Market Overview

Strategic Materials Advisory Council Reaffirms Opposition to A123 Sale to Wanxiang

WASHINGTON--(BUSINESS WIRE)--

The Strategic Materials Advisory Council (“the Council”) released the following statement regarding the pending sale of A123 Systems to Wanxiang Group Corporation:

“The Council continues to call on the Committee on Foreign Investment in the U.S. (CFIUS) to carefully scrutinize the sale of A123 Systems to Wanxiang. Supporters of the sale have attempted to allay our concerns and those of dozens of Democratic and Republican Members of Congress by downplaying the criticality of A123's technology. Their arguments contend that A123's technology can be segregated by application; we continue to assert that these claims are questionable, and the pending sale poses a long-term threat to American economic and national security. Just one example of those concerns is the fact that the Pentagon would still rely on Wanxiang's technology and supply chain for future U.S. military operations and equipment, even though the company did not acquire A123's government contracts business.

A123's Lithium Iron Phosphate (LFP) Nanophosphate EXT is a breakthrough technology that is far more advanced than any known existing LFP alternative. The imminent decision by CFIUS on the sale will decide the fate of a technology that would enable the United States to remain an important player in twenty-first century power grid, satellites, and countless defense systems. We urge CFIUS members and all U.S. government leaders involved in the review to carefully consider the implications of this technology loss.”

A description of the Council's technical rebuttal is available here.

About the Council

The Strategic Materials Advisory Council is a coalition of former U.S. Government leaders and industry experts who have significant experience with strategic and critical materials through decades of service in the public and private sector. The Council was formed with the clear objective to promote policy solutions that ensure continued access of both U.S. industry and military to those materials needed to support a robust 21st century economy and military.

Secretary Dean G. Popps
Co-chair, Strategic Materials Advisory Council
Former Army Acquisition Executive & Acting Assistant Secretary of Defense for ALT
info@strategicmaterials.org
202-412-7478

 

Around the Web, We're Loving...

Partner Network

Get Benzinga's News Delivered Free