Clarios - Comprehensive Analysis Report

Summary

Clarios is a global leader and innovator in advanced, low-voltage battery technologies, tracing its origins back to 1885. Spun off from Johnson Controls in 2019 and acquired by Brookfield Business Partners, Clarios is a dominant force in the energy storage sector, producing batteries for approximately one-third of all vehicles worldwide, equating to over 150 million advanced, low-voltage batteries annually. The company's mission is to create the world's best batteries, essential for the evolving future of transportation, aiming to power progress through smart energy storage solutions that benefit people, business, and the planet. Clarios is recognized for its commitment to sustainability, aspiring to achieve nearly 100% material recovery from used batteries and championing best-in-class sustainability practices across the industry.

1. Strategic Focus & Objectives

Core Objectives

• Pioneering Smarter Energy Storage Solutions for Mobility: Clarios is dedicated to developing advanced battery solutions that meet the increasing global market demand for advanced applications in the evolving transportation sector.

• Multi-Chemistry Energy Systems Expansion: The company's long-term goal includes expanding its portfolio into diverse battery chemistries, such as lithium-ion and sodium-ion, alongside its established lead-acid technologies.

• Integration of Software and Electronics: Clarios aims to integrate cutting-edge software and electronics with its battery systems to cater to the needs of modern, software-defined vehicles, leveraging AI-driven insights for enhanced performance, connectivity, and smart transportation.

• Advancing American Energy and Critical Mineral Independence: A key objective is to reduce reliance on imports and strengthen the nation's critical supply of batteries through significant U.S. manufacturing expansion.

Specialization Areas

• Advanced Low-Voltage Battery Architectures: Clarios specializes in the development and manufacturing of sophisticated low-voltage battery systems.

• Multi-Chemistry Battery Solutions: Expertise spans traditional lead-acid, advanced Absorbent Glass Mat (AGM), lithium-ion, and emerging sodium-ion technologies.

• Circular Economy Leadership: The company is a leader in closed-loop recycling and material recovery, with a focus on nearly 100% material recovery from used batteries.

• Connected Services for Vehicles: Clarios is developing and integrating software-defined vehicle solutions, utilizing AI-driven insights for performance and connectivity.

Target Markets

• Original Equipment Manufacturer (OEM) Market: Clarios drives value by providing advanced battery solutions, leveraging human, market, and technology insights to meet the specific requirements of vehicle manufacturers.

• Aftermarket: The company serves the global aftermarket by supplying advanced battery technologies for nearly every vehicle type.

• Emerging Applications: Clarios is expanding its focus to include stationary energy storage, niche EV applications, and solutions for AI/data centers with next-generation technologies like sodium-ion and supercapacitors.

2. Financial Overview

Funding History

• Spin-off and Acquisition (2019): Clarios launched as an independent entity in 2019 following its acquisition by Brookfield Business Partners from Johnson Controls Power Solutions.

• Financial Performance at Launch: At its independence in 2019, Clarios operated as a global energy storage business generating $8 billion in annual revenues.

• Recent Financials: The company reported a gross profit of $1.6 billion in 2022 and achieved $10.6 billion in revenue in the past year.

• Strategic Expansion Plan (March 2025): Clarios announced a $6 billion plan to expand U.S. manufacturing and accelerate American innovation through 2035.

• $2.5 billion for advanced battery production: This allocation aims to boost manufacturing capabilities for cutting-edge battery technologies within the U.S.

• $1.9 billion for critical minerals processing and recovery: Investment directed towards strengthening the domestic supply chain for essential battery components.

• $1 billion for next-generation technologies: Funds allocated for the development of innovative solutions such as sodium-ion batteries and supercapacitors, including applications for AI/data centers.

• $600 million for facility modernization: Investment focused on upgrading existing manufacturing and operational facilities to enhance efficiency and capacity.

• Impact on Company Growth: This significant capital utilization is designed to advance American energy and critical mineral independence, bolster the nation's crucial battery supply, and reduce reliance on imports, while also creating new American jobs.

3. Product Pipeline

Key Products/Services

• Advanced Lead-Acid Batteries:

• Product Name/Description: Includes Absorbent Glass Mat (AGM) battery technology, crucial for modern start-stop systems in vehicles, as well as flooded batteries.

• Development Stage: Currently in mass production and widely deployed for OEM and aftermarket applications.

• Target Market/Condition: Internal combustion engine (ICE) vehicles, hybrid vehicles, and vehicles with advanced electrical demands.

• Key Features and Benefits: High reliability, high performance for start-stop applications, widely recyclable.

• Lithium-Ion Low-Voltage Batteries:

• Product Name/Description: 12V lithium-ion batteries for automotive low-voltage applications.

• Development Stage: Begun production, with one million units already produced.

• Target Market/Condition: Vehicles requiring advanced low-voltage power, supporting new electrical architectures.

• Key Features and Benefits: Lighter weight, longer lifespan, improved energy density compared to traditional lead-acid alternatives.

• Sodium-Ion Battery Technology:

• Product Name/Description: Low-voltage sodium-ion battery systems for vehicles.

• Development Stage: Active investment and partnerships (with Altris and InoBat) to accelerate development. Target commercialization by 2026, with a path to serial production before the end of the decade.

• Target Market/Condition: Vehicles, with potential for broader energy storage applications.

• Key Features and Benefits: Utilizes abundant and less critical minerals than lithium-ion, offering a potentially more sustainable and cost-effective alternative.

• Supercapacitors:

• Product Name/Description: Advanced energy storage devices, potentially for various applications including automotive and data centers.

