Donghwa Electrolyte has begun securing orders in earnest for electrolyte solutions used in energy storage system (ESS) batteries.
The company said Tuesday it had signed an electrolyte supply agreement with a global battery manufacturer for ESS applications.
The customer's name and contract value were not disclosed under a confidentiality agreement. The contracted volume will be produced at the company's Tennessee factory and delivered to the customer.
Donghwa Electrolyte said the ESS order lays the groundwork for new revenue streams as a breakthrough amid slowing electric vehicle demand. Last year, the company also signed a supply agreement with a battery manufacturer for ESS products from its Malaysian factory, with a purchase guarantee attached.
"With this contract, our US factory has expanded its product lineup to include ESS electrolytes, in addition to those for electric vehicles and eco-friendly cars," the company said. "A tailored product mix covering a broad range of end-users will allow us to respond flexibly to the needs of each customer."
The company also expects the deal to strengthen business stability. "Securing competitiveness in the fast-growing ESS sector will allow us to expand our influence in the global market," a company official said.
freiheit@heraldcorp.com
