CarbonX secures new funding to build resilient battery supply chains

CarbonX, a Dutch deep-tech startup revolutionizing battery anode materials, has announced the extension of €4 million on its €10 million growth funding round, co-led by new investor Energy Transition Fund Rotterdam managed by InnovationQuarter and existing shareholders Innovation Industries, and Borski Fund. Due to enormous market pull, the extended round will be used to increase battery test capacity, secure feedstock and offtake and prepare for a feedstock mixing facility in the Port of Rotterdam in view of first offtake agreements. Founded in 2014 as a spin-off from Delft University of Technology, CarbonX is on a mission to establish sustainable, cost-efficient, and geopolitically independent battery supply chains across Europe and the United States of America.

Addressing Critical Supply Chain Challenges
With 95% of graphite —an essential battery component— sourced from China, global battery manufacturers face significant geopolitical and supply chain risks. While policy initiatives like the U.S. Inflation Reduction Act (IRA) and the EU’s Critical Raw Materials Act (CRMA) aim to address these challenges, solutions that combine, scalability, cost-efficiency, and performance are scarce to non-existent.
Founded by Rutger Van Raalten and Daniela Sordi, CarbonX offers a breakthrough alternative: a locally produced carbon anode material that matches the cost of Chinese graphite, delivering fast-charge and enhanced battery lifetime at the face value of reduced carbon footprint. The company’s carbon anode material is currently undergoing late-stage qualifications with several top 10 global battery cell manufacturers, paving the way for initial offtake agreements expected mid 2025.

Game Changing Technology
CarbonX utilizes a unique emulsion feedstock technology to produce a new carbon anode material equivalent to graphite. One of the key benefits of using this feedstock technology is that the entire production process consumes much lower energy compared to synthetic or natural graphite production, resulting in lower cost and a reduced carbon footprint. Daniela Sordi, CTO of CarbonX explains “Our feedstock technology seamlessly integrates into existing carbon black manufacturing plants resulting in the production of a novel structured carbon material that functions as an active anode material, like graphite. CarbonX’s unique 3D porous network structure improves electron- and lithium-ion transfer, while it is still highly compressible to achieve high energy densities.”

Building the Foundation for Local Supply
The new funding will be used to execute first offtake agreements and further locking in local production capacity via contract manufacturing. Additionally, a newly commissioned 200 m2 single-layer pouch lab will be fully staffed to support client qualifications and develop CarbonX’s next generation anode materials. Furthermore, the company is starting the preparations for a high-capacity feedstock mixing facility in the Port of Rotterdam, The Netherlands. In parallel, it will kick-off a feasibility study for a 20,000 ton per annum production line in both Europe and US.

“A resilient battery supply chain is crucial for global electrification” said co-founder Rutger van Raalten. “Yet, we don’t see sufficient alternatives for locally sourcing critical raw materials such as graphite. With CarbonX unique feedstock technology we do offer the necessary scale, cost efficiency and battery performance to meet demands for a growing electric future.”

“Founders of CarbonX found an answer to the developing Chinese export ban on graphite. In addition to strengthening the negotiation power for the West, the margins for the existing carbon black factories will significantly improve. Thanks to the long history in refining and bulk processing, the Port of Rotterdam is well positioned to build new sustainable value chains in extraction and refining of critical raw materials for the energy transition while using the existing installed base,” Jesse In ‘t Velt, Investment Manager of Energy Transition Fund Rotterdam, summarizes the impact being made.

About CarbonX
CarbonX, founded in 2014, is set to disrupt the battery industry with a new anode material: locally produced, competitive with Chinese graphite while delivering better battery performance with reduced carbon footprint. Strategically headquartered near Delft University of Technology in the Netherlands, CarbonX offers comprehensive support for battery cell validation and is laying the foundation for localized supply chains in Europe and the U.S..

About Innovation Industries
Innovation Industries is a leading Dutch deep-tech venture capital firm with over €900 million in capital under management. Innovation Industries invests in industrial technology, med-tech, and agri & food technology – focusing on deep-tech companies that can address global challenges. Its portfolio companies make impact through breakthroughs in areas such as energy-efficient photonic chips, climate-resilient seeds, safer & more efficient batteries, sensing technologies for better care, and more. www.innovationindustries.com

About InnovationQuarter
InnovationQuarter is the regional economic development agency for the greater Rotterdam The Hague area. InnovationQuarter finances innovative and fast-growing companies, assists international companies in establishing their businesses in this region, and facilitates (international) collaboration between innovative entrepreneurs, knowledge institutes and government. InnovationQuarter has € 300 million in funds under management. We fund disruptive startups & scale-ups that create a cleaner, smarter and healthier world. High risk, but also high impact.

About Rotterdam Energy Transition Fund
The ‘Energietransitiefonds Rotterdam’ is a €100 million investment fund of the City of Rotterdam. The fund finances innovative companies and large sustainable projects that can contribute to Rotterdam’s energy transition and circular economy. With the fund, the city aims to reduce CO₂ emissions, improve air quality and reduce the use of raw materials. InnovationQuarter acts as fund manager for the Rotterdam Energy Transition Fund.

About BorskiFund
Borski Fund is a diversity tech VC fund headquartered in the Netherlands.  The fund strategically invests in climate tech and sustainable solutions, health care companies and financial empowerment propositions. Borski Fund primarily targets Western Europe-based companies with international aspirations, offering support to entrepreneurs through their extensive network and entrepreneurial experience. The €40 million fund, founded by Simone Brummelhuis and Laura Rooseboom, is dedicated to promoting diversity and gender equality.