• Development Stage: Under active development and exploration as part of next-generation technologies.

• Target Market/Condition: High-power demand applications, AI/data centers, and potentially automotive systems for rapid energy bursts.

• Key Features and Benefits: Extremely fast charge/discharge cycles, long cycle life, high power density.

• Trailer Battery Manager (Connected Services Platform):

• Product Name/Description: A new offering expanding Clarios's Connected Services platform, providing insights into trailer battery performance.

• Development Stage: Recently launched.

• Target Market/Condition: Commercial trucking and logistics sector, for enhanced fleet management.

• Key Features and Benefits: Real-time insights, potential for improved operational efficiency and reduced downtime.

4. Technology & Innovation

Technology Stack

• Core Platforms and Technologies: Clarios maintains a multi-chemistry approach, encompassing advanced lead-acid (including AGM and flooded technologies), lithium-ion, and developing sodium-ion batteries and supercapacitors. The company's IdleLess technology provides real-time insights for fuel savings.

• Proprietary Developments: Clarios has significantly advanced Absorbent Glass Mat (AGM) battery technology, essential for start-stop systems in modern vehicles. The company is actively developing a "Connected Services" platform that leverages AI-driven insights for enhanced performance, connectivity, and smart transportation in software-defined vehicles. Their approach to developing advanced low-voltage battery architectures is chemistry-agnostic.

• Scientific Methodologies: The company integrates human, market, and technology insights to inform its research and development, driving value for its customers. Clarios employs advanced analytics and AI within its Connected Services to optimize battery performance and vehicle integration.

• Technical Capabilities: Deep expertise in electrochemistry across various battery types, precise manufacturing processes for high-volume production, and advanced data analytics for developing smart energy storage solutions. This includes capabilities in critical mineral processing and recovery, evident in their recent investment plans.

5. Leadership & Management

Executive Team

• Mark Wallace, CEO: Mark Wallace serves as the Chief Executive Officer of Clarios. He previously held the position of president at Dana Inc. His estimated net worth is $10 million.

• Joe Walicki, former President: Joe Walicki served as the President of Clarios at the time of its launch as an independent entity in 2019.

Recent Leadership Changes

• Joe Walicki, who was President at the company's launch in 2019, is no longer in that role. Mark Wallace is currently the CEO.

6. Talent and Growth Indicators

Hiring Trends and Workforce

• Current Workforce: Clarios employs approximately 18,000 people across more than 100 countries in 56 facilities, including manufacturing and distribution centers worldwide. This represents an increase from approximately 16,000 employees globally reported previously.

• Growth Trajectory Indicators: The company's $6 billion plan to expand U.S. manufacturing through 2035 is explicitly expected to create new American jobs, signaling a strong growth trajectory and a commitment to workforce expansion in key regions.

• Key Roles Being Recruited: The focus on advanced battery production, critical minerals processing and recovery, and next-generation technologies like sodium-ion and supercapacitors suggests a demand for engineers, scientists, manufacturing specialists, and technical experts in these emerging fields. The future launch of a U.S. Manufacturing Technology & Training Center further indicates investment in skill development and recruitment.

7. Social Media Presence and Engagement

Digital Footprint

• LinkedIn: Clarios maintains an active presence on LinkedIn, sharing company news, industry insights, and career opportunities.

• [https://www.linkedin.com/company/clarios/](https://www.linkedin.com/company/clarios/)

• YouTube: The company utilizes YouTube to showcase its technologies, sustainability initiatives, and corporate messaging through videos.

• [https://www.youtube.com/channel/UCq-J5R-3Yq-YJ7E-8Z3G6Q](https://www.youtube.com/channel/UCq-J5R-3Yq-YJ7E-8Z3G6Q)

Brand Messaging and Positioning

• Clarios consistently highlights its role in powering mobility and connectivity, emphasizing its leadership in the circular economy where 99% of its batteries are designed for recycling.

• Messaging frequently focuses on creating advanced battery technologies for the future of transportation and their positive impact on safety, comfort, convenience, and connectivity.

• The brand positions itself as a leader in sustainable innovation and essential energy storage solutions.

Community Engagement Strategies

• Clarios engages in thought leadership by sharing insights on industry trends, product updates, and company announcements across its digital platforms.

• Through the Clarios Foundation, the company highlights collaborations with organizations like UNICEF and Pure Earth, focusing on children's health, environmental protection, circular economy initiatives, innovation, entrepreneurship, and sustainable communities. These activities demonstrate a commitment beyond commercial operations.

8. Recognition and Awards

Industry Recognition

• World's Most Ethical Companies (2025, 2024): Clarios has been recognized by Ethisphere as one of the World's Most Ethical Companies for the third consecutive year in 2025 (and also in 2024). This award acknowledges companies for demonstrating business integrity through best-in-class ethics, compliance, and governance practices.

9. Competitive Analysis

Major Competitors

Clarios operates in a highly competitive global market for energy storage solutions, facing both established direct competitors in lead-acid technologies and emerging indirect competitors in the rapidly growing lithium-ion battery sector.

• EnerSys: A global leader in stored energy solutions for industrial applications, also producing batteries for various sectors, including automotive. EnerSys competes in similar segments for industrial and specialty batteries.

• Samsung SDI: A prominent player in the lithium-ion battery market, supplying batteries for electric vehicles, energy storage systems, and IT devices. Samsung SDI represents a strong competitor in the expanding advanced battery chemistry landscape, particularly as Clarios diversifies into lithium-ion.