CSIRO says Australia could expand its role in the global battery supply chain by manufacturing selected battery components locally, rather than focusing solely on mining and exporting critical minerals.
In a new report, The future of Australian battery manufacturing: Cell cans and current collector foils, the national science agency examines what would be required to convert more domestic resources into parts used in lithium-ion and emerging sodium-ion batteries.
CSIRO Advanced Battery Manufacturing lead Dr Adam Best said the analysis combines advanced manufacturing, battery materials and industrial process assessment to identify areas where Australian industry already has relevant capability.
“That combination is central to the report’s message that Australia’s battery opportunity is not only about what lies in the ground, but what can be made here from it,” Dr Best said.
The report cites McKinsey analysis projecting the global lithium-ion battery value chain could grow to more than US$400 billion by 2030. It also points to the Australian Government’s National Battery Strategy, which notes 96 per cent of revenue opportunity is expected to occur downstream of mining.
CSIRO argues that capturing more of the value chain domestically could help shift Australia from exporting raw and refined materials towards producing higher-value components, supporting manufacturing jobs and strengthening supply chains tied to the clean energy transition.
Rather than attempting to build a full battery manufacturing industry at once, the report identifies two initial opportunities: manufacturing prismatic battery cell cans from Australian aluminium using impact extrusion, and producing copper current collector foil via electrolytic deposition.
Both options are presented as aligned with existing Australian strengths, including aluminium and copper resources and experience in metal forming, packaging, electrorefining and electrowinning.
CSIRO researcher Geoff de Looze said the study focused on “realistic opportunities” to progress from minerals and materials into higher-value components.
“The question is where we can take the most practical next steps. This work identifies areas where Australian materials, existing industrial capability and targeted investment could come together to create a stronger domestic supply chain,” Mr de Looze said.
The report outlines technical requirements for battery cell cans, including the need to withstand pressure changes and crash loads, remain compatible with electrolyte chemicals, minimise weight and maximise energy storage space at low cost. It says Australia could feasibly make a range of cell formats, but some pathways would require major investment in production of nickel-plated steel and aluminium sheet.
For current collector foils, the report notes the engineering demands involved, citing typical thickness of copper foil on a lithium-ion battery’s negative electrode at about six microns. It identifies electrolytically deposited copper foil as a potential first priority, describing it as scalable by adding production cells and less capital-intensive than rolling processes.
CSIRO says rebuilding downstream capability would require technical, commercial and market analysis, particularly where high facility utilisation is needed for viability. It argues, however, that Australia “is not starting from scratch” given existing minerals, industrial base elements and growing policy focus on clean energy manufacturing.
CSIRO also said it has recently established the Australian Battery Safety Facility to support testing and understanding of battery safety as domestic industry develops.
The report was funded through the AU-USA Battery R&D Grant, an Australian Government-supported initiative.
