Japanese battery equipment manufacturers have established a new venture to develop modular electric vehicle (EV) battery factories, a model they say could significantly reduce equipment costs and shorten construction timelines.

According to Nikkei Asia’s report, the initiative is being led by Swiftfab Energy Systems, a company formed in April by nine battery equipment suppliers.

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Founding members include Hitachi, Ricoh, Toyota Motor-affiliated Jtekt, Komatsu subsidiary Komatsu NTC and industrial air-conditioning manufacturer Seibu Giken.

The participating companies are members of the Battery Association for Supply Chain.

Swiftfab intends to supply battery production equipment in container-sized modules that can be combined to form complete manufacturing lines.

According to the report, around 1,000 modules would be required to build a facility capable of producing batteries for 50,000 EVs annually.

Under the proposed system, battery manufacturing processes such as material processing, electrode fabrication, cell assembly and electrolyte filling will be divided into smaller stages and incorporated into modular production units designed to fit customer facilities.

The equipment will be produced by Swiftfab’s founding companies, while Swiftfab will be responsible for assembling and packaging the machinery into modular containers.

The venture, which is expected to receive government support through subsidies, aims to bring its first factory into operation by the end of 2030.

The modular approach is intended to address challenges associated with conventional battery plant construction.

Japanese battery manufacturers often rely on more than 50 suppliers when building production facilities, creating coordination and scheduling complexities that can contribute to project delays.

Swiftfab will also manage the procurement of common components, including sensors and motors, on behalf of participating suppliers.

According to the report, the modular factory model could reduce construction periods from the current four to six years to between two and three years.

The use of smaller-scale equipment is also expected to lower operating costs once production begins.