First Overseas Order Worth $1.72 Billion by 2030
Partners with Global Graphene Material Technology Firm Nanotech Energy
To Jointly Develop Next-Generation Batteries with Enhanced Fire Suppression
Kumyang, a battery development and production company headquartered in Busan, struck a massive 'jackpot' on the 19th by signing a battery supply contract worth over 2 trillion KRW with US-based Nanotech Energy (Nanotech) over six years, opening the door to the global market.
Nanotech is a developer and manufacturer of lithium-ion secondary batteries utilizing graphene materials, and has signed a supply contract with Kumyang for 2170 cylindrical batteries.
The core of the supply agreement between the two companies is a distribution supply contract for 2170 batteries (model 2170-50E and TBD models) cells over six years from 2025 to 2030, totaling USD 1.72 billion, which is approximately 2.3 trillion KRW.
Through Nanotech, Kumyang has secured a stable route to supply the 2170 (5Ah) cells it produces to the US and global markets for special application fields such as ESS, UPS, and defense.
Headquartered in Miami, Florida, Nanotech is a company specializing in the manufacture and sales of secondary battery cells based on its technological superiority as the only company to industrialize high-purity layered graphene. It is engaged in the business of supplying graphene-based energy storage battery products.
The CEO is Jack Kavanaugh, who owns 18650 cell and 2170 cell production lines in the US. Nanotech's single-layer graphene material is an innovative material technology with the world's first patent, and is used in various applications such as non-flammable high-grade lithium-ion batteries, transparent conductive electrodes, conductive ink, conductive epoxy, and anti-static coatings.
The 2170 cylindrical batteries supplied by Kumyang will be applied by Nanotech to ESS, UPS, and other applications, and are planned to be resold in the US and global markets.
With this, Nanotech and Kumyang have established a strategic partnership that combines their specialized innovative technologies and business capabilities, thereby securing strong competitiveness in the global battery market.
ESS (Energy Storage System) is a system for storing generated electricity, and with the current trend of decarbonization and the restructuring of the energy ecosystem, demand is expected to surge in the future. UPS (Uninterruptible Power Supply system) is an energy protection device that ensures load systems are not affected by interruptions in external power supply for a certain period.
Since it continues to supply power to devices using energy stored in batteries during blackouts, it is used as a network safety device in data centers of IT and telecommunications companies and financial institutions such as banks and securities firms, as well as national intelligence agencies and global corporations that require big data in the AI era. Additionally, demand is expected to surge in other special applications such as defense and aerospace.
Regarding the recent supply contract, Nanotech CEO Jack Kavanaugh stated, "Nanotech, which has a safe technology platform not restricted by chemicals, has reviewed and analyzed the quality of Kumyang's advanced technology-produced batteries through various technical methods, and, convinced that the products are sufficiently competitive in the global market, concluded the contract after board approval."
He added, "We hope to continue to stably supply Kumyang's batteries to the US and European and other global markets in the future."
It is known that Nanotech highly values the fact that Kumyang's batteries meet the requirements for fast charging performance, safety, durability, energy efficiency, and economical production costs.
Kumyang Chairman Ryu Kwangji said, "This large-scale order contract with US-based Nanotech Energy, which possesses world-class technology in secondary battery research and production, was achieved as Kumyang's cylindrical batteries were recognized for their excellence in the US market," and evaluated, "Starting from this, Kumyang has solidified its position in the global cylindrical battery market, giving momentum to the business."
He further emphasized, "When the Gijang Dream Factory 2 is completed in December and full-scale mass production begins, we will launch global marketing in the US, Southeast Asia, Europe, the Middle East, etc., with a two-track supply strategy for the 2170 cell, which has now reached a stable production level, as well as the 4695 battery, which Kumyang successfully developed for the first time in Korea."
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