Coreshell Enters Defense Market with U.S.-Sourced, High-Performance Batteries

DETROIT, MI – June 16, 2026 – Coreshell Technologies, a California-based battery innovator, today announced its expansion into the U.S. defense market, a move bolstered by a strategic investment from mission-critical equipment provider ADS. The company is introducing a high-performance battery platform built entirely with a domestic supply chain, directly targeting a critical vulnerability for the Pentagon: its deep-seated reliance on battery components from foreign adversaries.

At the heart of the initiative is a proprietary technology that replaces Chinese-processed graphite—the anode material in nearly every modern lithium-ion battery—with domestically sourced metallurgical silicon. This pivot not only promises significant performance gains but also offers defense contractors a clear path to compliance with stringent new government regulations aimed at purging foreign influence from sensitive military hardware. The announcement comes as industry leaders gather at the Reindustrialize conference in Detroit, where securing American supply chains is a central theme.

"The U.S. has invested billions to bring battery manufacturing home, but by neglecting the anode, we have left the front door wide open," said Jonathan Tan, CEO and Co-founder of Coreshell Technologies. "Metallurgical silicon closes that gap. Defense programs need to accelerate its adoption to cut foreign supply chain dependence at the most vulnerable point in the entire battery manufacturing process."

The Silicon Solution: A Technological Leap for Military Power

For decades, graphite has been the undisputed workhorse for battery anodes, but the material has reached its physical limits. The defense industry's demand for longer-lasting power in an increasingly electrified battlefield—from unmanned aerial vehicles (UAVs) to sophisticated soldier-carried equipment—requires a fundamental leap in energy storage. Silicon has long been the heir apparent, with a theoretical ability to hold up to ten times more energy than graphite.

However, silicon's potential has been notoriously difficult to unlock. The material swells and cracks during charging and discharging cycles, causing rapid battery degradation and failure. Coreshell claims to have solved this puzzle with a proprietary coating technology. Using a solution-phase deposition process compatible with existing battery manufacturing lines, the company encapsulates metallurgical silicon particles in a nano-layer thin film. This artificial solid-electrolyte interphase (SEI) layer reinforces the anode, preventing degradation and enabling stable, high-capacity performance.

The result is a battery with a 30% increase in energy density over its graphite-based counterparts. For military applications, this translates directly to tangible advantages: drones that fly longer missions, autonomous ground vehicles with greater operational range, and soldiers carrying lighter, more enduring power packs. Critically, Coreshell asserts its technology is a "drop-in" replacement for existing battery cells, allowing manufacturers to integrate the advanced anodes without costly re-tooling of their production facilities.

Fortifying the Front Lines: National Security and Supply Chain Resilience

The strategic investment from ADS, a key connector between innovators and military end-users, signals the urgency of Coreshell's solution. The pressure comes from Section 842 of the National Defense Authorization Act (NDAA), which phases in a ban on the Department of Defense procuring batteries containing materials sourced or processed by a Foreign Entity of Concern (FEOC), with China being the primary focus. With deadlines beginning in 2028, defense contractors are scrambling to find compliant power sources.

"Program managers and procurement officers are under real pressure to demonstrate NDAA compliance and eliminate FEOC exposure, and most battery options available today still carry significant supply chain risk," said Dave Bellis, Manager of Corporate Strategy and Development at ADS. "Coreshell is addressing it with a domestically sourced solution that can scale using proven manufacturing processes. That combination of resilience and scalability is exactly what the market needs, and it's why we are making an investment."

By eliminating graphite, which is almost entirely controlled by Chinese supply chains, Coreshell's platform directly addresses the core mandate of the NDAA. This move is part of a broader push to de-risk critical technology sectors from geopolitical volatility and secure the nation's defense industrial base.

Building a Domestic Battery Economy from the Ground Up

Coreshell's strategy is not just about replacing a single component; it's about building an entirely new, resilient domestic supply chain. The company is sourcing its metallurgical silicon from Ferroglobe, a leading global supplier of critical minerals with established production in the United States. Unlike the complex and geographically concentrated graphite refining process, metallurgical silicon is derived from abundant quartz rock and is already produced at scale domestically.

"Defense procurement officers are navigating one of the most complex compliance environments in recent memory, and the graphite problem is one they can't afford to ignore," noted Bill Hightower, President of U.S. Corporate Affairs at Ferroglobe. "Coreshell's platform gives contractors a clear, verifiable path to NDAA compliance without sacrificing performance or timelines. That combination doesn't exist anywhere else in the market right now."

Having already proven its technology in the electric vehicle market, Coreshell is now scaling up production. The company operates a 4 MWh manufacturing line in San Leandro, California, and is planning a new 100 MWh facility to meet growing demand from both automotive and defense sectors. This expansion aligns with a national effort to reindustrialize America and restore its leadership in critical manufacturing.

A Crowded Field: Navigating a Competitive Landscape

While Coreshell's approach is compelling, it enters a competitive and rapidly innovating field. The race to build a better, FEOC-free battery has attracted numerous well-funded players. Companies like Sila Nanotechnologies, with its "Titan Silicon" anode material, and Amprius Technologies, with its silicon nanowire platform, are also promoting their U.S.-based manufacturing and NDAA-compliant solutions to defense contractors. Other innovators, including NanoGraf and Group14 Technologies, are making significant inroads with their own advanced silicon battery materials.

For any of these companies, including Coreshell, significant hurdles remain. The defense industry's qualification and certification process for new equipment is notoriously long and rigorous, demanding extensive testing to prove reliability and safety under extreme conditions. Furthermore, scaling production from pilot lines to the volumes required to equip the entire U.S. military is a monumental manufacturing and logistical challenge. Despite claims of being a "drop-in" solution, integrating new battery chemistries into legacy defense platforms can present unforeseen system-level complexities.