Asahi Kasei Corporation and Honda Motor Co. have finalised an agreement to create a new joint venture in Canada, converting an Asahi Kasei subsidiary, E-Materials Canada Corporation, into a collaborative business under the tentative name Asahi Kasei Honda Battery Separator Corporation. This venture will focus on producing lithium-ion battery separators, a critical component in electric vehicle (EV) batteries.
Under the terms of the agreement, Honda will acquire a 25% stake in E-Materials through a third-party share allotment, committing an overall investment of C$417 million (about US$300 million). The collaboration aims to merge Asahi Kasei’s expertise in advanced material technologies with Honda’s electrification initiatives to improve battery durability and performance, essential to powering Honda’s EVs.
The joint venture is expected to be operational in early 2025, pending regulatory approval, and will support Honda’s wider strategy to establish an electric vehicle supply chain in North America, crucial to its carbon neutrality goal by 2050. Ryu Taniguchi, President of Asahi Kasei Battery Separator Corporation, noted that this partnership will leverage both companies’ technological strengths to enhance North America’s battery separator supply and contribute to sustainability efforts in EV production.
This move aligns with Honda’s long-term electrification goals, strengthening the supply chain for EV battery materials and promoting innovation in battery technology. With a stable supply of high-quality separators, the joint venture is positioned to contribute significantly to the region’s energy transition and growing EV market.
