UPDATED. 2024-11-01 09:44 (금)
LG Chem to triple cathode production in South Korea
LG Chem to triple cathode production in South Korea
  • Stan Lee
  • 승인 2021.07.08 07:18
  • 댓글 0
이 기사를 공유합니다

From 40,000 tonnes to 130,000 tonnes
Image: TheElec
Image: TheElec

LG Chem is planning to triple its battery cathode production in South Korea, TheElec has learned.

The company’s advanced material business is aiming to increase cathode production in the country to 130,000 metric tonnes per year

LG Chem’s current production capacity stands at 40,000 metric tonnes per year.

Its plant at Iksan has a capacity of 5,000 metric tonnes. Its three factories at Cheongju combined have a capacity of 35,000 metric tonnes.

A fourth factory that will start partially operating this year will add 30,000 metric tonnes in capacity. The company is planning to start construction of a factory at Gumi near end of this year, while a second one is also planned at the city later. The two combined will add another 60,000 metric tonnes.

LG Chem acquired the cathode business of GS EM in October, 2016. It has been vertically integrating materials used in battery since then. It also secured the technology needed to produce precursors needed for cathode. It also procured precursors from Umicore, Nichia, Posco Chemical and L&F when needed.

Cathode accounts for 40% of battery costs. It is difficult to secure margins in battery sales if the company is outsourcing them. Prices of nickel, cobalt and lithium fluctuates widely, making it difficult to cut costs there. The more the company produces cathode on its own, it becomes easier to mitigate these risks.

For this reason, LG Chem also constructed a cathode factory at China together with Huayou Cobalt. The factory’s current capacity is 45,000 metric tonnes, while the whole project is aiming for a capacity of 100,000 metric tonnes.

After 2024, LG Chem will secure a production capacity of 230,000 metric tonnes globally. It is aiming to secure up to 50% of the total cathode it uses on its own.

Last year, its battery making subsidiary LG Energy Solution used close to 300,000 metric tonnes of cathode.

LG Chem has also set a roadmap to secure more precursors and nickel sulfate, a person familiar with the matter said. It has a plan for a strategic partnership to procure more nickel sulfate, they added.


댓글삭제
삭제한 댓글은 다시 복구할 수 없습니다.
그래도 삭제하시겠습니까?
댓글 0
댓글쓰기
계정을 선택하시면 로그인·계정인증을 통해
댓글을 남기실 수 있습니다.

  • 515, Nonhyeon-ro, Gangnam-gu, Seoul, Republic of Korea 4F, Ahsung Bldg.
  • 대표전화 : 82-2-2658-4707
  • 팩스 : 82-2-2659-4707
  • 청소년보호책임자 : Stan LEE
  • 법인명 : The Elec Inc.
  • 제호 : THE ELEC, Korea Electronics Industry Media
  • 등록번호 : 서울, 아05435
  • 등록일 : 2018-10-15
  • 발행일 : 2018-10-15
  • 발행인 : JY HAN
  • 편집인 : JY HAN
  • THE ELEC, Korea Electronics Industry Media Prohibiting unauthorized duplication,publishing,modification and distribution the material on this Site for any purpose.
  • Copyright © 2024 THE ELEC, Korea Electronics Industry Media. All rights reserved. mail to powerusr@thelec.kr
ND소프트