A manufacturer of graphite and composite materials is expanding its operations in Arkansas to produce components for electric vehicle battery enclosures.
SGL Carbon said the $4.5 million investment will install new production processes for fiber-based components in Arkadelphia, Arkansas. The company cited a "substantial” contract from an unnamed North American automaker early last year to make carbon and glass fiber-based composite top and bottom layers for battery enclosures.
The expansion is expected to create 35 new jobs over the next three years.
"Composite battery enclosures fit perfectly to the specific needs of modern e-car chassis,” Steve Swanson, the vice president of operations at the SGL Composites Inc. subsidiary, said in a statement. "Thus, with the ongoing enhancement of our Arkadelphia operations, we also support the great trend towards more e-mobility in the U.S.”
The project began in October, and the new production is expected to be fully operational by the end of the year. The Arkadelphia facility currently produces carbon and glass fiber-reinforced products for the automotive, aerospace, and energy sectors.
Arkansas officials said the company would receive funding from the state’s Economic Development Commission to support the project. Additional financial details were not disclosed.