Japanese chemical company’s new $500 million Louisiana plant to support the electric vehicle battery market

UBE Corporation has announced plans to establish its first U.S. manufacturing facility in Jefferson Parish, Louisiana. The plant will produce key electric vehicle (EV) lithium ion battery (LiB) ingredients dimethyl carbonate (DMC) and ethyl methyl carbonate (EMC). The project will be funded by a $500 million investment and is designed to help bolster the domestic battery components supply chain. The company predicts that the new plant will be able to produce 100,000 metric tons of DMC per year and 40,000 metric tons of EMC, derived from DMC, annually. Construction on the new facility will begin later this year, with operations beginning in 2026. To aid the project, Louisiana offered a competitive incentives package that features the workforce development solutions of LED FastStart, as well as participation in Louisiana’s Industrial Tax Exemption and Quality Jobs programs.

In a recent quote, Masato Izumihara, president and representative director of UBE, said, “UBE’s proprietary nitrite process, which we have been developing since the 1970s, enables us to realize a very limited environmental impact and much fewer by-products compared to other existing plants and processes, particularly in mainland China. This manufacturing facility will be UBE’s first large-scale chemical facility in the United States and CEP offers not only a strategic location, but Cornerstone Chemical Company, LLC, also offers raw materials needed for manufacturing, an abundant labor force and competitive logistic capabilities.”

Investing in American Manufacturing - 2024

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