South Korean lithium-ion battery firm LG Chem has broken ground for its second electric vehicle battery factory in China.
LG Chem said the facility, first mooted earlier this year, would be built in stages up to 2030 in the Nanjing economic development zone, in China’s eastern Jiangsu province, at a total cost of KRW 2.1 trillion (US$1.8 billion).
South Korean steelmaker Posco is reportedly to build a $100 million lithium-ion cathode plant in the country next year as it expands its presence in the global batteries and raw materials market.
Posco’s new facility in Gwangyang, 423 kilometres southwest of Seoul, will have an annual production capacity of 6,000 tons, the company told South Korea’s Yonhap news agency.
South Korea has called on China to ensure “a fair business environment” for battery manufacturers to compete for business across the two countries.
South Korea’s trade minister Paik Un-gyu (pictured) made the plea during a meeting with his Chinese counterpart Miao Wei in Seoul, the Yonhap news agency reported.
German lithium-ion battery developer and producer BMZ has signed a long-term battery cells supply deal with South Korea’s LG Chem.
BMZ said the contract covered supplies of “over a few hundred million cells” by the end of 2022 for products in the electro mobility and energy storage markets.