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Mercedes-Benz Signs $1.45 Billion Supply Agreement With Rock Tech Lithium

Mercedes-Benz signed an initial CAD 2 billion (€1.5 billion / $1.45 billion) supply agreement with Canadian-German cleantech start-up Rock Tech Lithium. The company produces lithium hydroxide for EV batteries, while on a mission to power the electric mobility revolution and help the automotive industry zero-out emissions.
Mercedes-Benz EQE SUV 7 photos
Mercedes-Benz signs supply deal with Rock Tech LithiumMercedes-Benz EQE SUVMercedes-Benz EQE SUVMercedes-Benz EQE SUVMercedes-Benz EQE SUVMercedes-Benz EQE SUV
The strategic partnership between the two companies was announced during a German-Canadian summit in Toronto in August this year. Thanks to it, the three-pointed-star brand will be able to secure high-quality lithium for its battery production.

Lithium hydroxide from Rock Tech offers Mercedes-Benz the opportunity to support two strategic goals: localized and reliable sourcing as well as production under high sustainability standards,” said Markus Schäfer, Chief Technology Officer, Mercedes-Benz Group AG.

Rock Tech will supply the lithium hydroxide to Mercedes-Benz battery partners from a converter based in Guben, Brandenburg, Germany, along with other mining sites audited by the Initiative for Responsible Mining Assurances ("IRMA"), to ensure that high environmental and human rights standards are met.

The five-year collaboration will begin with a qualification period in 2026, allowing Mercedes to supply its battery partners with the raw material needed, which, in turn, will help the brand to rapidly scale up EV production. This will move the automaker closer to its objective of going all electric by the end of the decade, while also reducing CO2 emissions and the amount of rare earth metals used for each vehicle.

The agreement covers an average of 10,000 tons of battery-grade lithium hydroxide per year – or about 150,000 electric vehicles produced annually, meaning “over 40 percent of the expected annual production from the planned converter capacity,” according to Rock Tech.

We are well aware of the significance of this relationship to both parties. (…) This arrangement is a major step forward in our plans to directly contribute to clean mobility," said Markus Bruegmann, Chief Executive Officer of Rock Tech Lithium.

Editor's note: The gallery also features the recently-unveiled EQE SUV

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