Domestic Production for Military-Critical Cylindrical Cells Request for Project Proposals | DIBC | RPP-BES-26-01

Below is a brief summary. Please check the full solicitation before applying (link in resources section).

Executive Summary:

Companies developing domestic battery manufacturing capabilities should strongly consider this opportunity. The Defense Industrial Base Consortium (DIBC), on behalf of the Office of the Under Secretary of War for Acquisition and Sustainment (OUSW(A&S)) Industrial Base Policy (IBP) office, is seeking prototype projects that strengthen U.S. battery supply chains in two critical areas:

  1. Domestic production of military-critical 18650 and 21700 lithium-ion cells.

  2. Modernization and automation of U.S.-based Silver-Zinc battery production facilities.

The Government is specifically seeking projects that reduce dependence on Foreign Entities of Concern (FEOC), establish resilient domestic manufacturing capabilities, and support national security requirements. Phase I submissions are due no later than July 17, 2026 12:00 PM ET.

How much funding would I receive?

Awards typically range from $500,000 to $5 million. Proposers are required to submit pricing information and propose a total price for their project solution. The Government anticipates fixed-price agreements but may negotiate other award structures.

What could I use the funding for?

Funding is intended to support prototype projects aligned with one of two Areas of Interest (AOIs).

AOI 1: Domestic Production of 18650/21700 Lithium-Ion Cells

(Requirement ID: BES-RPP-BES-26-01-001)

This AOI seeks to establish an initial domestic prototype manufacturing line for 18650 and 21700 format Li-ion cells. The objective is to create a sustainable, commercially viable production capability that meets DoD performance requirements while minimizing reliance on Foreign Entities of Concern (FEOC). Successful solutions will demonstrate a credible plan to produce cells that meet the technical specifications outlined below utilizing secure domestic supply chains.

Requirements for AOI 1 Lithium-Ion Cells

Solutions for AOI 1 must address a plan to produce 18650 and/or 21700 cells that meet the following requirements:

• Technical Specifications
• Production Line and Commercial Viability
• Safety and Certification
• Supply Chain

Technical Specifications

Energy Density (Wh/kg)

• 21700 Threshold: 270 Wh/kg
• 21700 Objective: 340 Wh/kg
• 18650 Threshold: 260 Wh/kg
• 18650 Objective: 330 Wh/kg

Notes: At standard conditions, room temperature, ½ C rate.

Energy Density (Wh/L)

• 21700 Threshold: 700 Wh/L
• 21700 Objective: 850 Wh/L
• 18650 Threshold: 680 Wh/L
• 18650 Objective: 780 Wh/L

Discharge Rate Capability (continuous/pulse)

• 21700 Threshold: 3C / 5C
• 21700 Objective: 5C / 10C
• 18650 Threshold: 1.5C / 5C
• 18650 Objective: 3C / 10C

Notes: Objective values measured at 20°C.

Cycle Life

• Threshold: 300 cycles
• Objective: 1000 cycles

Notes: ½ C charge, 1 C discharge for energy design to 80% BOL.

Storage Temperature

• Threshold: -30°C to 55°C
• Objective: -40°C to 70°C

Notes: At 100% SOC.

Operating Temperature

Threshold:

• Charge: 0°C to 55°C
• Discharge: -20°C to 55°C

Objective:

• Charge: -20°C to 60°C
• Discharge: -30°C to 60°C

Notes: Charge rate below 0°C may be reduced.

Capacity Delivered at -20°C

• Threshold: 50%
• Objective: 80%

Notes: At 1 C.

Annual Self-Discharge Rate

• Threshold: 5%
• Objective: Less than 3%

Notes: At 20°C.

Zero Volt Capability

• Threshold: No capability
• Objective: Some capability

Notes: Refers to ability for 0V storage with limited or no lifetime/performance impacts.

Cell Internal Resistance

• Threshold: 35 mΩ
• Objective: Less than 25 mΩ

Notes: At 20°C and 100% SOC.

Production Line & Commercial Viability Requirements

• Production Capacity: Demonstrate a path to achieve a minimum annual production capacity of 50 MWh for 18650 or 21700 cells within two years after award, with an objective target of scaling to 3 GWh.

• Flexibility: Describe the line's ability to cross produce both 18650 and 21700 formats.

• Commercial Viability: Include a viable business plan demonstrating the commercial marketability of the battery cells to ensure long-term sustainability of the production line.

• Cell Price: Demonstrate a clear path to achieve cost parity with high-energy Commercial Off-The-Shelf (COTS) cells by 2030.

