LG Chem Ltd. is prioritizing efforts to secure raw materials used in electric-vehicle batteries and establishing a self-sufficient global supply chain, including via potential partnerships and investments in mining companies.
“We are preparing ourselves first of all to secure supply of raw material, which is more important than the price,” LG Chem Chief Executive Officer Shin Hak-cheol said in an interview with Bloomberg Television in Seoul. “Our first and foremost priority is to secure enough raw material for the future.”
LG Chem makes cathode-active materials, a key ingredient for EV batteries. It is the parent of LG Energy Solution, the world’s second-largest battery cell maker and supplier for automakers including Tesla Inc., General Motors Co., Ford Motor Co. and Stellantis NV.
The South Korean company is doing “a lot of projects” to ensure it has a stable source of supply, according to Shin. “I don’t think we’ll ever be a mining company. However, if there’s a project that makes sense, maybe we can invest.”