POSCO Chemical to supply battery material for LG-GM joint venture
A worker is seen in front of production line for anodes in POSCO Chemical's factory in Sejong. Courtesy of POSCO Chemical
POSCO Chemical Co., an affiliate of South Korea's steel giant POSCO Group, said Monday it will provide a key material for Ultium Cells' rechargeable batteries for electric vehicles (EVs).
POSCO Chemical said it will supply anodes, one part of lithium-ion batteries used in EVs, to Ultium Cells, a battery joint venture of South Korean battery maker LG Energy Solution Ltd. and American automaker General Motors Co.
Anode is a key material in a battery that preserves lithium coming from the cathode and generates electricity while releasing lithium.
In December, the chemical company struck a supply deal with Ultium Cells for cathodes, another crucial material for EV batteries.
POSCO has expanded investment in chemicals for rechargeable batteries as the EV battery market has been on a roll as automakers around the world race to go electric and eco-friendly due to tightened regulations on greenhouse gas emissions.
GM and LG are currently spending $2.3 billion on a new battery cell plant in Ohio, which is expected to be completed in 2022.
The plant is considered a linchpin of GM's plans for its next-generation EVs. (Yonhap)