By Kim Jae-heun
Iljin Materials, an electronic and chemical materials subsidiary of Iljin Group, is planning to build a copper foil processing plant in Hungary.
According to the chemical industry and the Hungarian Ministry of Foreign Affairs, Thursday, Iljin Materials' Hungarian office head Kim Byung-chan and the local foreign minister met to discuss the construction of the factory.
Iljin Materials has secured land in Budapest and invested 15 billion won to begin building the foil production facility there, which is scheduled for the first quarter of next year.
The Hungarian facility will first process copper foil made at plants in Ilsan, Gyeonggi Province and Malaysia and later build melting and baking lines.
“This is the first step in investing in copper foil processing plants in Europe to cope with the growth of the battery market for electric vehicles. We will further expand our plants for copper foil processing, melting and refilling to satisfy our European customers,” an Iljin Materials official said.
Hungary is already home to battery plants run by Samsung SDI and SK Innovation; LG Energy Solution operates battery plants in nearby Poland. Iljin Materials is planning to expand its supply chain to Korean battery makers through the new plant.
Solus Advanced Materials is working to double the output of its copper foil plant in Tatabanya from the current 10,000 tons. SK Nexilis is also expanding its plant in Jeongeup, North Jeolla Province, as well as planning to build plants in Malaysia and Europe.
Meanwhile, copper foil is as outer and inner layers of anodes in secondary batteries.
Demand for processed copper foil is predicted to grow at a rapid rate along with the electric vehicle market. Global battery makers use 140,000 tons currently, but this is expected to increase to 750,000 tons by 2025, valued at 10 trillion won.