July 1, 2025 -
China’s SEPM Launches Landmark Lithium Battery Separator Plant in Malaysia
SEPM, China’s leading lithium-ion battery separator manufacturer, has officially commenced operations at its new ASEAN production base in Penang, Malaysia. The 5-billion-yuan facility represents Southeast Asia’s first large-scale battery separator manufacturing site with an annual capacity of 2 billion square meters.

The Penang plant, completed within 12 months of its 2023 groundbreaking, addresses critical supply chain gaps in Southeast Asia’s booming EV and energy storage sectors. By localizing production, SEPM eliminates regional reliance on imported high-end separator materials—a strategic move coinciding with explosive growth in battery demand.
During the inauguration ceremony, SEPM signed multi-year supply contracts with several global battery giants. The facility employs cutting-edge wet-process separator technology, with performance metrics meeting international premium standards. Current order books are filled through Q1 2025, reflecting severe market undersupply.
Industry analysts note the project establishes SEPM’s autonomous overseas pricing mechanism. “Localized operations insulate SEPM from domestic price volatility while strengthening its global pricing power,” commented a Singapore-based battery materials consultant.
“This marks a pivotal step in our globalization strategy,” said SEPM’s chairman. “The Malaysia hub ensures stable supply for ASEAN clients while serving as a springboard into premium European and North American markets.”
With global separator demand projected to exceed 20 billion square meters in 2025, SEPM’s Malaysian expansion solidifies its position as the industry’s capacity leader. The move comes as international automakers scramble to secure battery material supplies amid tightening trade policies on China-made components.