BASF renews long-term CAM supply deal for Schwarzheide plant, reinforcing customer trust, European battery independence, and sustainable growth in e-mobility.
BASF Battery Materials has announced the renewal of its long-term supply agreement for cathode active materials (CAM) from its production facility in Schwarzheide, Germany. This development comes alongside BASF鈥檚 recently disclosed global framework agreement with Contemporary Amperex Technology Co. Limited (CATL), reinforcing the company鈥檚 role as a key supplier in the fast-growing battery materials market.
The extended agreement is with an existing third-party customer, ensuring a continued and reliable supply of high-performance cathode active materials from BASF鈥檚 Schwarzheide plant. Commenting on the renewal, Dr. Daniel Sch枚nfelder, President of BASF鈥檚 Battery Materials division, expressed confidence in the company鈥檚 strong market position. 鈥淲e are happy to extend our existing supply agreement for the CAM plant in Schwarzheide. This illustrates our customers鈥� confidence in our innovative products and the high-quality production processes behind,鈥� he said. Dr. Sch枚nfelder emphasized that the renewed arrangement not only underlines customer trust but also highlights BASF鈥檚 ability to meet stringent quality and innovation requirements.
BASF鈥檚 Schwarzheide facility holds particular strategic importance in Europe鈥檚 battery value chain. It stands out as the only production site in Germany dedicated to cathode active materials, a critical component in the performance and efficiency of lithium-ion batteries. Furthermore, it is unique in being the only fully automated large-scale CAM production plant across Europe. This combination of automation, scale, and advanced technology allows BASF to ensure consistent quality, efficiency, and competitiveness in a rapidly evolving market where demand for electric vehicle (EV) batteries and energy storage solutions continues to expand.
By renewing the supply agreement, BASF secures an important element of its European operations strategy, which aims to support both local and global customers. The deal also aligns with the company鈥檚 broader ambitions to strengthen Europe鈥檚 independence in the battery sector, reducing reliance on imports from Asia. In addition, the Schwarzheide plant鈥檚 modern production systems are designed to operate with high standards of sustainability, further contributing to Europe鈥檚 climate and energy transition goals.
The announcement underscores BASF鈥檚 dual approach: on one hand, broadening global collaborations such as with CATL, and on the other, deepening relationships with established customers through long-term commitments. This balance between global outreach and regional consolidation enhances the company鈥檚 ability to navigate future industry shifts and increasing competition.
With the European electric mobility sector projected to grow rapidly in the coming years, BASF鈥檚 role as a supplier of advanced battery materials is expected to become even more significant. The Schwarzheide plant, with its pioneering technologies, is poised to play a central role in meeting the surging demand while ensuring Europe maintains a strong foothold in the global battery supply chain.
