American Battery Factory breaks ground on Arizona LFP gigafactory

LinkedIn
Twitter
Reddit
Facebook
Email

American Battery Factory has started construction on its gigafactory in Arizona, US, which will produce lithium iron phosphate (LFP) battery cells.

The company announced the groundbreaking on its first facility last week (26 October), which sits on on 267 acres in Pima County’s Aerospace Research Campus.

This article requires Premium SubscriptionBasic (FREE) Subscription

Enjoy 12 months of exclusive analysis

  • Regular insight and analysis of the industry’s biggest developments
  • In-depth interviews with the industry’s leading figures
  • Annual digital subscription to the PV Tech Power journal
  • Discounts on Solar Media’s portfolio of events, in-person and virtual

Or continue reading this article for free

The two million square foot facility will create 1,000 jobs and require US$1.2 billion of investment, American Battery Factory (ABF) claimed. It is aiming the headquarters, R&D centre and initial factory module to be completed by 2025.

The facility will use a tension-based fabric membrane structure, which the company says saves time and money on construction, although the structure type’s suitability for a lithium-ion cell gigafactory has been questioned by some industry sources.

Energy-Storage.news interviewed the then-CEO Paul Charles about ABF’s plans last year, since when Charles has stepped down and been replaced by co-founder Zhenfang “Jim” Ge.

Speaking in March 2022, Charles said the company was targeting the military, large electric vehicle (EV) and stationary energy storage system (ESS) markets.

The company has secured strategic partnerships with technology companies including Celgard, Anovion and FNA Group, and has “…raised significant development capital to make its vision a reality”, it said.

Gigafactories and other manufacturing facilities producing clean energy technologies can benefit from generous incentives under the Inflation Reduction Act including the 45X direct payment of US$35/kWh of battery cell production.

Clean Energy Associates recently forecasted that incentives like these would lead US-made battery energy storage system (BESS) containers to become cost-competitive with those from China in the US market by 2025.

Our publisher Solar Media is hosting the10th Solar and Storage Finance USA conference, 7-8 November 2023 at the New Yorker Hotel, New York. Topics ranging from the Inflation Reduction Act to optimising asset revenues, the financing landscape in 2023 and much more will be discussed.See the official site for more details.

Read Next

April 15, 2025
IPP Enlight Renewable Energy has announced the financial close of the 128MW solar and 400MWh battery energy storage system (BESS) Quail Ranch project in New Mexico, US.
Premium
April 15, 2025
A reduction in price volatility has seen BESS revenue decrease by 40% in Australia’s NEM month-on-month in March 2025.
April 15, 2025
Acen Australia has secured AU$750 million (US$472 million) in debt financing to support the rollout of its 13GW renewable energy and storage portfolio.
April 14, 2025
The Texas, US state senate has passed a bill aimed at limiting renewables and encouraging natural gas production.
April 11, 2025
Flow battery developer XL Batteries has commissioned its first organic flow battery through a pilot project with global storage provider Stolthaven Terminals.

Most Popular

Email Newsletter