PRESS RELEASE FROM CHEP

CHEP holds the Battery in Focus Expert Group to create supply chain solutions for Electric Vehicle (EV) batteries

Posted Dec 08, 2020

CHEP holds the Battery in Focus Expert Group to create supply chain solutions for Electric Vehicle (EV) batteries 

The collaborative forum, set up by supply solutions experts CHEP, is helping the automotive industry move faster to develop a safe, efficient and sustainable Lithium-Ion battery supply chain

As the world moves away from traditional fossil-fuel vehicles, Lithium-Ion batteries are becoming one of the most critical, and yet potentially dangerous, components in the Automotive supply chain. 

The high-density batteries required for customer expectations of range are heavy, mainly produced in Asia, and very vulnerable to changes in temperature, mishandling and damage – which risk catastrophic explosive and toxic consequences[1]. This has brought in costly and complex regulations for packing, storing and moving them, which are changing all the time.

But there are many other issues as well, such as threats to the supply of raw materials, the end of life management, recycling and disposal, the legal and insurance implications, and the profitability of Battery Electric Vehicle (BEV)powertrains, where the battery system can be as much as 80% of the cost[2].

All these challenges affect many different parts of the automotive supply chain and we will need a huge collaborative effort if the industry is to successfully, quickly, safely and cost-effectively move to producing more sustainable vehicles on a mass scale. 

This is why the Battery in Focus Expert Grouphas been created- an initiative by global supply chain experts CHEP. It’s a working group and discussion platform that brings together leaders from all parts of the automotive industry and the transport supply chain, as well as outside specialists such management consultants and legal professionals. 

There have already been ten of these expert group sessions, which happen approximately every three months, with high-level involvement from major OEMs, Tier suppliers, battery producers and many others.

Those who join in this unique collaboration will help prepare the way for the coming ‘EV revolution’, guiding how the industry evolves for a sustainable future, and could be part of defining the global standards for this new kind of logistics.

“The Battery in Focus Expert Group is already playing a vital role in the future of the EV supply chain. The breadth of the partnerships and collaboration, even among competing players, shows the benefits of working together to help define the way the industry’s future will develop. We’re delighted that we’re able to use CHEP’s unique position in the supply chain to help make this happen.” Sanjiv Takyar, Head of Innovation, Solutioning & Strategic Marketing, CHEP Automotive & Industrial Solutions.

CHEP has been a global leader in reducing costs and increasing sustainability through reusable automotive packaging solutions for over 30 years, working with OEMs and Tier1s across all continents.

 

About CHEP

CHEP helps move more goods to more people, in more places than any other organisation on earth. Its pallets, crates and containers form the invisible backbone of the global supply chain and the world’s biggest brands trust us to help them transport their goods more efficiently, sustainably and safely. As pioneers of the sharing economy, CHEP created one of the world's most sustainable logistics businesses through the share and reuse of its platforms under a model known as ‘pooling’. CHEP has been at the heart of thousands of automotive and industrial supply chains since 1975, providing our pooling solutions to some of the top OEM and Tier 1 brands all over the world, so we understand what makes them tick. CHEP is part of the Brambles Group and operates in more than 55 countries with its largest operations in North America and Western Europe. For more information on CHEP, visit www.chep.com. For information on the Brambles Group, visit www.brambles.com

 

[1]Footnote 1: Royal Society of Chemistry Advances: 
Thermal runaway of large automotive Li-ion batteries

https://pubs.rsc.org/en/Content/ArticleLanding/RA/2018/C8RA06458J#!divAbstract

 

[2]Footnote 2: PWC – Powertrain Study 2020
https://www.strategyand.pwc.com/de/de/studie/2020/powertrain-study.html