LG Chem invests 40 billion won in Chinese copper foil firm

LG Chem said it was investing 40 billion won in to Chinese copper foil firm Jiujiang DeFu Technology for equity.

Copper foils are used to make battery anodes. The thinner they are, the more active materials can be packed in, which increases the battery capacity.

DeFu is China’s third largest copper foil maker based on production volume.

The company manufactures copper foils for lithium-ion batteries and printed circuit boards. It has two factories in China.

DeFu currently has a production capacity of 49,000 metric tonnes per year and is planning to expand this to 78,000 metric tonnes by 2022, LG Chem said.

The Korean firm said DeFu was also the only Chinese copper foil firm that has its own technology in copper foil additives, and can make uniform, high quality copper foils.

The Chinese firm is also planning to go public in Shenzhen’s start-up bourse next year, LG Chem stressed. In the first quarter, DeFu recorded 113 billion won in sales, four times the amount from a year prior, the Korean firm said.

LG Chem will collaborate in elecfoil business with DeFu going forward, it added.