Novonix has finalized a binding purchase agreement with Volkswagen’s battery subsidiary, PowerCo, to supply at least 32,000 tonnes of synthetic graphite over five years, starting in 2027.
In a more extensive agreement, Stellantis will purchase a minimum of 86,250 tonnes—and potentially up to 115,000 tonnes—of synthetic graphite from Novonix over six years, commencing in 2026.
Both automakers will receive supplies from Novonix’s Riverside facility in Chattanooga, Tennessee. This plant recently received a $100 million grant from the U.S. Department of Energy’s Office of Manufacturing and Energy Supply Chains, along with a $103 million investment tax credit to support its development.
Novonix is also planning a second facility in the southeastern United States. The new plant will have an initial production capacity of 30,000 tonnes per annum (tpa), with plans to expand to 75,000 tpa. The company is engaged in discussions with the DOE Loan Program Office for an Advanced Technology Vehicles Manufacturing Program loan to aid in its construction.
Dr. Chris Burns, CEO of Novonix, commented on the Stellantis agreement: “We are excited to have Stellantis’ commitment, now as our largest customer, to support their North American EV growth plans. This contract allocates the remainder of our available volumes at our Riverside facility and a portion of volumes to be produced at our planned greenfield facility. Offtake agreements with high-quality partners such as Stellantis solidify Novonix’s position as a leader in onshoring the supply chain of synthetic graphite and accelerating the adoption of clean energy.”
Previously, Novonix announced a supply agreement with Panasonic, providing at least 10,000 tonnes of synthetic graphite over four years starting in 2025. Additionally, LG Energy Solution has announced plans to develop graphite anode material with Novonix, although a formal contract has yet to be finalized.
