Mitra Chem is raising $50M for its cheaper, domestic battery materials

Mitra Chem, a battery materials startup focused on enhancing lithium-iron-phosphate (LFP) batteries to store more energy, has raised $15.6 million toward a planned $50 million funding round, according to a regulatory filing. LFP batteries are gaining traction among automakers aiming to reduce electric vehicle (EV) costs, but currently, all LFP materials are sourced from outside the United States. Mitra Chem aims to develop cheaper, domestically produced battery materials to address this supply chain gap. The company previously secured funding led by GM and Social Capital, and South Korean firm L&F Corporation is expected to participate in the new round following a $10 million investment earlier in 2025. This fundraising effort comes amid a challenging environment for battery startups, with EV sales growing slower than anticipated and political pressures mounting. The House reconciliation bill proposes ending EV tax credits by 2025 or 2026, potentially impacting market incentives, though the Senate has yet to respond. Mitra Chem also received a $100 million Department of Energy grant last year to build a battery materials plant in Michigan, underscoring federal support for domestic battery manufacturing. The article highlights the strategic importance of Mitra Chem’s efforts to localize and reduce costs in the EV battery supply chain during a period of industry uncertainty.