Sion Power announces expansion plan of electric vehicle battery plant in Arizona

Sion Power announced plans to expand its existing manufacturing operations in Tucson, Arizona. The planned expansion site is the 111,400-square-foot building at 6950 South Country Club Road.

The expansion is expected to be complete by 2026 and create over 150 jobs. New jobs will primarily be engineering, skilled technicians, and other manufacturing-related positions. The overall economic impact of the expansion is $341 million over the next five years. Sion Powerā€™s headquarters will remain in its nearby location at 2900 East Elvira Road, doubling its footprint.

Sion Power chose to expand because of its rich history, access and the availability of quality and skilled employees in the Tucson community. Since its inception as a small group of researchers for next-generation batteries, the company has been in Tucson. Now Sion Power has over 100 employees and is scaling up its ultra-high energy, lithium-metal based LicerionĀ® battery development.

ā€œThe global construction of battery manufacturing plants is occurring at a rapid pace, and the United States canā€™t be left behind,ā€ said Mr. Tracy Kelley, CEO of Sion Power. Mr. Kelley went on to say, ā€œWith 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.ā€

Sion Powerā€™s facility expansion will be equipped with fully automated battery cell production capabilities, including proprietary lithium metal anode manufacturing, cell assembly, and testing.

The critical component of the companyā€™s battery is the proprietary anode technology, which is a key differentiator and enabler within the next-generation rechargeable battery market and is capable of delivering up to 500 Wh/kg.

Project partners include the Arizona Commerce Authority, Pima County, City of Tucson, and Sun Corridor Inc. Potential City of Tucson incentives are under review and subject to final approval by Council.

ā€œSion Powerā€™s expansion further emphasizes Arizonaā€™s global leadership in battery and EV technologies,ā€ Sandra Watson, president and CEO of the Arizona Commerce Authority. ā€œWe are excited Sion Power will continue its impressive legacy in Tucson, manufacturing batteries for electric vehicles while expanding Arizonaā€™s battery supply chain.ā€

ā€œSion Power has been a valued business in Pima County for many years,ā€ said Sharon Bronson, chair, Pima County Board of Supervisors. ā€œThe 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.ā€

ā€œI want to congratulate Sion Power and CEO Tracy Kelley on their latest plans for expansion,ā€ said Tucson Mayor Regina Romero. ā€œTucson 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 Tucsonā€™s reputation as a leader in climate action,ā€ added Romero.

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

Sion Powerā€™s expansion highlights the stateā€™s growing battery industry and supply chain. Within the last few years, companies such as Li-Cycle, LG and KORE Power have commenced or announced operations throughout the state.

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