MIDLAND, Mich.--(BUSINESS WIRE)--The Dow Chemical Company (NYSE: DOW) is utilizing its global leadership in material science, manufacturing expertise and market knowledge to organize a new business that will manufacture advantaged battery materials to address critical, unmet market needs in the energy storage industry.
The growing need for energy storage in renewables, electric/hybrid vehicles and consumer products has created critical market needs for a radical change in battery performance. Battery materials are fundamental to improving battery performance. With an initial focus on the automotive market, Dow will sell advantaged materials that will enable manufacturers of rechargeable lithium ion batteries to produce batteries with extended run times, increased power and operational life, with equal or enhanced safety performance than what is commercially available today. Improving battery performance in the energy storage industry is a critical need that will significantly shift the behavior and dynamics of the industry – creating strong opportunities for chemistry-enabled materials solutions.
Dow is committed to driving performance of lithium ion batteries higher and the cost of manufacturing processes lower, building upon the Company’s history of commercializing technologies and its ability to leverage its global integrated supply chain to meet the demands of several markets. Conservative estimates of the energy storage industry project growth from $24 billion today to $74 billion by 2020, with the largest growth opportunity in the automotive market. Lithium ion battery technology has the potential to meet the performance demands in all energy storage applications.
“Dow is committed to meeting the short- and long-term needs of the energy storage industry with a comprehensive and multi-generational commercial materials strategy,” said Monty Bayer, global business director, Dow Ventures & Business Development, Licensing and Venture Capital. “Dow is uniquely positioned to capitalize on this market opportunity utilizing our leading material science capabilities and global manufacturing infrastructure.”
Federal stimulus funds channeled toward domestic development of electric vehicle technology has created an opportunity to strengthen the energy storage industry in the U.S., which is currently based in Japan and Korea. The combination of unmet technical needs, stimulus for rapid growth in vehicle electrification, and geographic shift creates unique opportunities for Dow. Dow anticipates sales to begin in 2012.
“Advanced batteries, capable of meeting standards for durability, performance and safety at a lower cost per energy unit, are requirements for the acceleration of vehicle electrification,” said Bayer.
Dow’s capabilities and relationships span the value chain – from material science to battery manufacture and key end use markets. This comprehensive strategy is a viable approach to meeting cost and performance market requirements enabling a profitable and vibrant industry.
About The Dow Chemical Company
Dow combines the power of science and technology with the “Human Element” to passionately innovate what is essential to human progress. The Company connects chemistry and innovation with the principles of sustainability to help address many of the world’s most challenging problems such as the need for clean water, renewable energy generation and conservation, and increasing agricultural productivity. Dow’s diversified industry-leading portfolio of specialty chemical, advanced materials, agrosciences and plastics businesses delivers a broad range of technology-based products and solutions to customers in approximately 160 countries and in high growth sectors such as electronics, water, energy, coatings and agriculture. In 2009, Dow had annual sales of $45 billion and employed approximately 52,000 people worldwide. The Company’s more than 5,000 products are manufactured at 214 sites in 37 countries across the globe. References to "Dow" or the "Company" mean The Dow Chemical Company and its consolidated subsidiaries unless otherwise expressly noted. More information about Dow can be found at www.dow.com.
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