Safety & Certification Requirements

• Cell Level: Cells must be designed to be compliant with UL 1642 and comparable to modern COTS cells, incorporating safety features such as a cell vent and Current Interrupt Device (CID). The objective is to achieve safety performance better than high-energy COTS cells.

• Pack Level: Describe how cells will support integration into battery packs that meet UL 2054 requirements.

• Transportation: Cells must be designed to pass UN/DOT 38.3 transportation testing.

• MIL-STD-810 environmental testing for UAS batteries.

• Demonstrated fail-safe features and thermal runaway prevention for battery packs.

Supply Chain Security Requirements

Manufacturing Equipment

• Threshold: A minimum of 50% of manufacturing equipment (by value) must be secured from non-FEOC sources.

• Objective: 100% of equipment to be from non-FEOC sources.

Cell Components

Detail a plan to meet the following domestic content thresholds for electrode active materials:

• Threshold: Meet domestic content requirements as defined by the Inflation Reduction Act (IRA).

• Objective: Achieve greater than 95% of electrode active material within each cell, by value, from sources compliant with FEOC restrictions as defined in the Infrastructure Investment and Jobs Act (IIJA), Section 40207(a)(5).

AOI 2: Modernization of Silver-Zinc (Ag-Zn) Battery Production

(Requirement ID: BES-RPP-BES-26-01-002)

This AOI seeks to modernize and automate a U.S.-based Silver-Zinc battery prototype production facility. The objective is to create a reliable, efficient, and high-yield production source capable of meeting the stringent quality and volume demands for batteries used in critical strategic systems (such as the TRIDENT II and Minuteman III).

Requirements for AOI 2 Silver-Zinc Modernization

Solutions for AOI 2 must detail a credible, economically viable plan to modernize and automate a U.S.-based Silver-Zinc battery production facility.

Technical and Modernization Requirements

• Throughput & Efficiency: The proposed solution must demonstrate how automation and process controls will reduce battery activation and testing cycle times by at least 30% compared to current industry performance levels.

• Process Yield: The proposal must detail improvements to the zinc plate deposition and positive formation processes to increase the first-pass yield of defect-free plates to over 99%.

• Advanced Manufacturing: The proposal must include a plan to prototype and test an additively manufactured (3D-printed) battery case or internal support structure that achieves one of the following:

• Reduces component weight by at least 15%, or

• Increases internal volume for active materials by 10%.

The new component must not compromise structural integrity under relevant shock and vibration standards.

• Infrastructure & Workforce: The proposal must outline a plan to modernize critical manufacturing infrastructure and establish a robust training program to cultivate a skilled workforce.

Special Considerations

• Anticipated Security Level: Unclassified; however, Controlled Technical Information and/or Controlled Unclassified Information may be required.

• Environmental Questionnaire: All respondents will complete and submit an Environmental Questionnaire.

• Disclose any/all Foreign Investment or Control.

• Resource sharing for any proposed project.

• Anticipated Data Rights: Data rights may be negotiated on a case-by-case basis. The Government seeks to protect commercial IP while ensuring DoW’s ability to maintain supply chain visibility.

• Supply chain information for suppliers and subcontractors that includes supply chain data of components relevant to the completion of this prototype.

Consortium Members shall:

• Collect, document, and report supply chain data including data from subcontractors.

Data shall include the following:

  1. Vendor name

  2. Commercial and Government Entity (CAGE) and/or Unique Entity Identification (UEID) code(s), if applicable

  3. Part/product and descriptions to include as applicable:

a. Purchaser part number

b. Vendor part number

c. Description of if the part/product is connected to a higher or lower-level part

Are there any additional benefits I would receive?

Potential benefits include:

  • Access to a DIBC Other Transaction (OT) award structure rather than a traditional FAR-based contract.

  • Eligibility for follow-on production opportunities if the prototype project is successfully completed.

  • Potential consideration for additional Government financial tools and incentives, including equity investments, SAFE agreements, convertible notes, revenue-sharing agreements, offtake agreements, loans, loan guarantees, and purchase commitments.

What is the timeline to apply and when would I receive funding?

Key dates:

  • RPP Release Date: June 22, 2026

  • Questions Due Date: June 29, 2026 12:00 PM ET

  • Phase I Submission Due Date: July 17, 2026 12:00 PM ET

The solicitation uses a two-phase competitive down-select process:

Phase 1:

  • Quad Chart submission.

Phase 2:

  • Selected applicants may be invited to submit a full proposal package.

