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| LG Chem's carbon nanotube production line in Yeosu, South Jeolla Province / Courtesy of LG Chem |
By Baek Byung-yeul
LG Chem will invest 65 billion won ($53 million) by the first quarter of 2021 to expand production of carbon nanotubes, which are known to be among the strongest, lightest and most conductive fibers, at its plant in Korea, the chemical and battery-making affiliate of LG Group said Monday.
Carbon nanotubes are a next-generation material with the same electric and heat conductivity as copper and diamond with a density 100 times that of steel. The material is used for batteries, semiconductors, car components and aircraft fuselages.
With the investment, the company said it will expand the annual production capacity to 1,700 tons from the current 500 tons.
Speaking of increasing production capacity of the material, LG Chem said it is trying to solidify its leadership position in conductive additives which are used in lithium-ion batteries for electric vehicles (EVs) as well as semiconductors, car components and aircraft fuselages.
"By using carbon nanotubes as anode-conductive additives, we will be able to reduce the use of conductive materials by about 30 percent and increase the capacity of lithium-ion batteries," the company said.
The company added the demand for carbon nanotubes is on the rise thanks to the soaring demand for EV batteries.
"The demand for carbon nanotubes for EV batteries was at 3,000 tons in 2019. With an annual growth rate of 34 percent, the demand for carbon nanotubes is expected to be 13,000 tons in 2024," an official of the company said.
As a leading supplier of EV batteries, LG Chem plans to increase the sales of carbon nanotubes for automakers. It is also set to expand the production capacity in 2022.
LG Chem has been betting big on carbon nanotubes since 2011 when the company launched a research and development team. The company constructed a 20-ton pilot mass production line in 2013 and has over 250 patents related to the material.
Carbon nanotubes will also be applied in various industrial purposes such as large-sized casts for construction, semi-conductive layers inside high-voltage cable sheaths and high-strength concrete for architecture.
"We must lead the market with the distinguished technology and products to survive in the global material competitions," said Kug Lae, Noh, executive vice president of LG Chem. "LG Chem will become a dominant leader in the next-generation high-value material market including carbon nanotubes based on our indigenous technologies and experience with mass production."
