ESPEC Technical Information Technical Report Nobel Prize in Chemistry and Future Outlook of the Japanese Battery Industry Noboru Sato, Doctor of Engineering Executive Adviser, ESPEC CORP. Visiting Professor, Institute of Materials Innovation, Institute of Innovation for Future Society, Nagoya University Abstract The lithium-ion battery, the star of the 2019 Nobel Prize in Chemistry, is currently used all over the world and is becoming a major factor in the creation of a battery-based society. This momentum is expected to bring about the successful development and commercialization of next-generation innovative batteries in Japan. In the current battery market, Japanese automobile companies are leading the charge toward electrification, and the successful construction of supply chains by Japanese battery companies is expected to lead to stable business succession in the future. However, it is also important to develop a strategy for confronting the top three battery companies in South Korea and the major battery companies in China. 1. LIBs: The star of the 2019 Nobel Prize in Chemistry First, congratulations are in order for Dr. Akira Yoshino, Honorary Fellow of Asahi Kasei, for receiving the 2019 Nobel Prize in Chemistry. In 1980, Professor John B. Goodenough of Oxford University in the UK (co-winner along with Dr. Yoshino and Prof. Stanley Whittingham) discovered a lithium cobalt oxide, a positive electrode material that would later be used in lithium -ion batteries (LIBs). Following this discovery, Dr. Yoshino concentrated his research on a negative electrode material that could be used with this positive electrode material. Through trial and error, Dr. Yoshino settled on using a carbon material. In 1985, this breakthrough led to the creation of the basic structure that would serve as the prototype of lithium-ion batteries used today. A patent for the structure was filed on November 8, 1986, and registered on July 4, 1997. The registration date marked a significant moment as Patent Publication No. 2668678 became one of the most influential basic patents. This genre-defining invention came to fruition through practical application in 1991, when Sony became the first company in the world to mass-produce a lithium-ion battery. Mr. Yoshio Nishi, a former executive officer and executive vice president at Sony, was a key player in this historic moment, which sent shockwaves throughout the world. Test Navi Report No. 35 (Vol. 122) 2020 1 ESPEC Technical Information I have had the pleasure of knowing Dr. Yoshino for more than 25 years. In 1992, after Sony’s mass production breakthrough, I was working at the Wako Research Center for Honda R&D Co., Ltd., when the phone on my desk rang. On the other end of the line was Dr. Yoshino. He said, “I am interested in exchanging ideas about the evolution of lithium-ion batteries with those in different industries, and I was hoping Honda would take part.” He said he was looking for only one company for each industry. I replied saying, “I think you want to contact Toyota, the industry leader.” He said, “Even if I went to Toyota, they wouldn’t pick this up.” I told Dr. Yoshino that I didn’t think Honda would be interested in what he was offering either, and he responded with, “I figured that, even if Honda doesn’t pick this up, you at least would be interested.” Dr. Yoshino’s response came as a complete surprise. I ended up accepting the offer to participate in the cross-industrial exchange meeting, which brought together various companies from numerous industries, including manufacturers, component manufacturers, and research companies. The meeting itself involved provided topics and discussions from participating companies, and I had the chance to discuss and review various issues and prospects related to electrification of automobiles and batteries. Through this exchange, I became convinced that the era for lithium-ion batteries being applied to in-vehicle applications was on the horizon. In 1999, the “In-Vehicle Lithium-Ion Battery” project was officially launched by Honda R&D’s Tochigi Research Center. Even during that time, I sympathized with Dr. Yoshino’s passion and insightful outlook toward the future, and I remain grateful for his inviting me to participate in that cross-industrial exchange meeting. In 2001, the first international Advanced Automotive Battery Conference (AABC) was held in Las Vegas. I was invited as a guest lecturer from Honda at the conference, and for three years from 2002 to 2004, I was asked to chair the Advanced Batteries session, which I readily accepted. In 2002, I had the privilege of recommending a speaker for the conference. I asked Dr. Yoshino, now known as the creator of the world’s first lithium-ion battery, to give a lecture. I wanted participants from around the world to recognize and appreciate Japan’s technological capabilities. At the 2nd annual AABC in 2002, also held in Las Vegas, Dr. Yoshino spoke about the circumstances leading up to his invention and about future development