, as Wanhua Chemical's second growth curve, has gradually established a relatively complete ecosystem.

Cathode Materials: Ternary cathode materials: Wanhua Chemical has commissioned a 10,000 tons/year lithium battery ternary cathode material project at its Meishan base in Sichuan. Lithium iron phosphate: Wanhua Chemical's lithium iron phosphate is prepared using the solid-phase method. In January 2022, Wanhua Chemical started construction of a 50,000 tons/year integrated lithium iron phosphate cathode material project in Meishan, Sichuan. On February 24, 2025, Wanhua Chemical's new battery materials industrial park in Haiyang City, Yantai, commenced construction. The project has a total investment of 16.8 billion yuan, mainly constructing production plants for battery cathode and anode materials and related supporting facilities. It is planned that a 100,000 tons/year lithium iron phosphate production line will be put into operation by June 2026, and upon full completion by December 2032, it will have a capacity of 500,000 tons of lithium iron phosphate and 300,000 tons of artificial graphite anode materials. Additionally, Wanhua Chemical is committed to the development and mass production of fourth and fifth-generation lithium iron phosphate products to enhance product performance and competitiveness.

Battery Binder: WanLiUM® PAA 1720 product by Wanhua Chemical is an aqueous acrylic copolymer neutralized with sodium salt, suitable for binding artificial graphite, natural graphite, and silicon-based negative electrode systems, applicable to high-energy-density cell designs for power and energy storage applications. In February 2024, Wanhua (Ningbo) announced a plan for a 50,000-ton-per-year high-performance negative electrode binder project and an aqueous binder project, with an environmental impact assessment report released. In November 2023, Sichuan WanLu Industrial Co., Ltd. (a joint venture between Wanhua Chemical's wholly-owned subsidiary and China Hualu Engineering Technology) announced a 20,000-ton-per-year PVDF integrated project, with an environmental impact assessment document released.

Battery Auxiliaries: NMP, 1,4-butanediol, and other key auxiliary materials for production and sales. In May 2022, Sichuan Wanlu Industrial Co., Ltd. announced an environmental impact assessment for its 80,000-ton/year NMP project, planning to establish a new project in the Meishan High-tech Industrial Park in Sichuan Province. In August 2023, Wanhua Chemical Group Co., Ltd. announced that it has received the environmental impact assessment document for its 10,000-ton/year lithium hexafluorophosphate (LiPF6) project, planning to construct a new project at its Yantai Industrial Park. Electrolytes are generally prepared by mixing high-purity organic solvents, electrolyte lithium salts (lithium hexafluorophosphate LiPF6 is the most commonly used electrolyte lithium salt in lithium-ion batteries today), and necessary additives in certain proportions.

To further enhance its competitiveness in the battery materials sector, Wanhua Chemical has actively established cooperative relationships with upstream and downstream enterprises in the industry chain. For example, Wanhua Chemical signed a strategic cooperation agreement with Highsun Energy Storage. The two parties will deepen collaboration in six key areas: battery materials, energy storage products, battery and battery material recycling, sodium-ion batteries, IT, and joint laboratories. Additionally, Wanhua Chemical has invested in projects such as an annual production of 280,000 tons of phosphorus acid, 150,000 tons of lithium iron phosphate, and a 25GWh large cylindrical energy storage battery project, aiming to build a more comprehensive industrial chain layout.