The German Freudenberg Group has fundamentally realigned its activities in the battery and fuel cell segment. As of January 1, 2026, the Freudenberg e-Power Systems business unit was dissolved. The company will no longer operate in the areas of battery cells, modules, and systems, as well as fuel cell systems. The dissolution of the battery business will affect approximately 600 employees, primarily in the U.S.
Freudenberg is responding to a significantly weaker-than-expected market environment, particularly in the U.S., which the Group attributes to low demand in key applications, a lack of infrastructure, and high costs. Added to this are political and regulatory uncertainties, as well as intense global competition. According to the company, these factors have made achieving economic scale in the systems business considerably more difficult.
Focus shifts to components and hydrogen.
While the battery business is being discontinued, Freudenberg is maintaining select activities in the hydrogen sector. The hydrogen components business has been integrated into the Freudenberg Sealing Technologies division. This shift in focus is from complete energy systems to individual components.
At the same time, the company is highlighting its continued investments in research and development, as well as in new technologies, including digital applications and artificial intelligence. These measures are intended to lay the foundation for future business models.
