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Sion Power Announces Plans to Expand Battery Manufacturing Operations in Tucson, Arizona

Sion Power Corporation, a global leader in the development of next-generation batteries for electric vehicles (EV), recently unveiled its expansion plans for its manufacturing operations in Tucson, Arizona. The envisioned expansion will take place at the 111,400-square-foot facility located at 6950 South Country Club Road. This strategic move signifies Sion’s commitment to bolstering its production capacity, thereby permitting it to meet the escalating demand for EV batteries while contributing to local economic growth.

(Image: Sion Power)

The expansion, scheduled to be completed by 2026, is projected to generate over 150 new jobs, primarily in engineering, skilled technician roles, and other manufacturing-related positions. The resultant economic ripple effect is expected to inject an estimated $341 million into the local economy over the next half-decade. Sion Power’s headquarters will continue its operations at 2900 East Elvira Road, thereby effectively doubling its operational footprint.

The decision to expand in Tucson was influenced by Sion Power’s deep-rooted history in the region, excellent accessibility, and the availability of high-quality, skilled workforce. Since its humble beginnings as a small team of researchers committed to next-generation battery technology, Sion Power has chosen to call Tucson home. Presently, Sion Power boasts a team of over 100 dedicated employees, tirelessly working towards the scaling up of its ultra-high energy, lithium-metal based Licerion® battery development.

“The global construction of battery manufacturing plants is occurring at a rapid pace, and the United States can’t be left behind,” said Mr. Tracy Kelley, CEO of Sion Power. Mr. Kelley went on to say, “With our facility expansion in Tucson, Arizona, it will allow Sion Power to further our mission of scaling battery manufacturing from research and development to commercialization. This enables us to better serve our customers and their applications.”

As part of the expansion, Sion Power’s facility will be outfitted with fully automated battery cell production capabilities. These capabilities will encompass the manufacturing of proprietary lithium metal anodes, cell assembly, and testing. A significant feature of the company’s battery is its proprietary anode technology. This unique technology sets the company apart in the next-generation rechargeable battery market, delivering an impressive energy density of up to 500 Wh/kg.

Sion Power’s expansion project enjoys support from several key partners, including the Arizona Commerce Authority, Pima County, City of Tucson, and Sun Corridor Inc. Currently, potential incentives from the City of Tucson are undergoing review, subject to final approval by the Council.

“Sion Power’s expansion further emphasizes Arizona’s global leadership in battery and EV technologies,” Sandra Watson, president and CEO of the Arizona Commerce Authority. “We are excited Sion Power will continue its impressive legacy in Tucson, manufacturing batteries for electric vehicles while expanding Arizona’s battery supply chain.”

“Sion Power has been a valued business in Pima County for many years,” said Sharon Bronson, chair, Pima County Board of Supervisors. “The County works hard to ensure local companies have the workforce they need, and we thank Sion for their continued investment in our region. Congratulations to Tracy and the entire team for this achievement.”

“I want to congratulate Sion Power and CEO Tracy Kelley on their latest plans for expansion,” said Tucson Mayor Regina Romero. “Tucson is a national leader in EV readiness and a growing hub for battery manufacturing in the Southwest. Together, we are creating hundreds of high-wage green jobs and elevating Tucson’s reputation as a leader in climate action,” added Romero.

“Beyond business attraction, another critical aspect to economic development success is to help local headquarter companies like Sion Power expand,” said Joe Snell, president & CEO of Sun Corridor Inc. “We’re thrilled to see this expansion include innovative and next-gen technologies that offer high-skilled jobs to our community.”

Sion Power’s expansion signals a significant development in Arizona’s burgeoning battery industry and supply chain. The state has seen a surge in related activities, attracting global giants as well as innovative startups. Li-Cycle, a global leader in lithium-ion battery recycling, recently established its presence in Arizona, heralding a new era of green and sustainable energy practices.

Additionally, LG, an international conglomerate with an impressive portfolio of energy solutions, has also commenced operations in the state. Furthermore, KORE Power, known for its high-density lithium-ion energy storage solutions, has announced its plans to expand its operational footprint within Arizona. These activities underscore the state’s strategic position as a hotspot for the battery industry, fostering technological innovation while contributing to economic growth and job creation.