J-Star Holding Co., Ltd., today announced it has formed a strategic partnership with Patriot Green Energy Technology Co., Ltd. (PSSB), a leading industry developer and manufacturer of next-generation solid state battery technology for high-performance and defense applications with a large minority ownership by Industrial Technology Research Institute (ITRI), to develop made-in-USA polymer-based solid-state battery solutions. The collaboration includes plans to establish a 100 megawatt-hour (MWh) modular, automated solid-state battery production line in Baytown, Texas to support the growing requirements of the unmanned aerial vehicle (UAV) and drone sector.

J-Star and PSSB have jointly submitted a grant application to the U.S. Department of Energy to support the development of the facility. The project has also received a commitment letter from the Baytown Economic Development Foundation securing a parcel in the TGS Cedar Port Industrial Park for construction of the factory.

The initiative is aligned with the U.S.–Taiwan Agreement on Research and Technology (ART) framework, which provides a bilateral pathway for technical cooperation and outward investment clearances from Taiwan's Ministry of Economic Affairs (MOEA). In January 2026, the United States and Taiwan signed a landmark trade and investment agreement with Taiwanese semiconductor and technology companies committing $250 billion in new direct investment into the United States and $250 billion in credit guarantee by the government of Taiwan to support additional investment, strengthening collaboration in semiconductor supply chains, industrial parks, artificial intelligence, energy, and defence technologies.

Jonathan Chiang, CEO and Chairman of J-Star Holding, commented, "We continue to strengthen our relationship with PSSB with this new 'Made-In-USA' initiative to develop a fully automated next-generation solid-state batteries production line in Texas. This partnership marks a major step in building a secure, friend-shored supply chain infrastructure and solutions in the United States. With strong government support and growing demand from aerospace and defence customers, we believe this positions J-Star at the forefront of advance battery manufacturing."

Cheng Zhang Lu (Peter Lu), Chairman & CEO of PSSB, has committed to transferring the company's full technical blueprint to the Baytown facility, including extended on-site technical residency, local hiring, and workforce training to support long-term operations. This partnership combines ITRI-backed innovation with U.S. manufacturing capabilities to accelerate the commercialisation of polymer-based solid-state batteries and help establish a domestic production ecosystem for the rapidly growing UAV and drone markets.

Strategic Partnership and Market Opportunity

Through YMA (TX) INC., J-Star is leveraging PSSB's venture backing from ITRI to pursue supply agreements with Tier-1 U.S. aerospace and defence OEMs. The partnership is designed to accelerate qualification with U.S. federal contractors by leveraging technology that has already undergone validation in Taiwan.

The project aims to establish a U.S. domestic, fully automated production line for high-density polymer-based solid-state batteries supporting the rapidly expanding UAV and drone markets. The facility is expected to scale manufacturing to 100 MWh annual nameplate capacity, targeting over 350 Wh/kg cell-level energy density while enhancing safety and supply-chain resilience.

Key Investment Highlights

– Targeting the $50B+ dual-use UAS battery market with strong long-term growth trends;

– Proprietary NAEPE electrolyte chemistry and UV Snap-Cure heritage supported by 1,500+ global patents and R&D 100 Award-winning technology;

– Pathway toward Blue UAS approval supported by ITRI's role in Green UAS certification;

– Phase 1 establishment of a 100MWh automated production line in Baytown, Texas, with multi-phase expansion plans; and

– Leadership team with 30+ years of global manufacturing, OEM sales, and capital markets experience.

The Baytown facility will include an ISO-7 certified ultra-dry room environment capable of maintaining a dew point of ≤-40°C. The production line will incorporate customised automation, including vacuum die-coating systems, solid-electrolyte moulding, automated stacking, and pouch-sealing modules. The project is designed to transition from pilot-scale validation to a fully operational domestic manufacturing asset capable of supplying high-density power solutions to the UAV industry.

According to Research and Markets, the UAV battery market is expected to grow from $6.01 billion in 2024 to $15.31 billion by 2029, driven by rising defence demand, tactical drone logistics, and the need for U.S. sovereign battery solutions.