Business Finland has granted an investment aid of EUR 115 million to Easpring Finland New Materials Oy for the construction of a cathode active material (CAM) factory in Kotka, Finland.
The investment aid from the clean transition aid scheme for industrial investments, granted by Business Finland, is part of the EU’s Temporary Crisis and Transition Framework (TCTF). The TCTF framework allows EU countries to subsidize investment projects that promote the transition to a climate-neutral economy.
“We are very pleased with Business Finland’s funding decision, which is an important element of ensuring the global competitiveness of CAM production in Kotka. CAM production is a capital-intensive industry requiring high technology. Our Kotka CAM factory is one of the key projects for fulfilling the EU’s ambitions to increase domestic battery material production,” says Jashon Guan, CEO of Easpring Finland New Materials Oy.
The total value of the Kotka CAM factory investment is approximately EUR 800 million, and at the most active stage of construction, approximately 800 people are expected to work on the site. It is estimated that the plant will employ approximately 270 people directly in the operational phase.
“The grant from Business Finland is an important part of the project’s financing and it secures the continuation of construction activities in Kotka. We are very pleased that the project’s importance to Finland and Europe is recognized in the form of this major investment aid,” says Zhibo Guan, CEO of Beijing Easpring.
Cathode active material (CAM) plays an important role in lithium-ion batteries, which are used in electric vehicles, energy storage, and other applications. When the Kotka CAM plant reaches full production volume of 60,000 tons, it will supply cathode material for lithium batteries of approximately 750,000 EVs annually, depending on the battery sizes in EVs.
Further information for the media:
Vesa Koivisto
Chief Commercial Officer
Easpring Finland New Materials Oy
+358 50 453 6322
firstname.lastname(at)easpring.fi
Easpring Finland New Materials Oy
Established in March 2024, Easpring Finland New Materials Oy is a joint venture of which Beijing Easpring Material Technology Co., Ltd., listed in ChiNext, owns 70 percent and Finnish Minerals Group 30 percent. The purpose of the company is to produce cathode active materials for the needs of the European production facilities of Easpring’s existing and new customers. www.easpring.fi
