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SPECIAL REQUIREMENTS FOR TOOL MANUFACTURERS REGARDING BATTERIES

21.01.2021 / Ilkka Heikkilä 1 INTERNAL CONTENT

Automotive EV Systems

• Special requirements for tool manufacturers to produce tools for electric vehicle batteries

© Valmet Automotive 2 VALMET AUTOMOTIVE – OUR HISTORIC LANDMARKS Competence in building electric vehicles since 2009

1968 1969 1986 1992 1995 1997 2009 2010 2011 2013 2017 2018 2019

Founded as To become Pontos and Tesi CATL as New SALO Saab-Valmet independent stepped in as a new plant SOP Joint Venture from Saab, new shareholders shareholder of high- between Saab- fully owned volume Scania and by Valmet battery Valmet Acquisition of systems Renamed to Valmet Convertible Roof Automotive Systems

© Valmet Automotive VISION 3 OUR DELIVERABLES – WE MAKE [ELECTRIC] VEHICLES HAPPEN

EV BATTERY SYSTEM

VEHICLE ROOF & CONTRACT KINEMATIC MANUFACTURING SYSTEMS

Existing & new vehicle Engineering & Existing & concepts Production new customers

© Valmet Automotive MISSION 4 ELECTRIFYING ELECTRIC VEHICLES (EV) SYSTEMS THE FAST LANE OF LIFE: ELECTRIC.

BATTERY MODULES AND SYSTEMS BUSINESS MODELS 48V & HIGH-VOLTAGE CONTRACT MANUFACTURING & SYSTEM SUPPLY

PRODUCTION FROM PROTOTYPES TO HIGH VOLUME SERIES

© Valmet Automotive © Valmet Automotive ELECTRIFYING ELECTRIC VEHICLES (EV) SYSTEMS

BATTERY MODULES AND SYSTEMS • 48 Volt & High-Voltage (All Cell Formats) • Automotive & Off-Highway Applications • Components – Junction Box, CMC & BMU PRODUCTION • Manufacturing Engineering • Module & Battery Pack Assembly • Prototypes, Small Series & High-Volume Series

BUSINESS MODELS • System Supply & Contract Manuf. VISIONARY • Tier-1 & Tier-2 • Engineering & Testing Services PARTNER.

© Valmet Automotive 6 CONTENT

• Valmet Automotive EV Systems

• Special requirements for tool manufacturers to produce tools for electric vehicle batteries

© Valmet Automotive 7 SPECIAL REQUIREMENTS FOR TOOL MANUFACTURERS MINIMUM REQUIREMENT FOR ALL SUPPLIERS IS ISO 9001 CERTIFICATION AND WILLINGNESS TO DRIVE FOR IATF 16949 CERTIFICATION, IF CERTIFICATE DOESN’T EXIST YET

• IATF 16949 is a global Quality Management System Standard for the . • IATF 16949:2016 incorporates the structure and requirements of the ISO 9001:2015 quality management system standard with additional automotive customer-specific requirements.

• It was developed by the INTERNATIONAL AUTOMOTIVE TASK FORCE (IATF), with support from AUTOMOTIVE INDUSTRY ACTION GROUP (AIAG). This standard requires certification by a 3rd party auditor.

• Here are some key areas of focus: • Continuous improvement. • Defect prevention. • Reducing waste. • Product safety. • Risk management. • Contingency planning. • Requirements for embedded software. • Change and warranty management. • Management of sub-tier suppliers.

© Valmet Automotive WHERE DOES IT APPLY? • IATF 16949 can be used by any supplier, large or small, and should be applied throughout the whole automotive supply chain. • Over 65,000 suppliers worldwide are currently certified to IATF 16949.

• To get the IATF 16949 certificate, the company needs to have an automotive product in production. • Usually when first applied, IATF certification is obtained whilst the production for the first automotive parts is already ongoing.

• IATF 16949 is mandatory for all automotive products. • NOTE! Applies for vehicles permitted to drive on highways, e.g. all and trucks.

• IATF 16949 does not apply for vehicles restricted from highways. • E.g., tractors, harvesters. → If a company only providing parts / assemblies to an off-highway vehicle, they are not entitled to the IATF certificate.

• In Valmet Automotive’s business, all new suppliers must have the IATF 16949 certificate. • If a supplier does not have it yet, they must have the ISO 9001 certificate and means to obtain the IATF 16949 certificate.

• ISO 14001 is an advantage as it shows intention in sustainability.

© Valmet Automotive 5 IATF CORE TOOLS DEFINED BY AIAG

© Valmet Automotive PRODUCTION PART APPROVAL PROCESS -PPAP PPAP IS DEFINED IN THE AIAG’S PPAP MANUAL

• PPAP is used in the automotive supply chain for Critical elements of PPAP: establishing confidence in suppliers and their • Design Records production processes. Actual measurements are • Authorized Engineering Change (note) Documents taken from the parts produced and are used to • Engineering Approval complete the various test sheets of PPAP. • DESIGN FAILURE MODE AND EFFECT ANALYSIS (DFMEA) • The PPAP process is a detailed and lengthy process. • Process Flow Diagram The PPAP package includes documentation of • PROCESS FAILURE MODE AND EFFECT ANALYSIS (PFMEA) various multiple cross-functional tools and • Control Plan documents the ability of the supplier to meet all • MEASUREMENT SYSTEM ANALYSIS Studies (MSA) customer requirements. • Dimensional Results • PPAP provides customers adequate information to • Records of Material / Performance Tests validate that all areas of the design and production • Initial Process Studies processes have been reviewed thoroughly to ensure • Qualified Laboratory Documentation that only high-quality products will be allowed to • Appearance Approval Report ship to the end customer. • Sample Production Parts • Minimizing the risk of failure by effective use of APQP. • Master Sample • Using official PPAP format with documented • Checking Aids results. • Customer-Specific Requirements • Part Submission Warrant (PSW)

© Valmet Automotive 11 WHAT THIS MEANS IN PRACTICE TO TOOL SUPPLIERS

• Parts made with the tool must be measured and measurement reports approved that the try-out is approved. • The tools should be in the preventive maintenance plan. • The measuring equipment must be officially calibrated, and the calibration must have a tracking system. • MSA should be done for the measuring devices in use. • If an external lab is used, it must be an accredited laboratory. • Staff must be trained and up-to-date on their duties. • All of this must be documented and delivered directly or upon request. • No changes may be made to an approved tool, process or parts, etc. without the customer's permission and a possible new PPAP approval needed.

© Valmet Automotive CONTACT

Ilkka Heikkilä Sourcing manager, Direct Material, EV power +358 503458603 [email protected] THE FAST LANE TO FUTURE VEHICLES