Eager to reduce Europe’s reliance on China for materials for batteries, the European Bank for Reconstruction and Development (EBRD) said on January 10 the bank will provide a long-term loan of $28 million to support the construction of an ultra-thin copper foil factory for electric vehicle (EV) batteries in Tatabanya, northwestern Hungary, by Solus Advanced Materials of South Korea, which is one of the global leading producers of the material.
The first plant in Europe to produce copper foil for EV batteries, this facility will supply to European EV battery producers in Europe, the EBRD said.
By 2050, the European Union aims for a climate-neutral economy. Moving to electro-mobility is a key element in reducing CO2 emissions and reaching the bloc’s climate action targets.
The plant in Hungary will contribute to this aim. Since it relies fully on scrap copper, it also contributes to the circular economy of the EV battery sector. The project is aligned with the goals of the Paris Agreement on limiting climate change, and meets the requirements of the EU Taxonomy.
“We are very pleased to finance this project, which marks another step forward in greening the economy and advancing e-mobility,” EBRD Head of Industries Frederic Lucenet said. “We have a strong track record of financing EV manufacturing, EV batteries and other EV supply chain components. The industry has witnessed significant growth in recent years as demands for cleaner transportation increase. We fully support Solus Advanced Materials’ growth and its contribution to Hungary’s becoming a hub for the European EV battery industry,” he added.
Solus Advanced Materials CFO Keunman Kwak hailed the cooperation with the EBRD. “The construction of the plant in Hungary is a significant milestone for Solus and we believe the EBRD’s support will strengthen our growth strategy and contribute to accelerating the shift to EVs and a cleaner world for us all. We look forward to continued cooperation with the EBRD as a committed long-term partner,” he said.
To date, the EBRD has invested nearly €3.3 billion in 192 projects in Hungary.
