Toda Kogyo, Itochu to Invest in China LI Battery Cathode Material

Toda Kogyo, Japanese cathode material maker and Itochu Corporation jointly invest in Chinese major lithium ion battery cathode material maker, Hunan Shanshan Advanced Material, jointly announced by Japanese 2 firms. The firms reached the basic agreement to hold 25% of Hunan Shanshan’s shares in April and increase the share to 50%. The Japanese firms cultivate cathode material market in China.

Hunan Shanshan is one of the largest makers of cobalt material and other cathode material in China. The firm has 4,000 tonnes of production capacity per year and the annual revenue is 687 million yuan or 9 billion yen for fiscal 2008. The firm aims to increase a competitiveness affiliating with Toda Kogyo, which manufactures ternary compound system and manganese material.

Toda Kogyo manufactures precursor, the material for nickel cathode material in Canada and plans to start the production of nickel material in USA in 2011.