The solicitation does not specify award announcement dates, negotiation timelines, project start dates, or expected funding disbursement dates.

The Phase I submission deadline is July 17, 2026 12:00 PM ET.

Where does this funding come from?

This opportunity originates from the Office of the Under Secretary of War for Acquisition and Sustainment (OUSW(A&S)) Industrial Base Policy (IBP) office. The project is being executed through the Defense Industrial Base Consortium (DIBC) and administered through Washington Headquarters Services Acquisition Directorate (WHS/AD).

Projects are expected to align with:

  • Industrial Base Analysis and Sustainment (IBAS) authorities.

  • Defense Production Act Title III authorities.

Who is eligible to apply?

The solicitation is open to DIBC Consortium Members.

Additional eligibility-related requirements include:

  • Registration in the System for Award Management (SAM).

  • Responsibility determination by the Agreements Officer.

  • Disclosure of any foreign investment or control.

  • Compliance with applicable prototype OT authority requirements.

For prototype authority eligibility, proposed projects must satisfy at least one of the following:

  • Significant participation by at least one Nontraditional Defense Contractor (NDC).

  • Significant participation by at least one Nonprofit Research Institution (NRI).

  • Complete participation by a small business.

  • Resource contribution of at least one-third by consortium members other than those categories.

Who is not eligible to apply?

Applicants may be ineligible if they:

  • Are suspended or debarred by the Federal Government.

  • Are prohibited by Presidential Executive Order or law from receiving an award.

  • Fail to meet DIBC Consortium membership requirements.

  • Fail to satisfy statutory requirements for prototype OT authority.

What companies and projects are likely to win?

Based on the stated evaluation criteria, competitive projects will likely:

For AOI 1:

  • Demonstrate a credible path to domestic 18650 and/or 21700 cell production.

  • Meet or exceed technical performance requirements.

  • Establish secure domestic supply chains.

  • Reduce reliance on FEOCs.

  • Present a viable commercial business case.

  • Demonstrate scalability toward meaningful production capacity.

For AOI 2:

  • Deliver measurable automation and modernization improvements.

  • Improve throughput and yield.

  • Modernize critical manufacturing infrastructure.

  • Develop workforce training capabilities.

  • Demonstrate economically viable modernization plans.

Across both AOIs, the Government will evaluate:

  • Relevance to the AOI.

  • Technical merit and feasibility.

  • Schedule realism.

  • Cost reasonableness.

  • Data rights considerations.

  • Compliance with the definition of a prototype project.

How competitive will this solicitation be?

The solicitation appears likely to be highly competitive.

Reasons include:

  • A two-phase down-select process.

  • Evaluation focused on technical feasibility, schedule, cost, and prototype merit.

  • Government discretion to decline proposals that fail any evaluation criterion.

  • No guarantee of award even for technically acceptable submissions.

The solicitation does not specify the anticipated number of awards, expected applicant volume, or success rates.

Are there any restrictions I should know about?

Key restrictions and requirements include:

  • Submissions must be made electronically through the ATI Acquisition Management Portal.

  • Classified information may not be submitted.

  • Any CUI must comply with NIST SP 800-171 requirements.

  • Environmental questionnaires are mandatory.

  • Foreign investment and control disclosures are required.

  • Certain DIBC agreement terms and conditions are non-negotiable.

  • Supply chain reporting requirements apply to suppliers and subcontractors.

  • Applicants must use mandatory templates provided by the Government.

How long will it take me to prepare an application?

The solicitation does not estimate proposal preparation effort.

Applicants should plan for a two-phase process:

Phase 1:

  • Quad Chart submission.

Phase 2 (invitation only):

  • Cover Page.

  • Project Execution Plan.

  • Pricing Package.

  • Affirmation of Business Status Certification.

  • Environmental Assessment Questionnaire.

  • End User License Agreement (if applicable).

  • Conflict of Interest Disclosure.

Given the technical, manufacturing, pricing, supply chain, environmental, and compliance requirements, applicants should expect a substantial preparation effort. The solicitation does not specify a recommended preparation timeline.

How can BW&CO help?

BW&CO can help your team:

  • Assess fit against AOI 1 or AOI 2 requirements.

  • Develop a winning Quad Chart for Phase 1.

  • Build a compliant Project Execution Plan.

  • Strengthen commercialization and manufacturing scale-up narratives.

  • Develop pricing justification and milestone structures.

  • Prepare environmental and supply-chain documentation.

  • Manage proposal strategy, reviews, and submission coordination.

Review the solicitation here.

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