Coreshell raises $30M to swap Chinese graphite for US silicon
What's the deal? Coreshell, a California-based battery startup, has raised a $30 million Series B to scale up manufacturing of its silicon-anode lithium-ion cells. FerroglobeDealroom has a profile for this one. Try Dealroom → and investment firm Access IndustriesDealroom has a profile for this one. Try Dealroom → led the round, with defense contractor ADSDealroom has a profile for this one. Try Dealroom → joining as a new strategic investor.
What's the endgame? Coreshell replaces graphite — the material in almost every lithium-ion anode — with metallurgical silicon mined and refined in the US by Ferroglobe. More than 90% of graphite is processed in China, and Coreshell says its approach eliminates that exposure entirely.
Why now? The latest National Defense Authorization Act, passed in late 2025, bars Chinese-linked battery materials from military use starting in 2028. Coreshell, which once targeted automakers, is now shipping its first cells to the military for Navy ships and Army ground vehicles.
"We're entering a new stage where we're no longer, I would say, demand limited," chief executive officer Jonathan Tan said. "This year we've had to put on second and third shifts, work nights and weekends, just to get the product out the door."
The round follows a $50 million Department of EnergyDealroom has a profile for this one. Try Dealroom → grant secured in August to fund Coreshell's first commercial-scale facility, a 2-gigawatt-hour factory. That is about 20 times the size of the plant originally envisioned. The company is evaluating US sites and expects to name one early next year.
What could go wrong? Silicon stores far more energy than graphite but tends to swell and degrade during charging, shortening battery life. Coreshell says a proprietary coating extends its anode's lifespan, but its factory scale-up and customer qualification remain unproven.
The signal: US battery-anode investment is broadening, from Sila's $300 million raise in July 2026 to growing federal support. Coreshell's round, lifting total funding to roughly $88 million, reflects a push to cut reliance on China-dominated graphite — though commercial displacement is still a test to come.
Read more: heatmap.news
Image credit: Generated with Gemini
