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In a tour guided by Sandy Munro and Mujeeb Ijaz, founder of Our Next Energy (ONE), we got a rare inside look at ONE’s Michigan battery factory—a lean manufacturing site specializing in lithium iron phosphate (LFP) battery cells. This Michigan battery factory tour wasn’t just about size or spectacle. It revealed practical innovations in lean cell production, thermal management, and sustainable scaling, offering key insights into the next phase of electric vehicle (EV) technology.
Michigan-Made Cells for Automotive Applications
Our Next Energy’s facility in Van Buren, Michigan, is aiming to make a big impact with a compact footprint. Although the factory spans 659,000 square feet, the current focus is on a pilot line capable of producing 10,000 LFP cells per month. ONE designed these prismatic cells for automotive use. It aims to deliver the energy density of nickel-cobalt batteries without the cost, sourcing risks, or fire hazards.
LFP chemistry, often seen as less energy-dense than nickel-based variants, gains a second wind here through ONE’s vertically integrated approach and North American material sourcing. As Mujeeb Ijaz stated, “This is the battery everybody would want—except for the few that want to go like a rocket ship.”
The Manufacturing Journey: Slurry to Cell
The Michigan battery factory tour kicked off with an in-depth look at the cathode and anode mixing areas. The cathode, using LFP, is formed by mixing powders, binders, and solvent to produce a slurry that is coated onto aluminum foil. Similarly, the anode uses graphite coated on copper foil via a slot-die process.
Once coated, both materials are dried, calendared (compressed), and cut into electrode sheets. The calendaring step is critical—it reduces porosity, improves energy density, and ensures electrical conductivity by tightly packing active material.
Every electrode undergoes image-based inspection after stamping. These electrodes are then magazine-loaded and transferred to the stacking station.
Cell Assembly and Structural Efficiency
ONE is committed to using prismatic metal cans rather than pouch cells or cylindrical formats. These rigid containers not only enhance mechanical robustness but also simplify thermal management. Each battery cell is a “jelly roll” stack of alternating cathode and anode sheets separated by a non-conductive film, inserted into a laser-cut cradle before sliding into the metal can.
Why the cradle? “To avoid putting stress on the electrode,” explained Mujeeb. Without this precision, the manufacturing process could introduce defects that lead to short circuits or failures. Which is exactly the kind of issue that plagued earlier lithium-ion designs.
Once inside the can, the cells undergo dry-room assembly under <1% humidity. This low-moisture environment prevents degradation during electrolyte filling and ensures long-term stability. After electrolyte fill, the cells are sealed, charged, degassed, and resealed in a tightly controlled series of steps.
Fast Charging and Cooling: Built for Performance
Thermal regulation is a standout feature of ONE’s battery design. Unlike pouch cells that require external heatsinks, the prismatic metal cans themselves serve as heat spreaders. Mounted directly to cold plates, the cells dissipate heat efficiently from both the top and bottom when necessary—enabling fast charging from 10% to 80% in as little as 12 minutes.
The factory’s flexible assembly line can adjust cell thickness to accommodate higher-voltage applications. To move from 400V to 800V, for example, ONE would halve cell thickness and double the number of cells. This modular flexibility is key as OEMs diversify pack designs across platforms.
Yield Expectations and Workforce Development
At this early stage, the current pilot line has entered its site acceptance testing phase. During this phase, the team prioritizes validation over volume to ensure process reliability and equipment performance. As production ramps up, ONE expects an initial yield of around 40%, with improvement targets reaching 90% over six months.
That’s not unusual. Early-stage production lines serve multiple roles—proving out suppliers, training the workforce, and finalizing cell chemistry. The team currently includes 70 employees, all being trained for precision manufacturing while simultaneously contributing to early-stage production.
Lean Manufacturing with Sustainability in Mind
Reclaiming solvents, recycling metal scrap, and minimizing environmental impact were emphasized throughout the Michigan battery factory tour. The system fully reclaims solvent evaporated during electrode drying. Scrapped electrodes are sent to a recycling partner, and when recoverable, copper and aluminum can be reintegrated into the supply chain.
These decisions reflect ONE’s lean design principles. And not just in the sense of waste elimination, but in streamlining material flow, shortening development cycles, and designing for recyclability from the start.
Future Expansion: The Road to 20 GWh
What Sandy and Mujeeb walked through was just Phase One. The current 10,000-cell monthly output is a stepping stone. By 2025, the factory aims to hit full-scale production with 20 gigawatt-hours of annual capacity across four production lines and a workforce of approximately 2,100 people.
In addition to automotive applications, a second production line will focus on grid storage products, bringing new energy solutions to microgrid and renewable installations. By doing so, ONE strategically diversifies its production to avoid relying solely on automotive demand.
Final Lap: Legacy Meets Innovation
Fittingly, the tour ended with a race between a 1912 Baker and a 1922 Detroit Electric—two early examples of electric mobility. It was a fun callback to Detroit’s roots in EV history, showcasing how far we’ve come from tillers and throttle levers to rapid-charging LFP cells manufactured in a near-zero-humidity dry room.
It was also a reminder of what makes Michigan uniquely positioned to lead this next phase of electrification: legacy manufacturing expertise meeting cutting-edge battery design.
Takeaway: ONE’s Factory Is a Blueprint for the EV Future
ONE’s Michigan battery factory isn’t just a site of production—it’s a blueprint for next-gen EV battery manufacturing. The combination of LFP chemistry, prismatic cans, lean design, and sustainability practices makes it a compelling model for others to follow.
For automotive engineers, investors, and EV enthusiasts, the key takeaways include:
- LFP is catching up to nickel-cobalt in range without the risk or cost.
- Prismatic metal cans simplify cooling and improve structural integrity.
- Fast-charging LFP cells (10–80% in 12 min) are here—no nickel required.
- Lean, modular manufacturing supports flexible voltage architectures (400V–800V).
- Sustainability is built into the design with solvent recovery and material recycling.
Want More Teardown and Factory Analysis?
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