prospects. At the end of his lecture, a resounding wave of applause and excitement swept through the venue in recognition of Dr. Yoshino’s first breakthrough invention in Japan. Beginning in 2009, electric vehicles (EVs) with LIBs began to appear. Rapid commercialization of not only personal EVs but also EV taxis, EV buses, and other EVs began in China in 2010, but frequent fire accidents and other incidents became major problems for the country. In recognition of Test Navi Report No. 35 (Vol. 122) 2020 2 ESPEC Technical Information the need for measures to help prevent such incidents, I decided to publish my “Essential Guide for Battery Safety and Reliability.” As the authority on LIB, Dr. Yoshino co-supervised that book, which culminated in three volumes in 2009, 2014, and 2017. The 2017 volume can be found at the following website. That book includes a description of ESPEC’s business model and safety evaluation tests, provided by an ESPEC business manager. (Only Japanese version available.) https://www.cmcbooks.co.jp/products/detail.php?product_id=5251 Currently, the automobile industry and the battery industry are required to abide by UN rules and standards designed to ensure the safety and reliability of in-vehicle batteries. ESPEC CORP. established the Battery Safety Testing Center (Fig. 1) in Utsunomiya in September 2015 to assist in improving development efficiency in various industries. One of the Center’s main efforts is to offer a one-stop certification service for compliance with UN Regulation ECE R-100 Part. II, which has been mandatory since July 2016. We asked Dr. Yoshino to deliver the keynote speech for the opening ceremony to make the event that much more special. We were able to ask Dr. Yoshino to give the keynote speech for this ceremony because we had previously invited him to ESPEC’s regular company-wide technology information exchange meeting in 2014. For the 2019 annual conference in May, we again asked Dr. Yoshino to give the keynote speech. ESPEC President Masaaki Ishida, who also serves as chairman of the Japan Testing Machine Industry Association, also asked Dr. Yoshino to be a speaker. As these memories highlight, ESPEC has enjoyed a close working relationship with Dr. Yoshino for many years. Battery Safety Testing Center, Utsunomiya Test Center - Opened the Energy Device Environmental Test Center for battery testing (2013) - Established a One-Stop Certification Service for UN Regulation ECE R-100.02 Part. II certification (with services beginning in Sept. 2015, and certification required from July 2016) - Compliant with Chinese standards GB/T 31485 & 31467.3 - Provides safety testing designed specifically for automobile and battery manufacturers Toyota Test Center Fig. 1 — ESPEC’s Battery Safety Testing Center Test Navi Report No. 35 (Vol. 122) 2020 3 ESPEC Technical Information As electrification in the automobile industry continues to accelerate, business competition in the battery industry is intensifying. Japanese battery companies, which had been powerhouses until 2010, have since lost their momentum in the face of fierce competition from South Korea and China. Stemming from the US’ Zero-Emission Vehicle (ZEV) regulation established in 1990, the electrification of automobiles began with the efforts of Japanese major automobile and battery industry companies being key to development, and the goal of electrification in automobiles c ontinues to be a driving force in the world today, and Japan continues to be a leader in that goal. Although China has thus far focused on promoting a system that specializes in electric vehicles (EVs), the country changed its policy in July 2019 by looking into introducing a system giving preferential treatment instead to hybrid vehicles (HEVs). With consideration for CO 2 emissions as part of life- cycle assessment (LCA), this is the correct direction to take, and I hope the Chinese government will revise its policy and reach a decision in early 2020. From an LCA perspective, HEVs are expected to bring about reductions in CO2 throughout the world. This means the demand for LIBs will increase, including for plug-in hybrid vehicles (PHEVs). Because batteries with high output characteristics in particular are required, Japan’s prowess in output-oriented LIB business is expected to expand going forward. Development of all-solid-state batteries, which have been growing in popularity, has spread to all corners of the world thanks to the breakthrough of the revolutionary solid electrolyte discovered in 2016 through joint research between the Tokyo Institute of Technology and Toyota Motor Corporation. (Fig. 2) Test Navi Report No. 35 (Vol. 122) 2020 4 ESPEC Technical Information Fig. 2 — Current status and roadmap of all-solid-state batteries Collaborations between industry, academia, and government are essential for improving industrial competitiveness. This includes the development of a patent recognition system that makes it easier for new emerging research to open new pathways forward.