LG Chem and Toyota Group are partnering to expand LG Chem’s presence in the cathode materials market. Toyota Tsusho, the general trading arm of Toyota, acquired a 25% stake in LG Chem’s Gumi cathode plant, becoming the second-largest shareholder. With this change, the plant’s ownership now stands at LG Chem 51%, Toyota Tsusho 25% and Huayou Cobalt 24%. The restructuring ensures compliance with the U.S. IRA’s newly defined PFE criteria.
Toyota Tsusho plans to supply part of the plant’s cathode materials to battery manufacturers in North America. The Gumi plant, with an annual capacity of 66,000 tons, uses LG’s Precursor Free (LGPF) process, which eliminates precursors and directly sinters metal feedstocks. This innovation enhances LG Chem’s product competitiveness and strengthens its global supply network, which includes facilities in Cheongju and Gumi in Korea, Tennessee in the U.S., and Wuxi in China.
LG Chem has secured major supply contracts with global automakers, including General Motors, Toyota and Prime Planet Energy & Solutions.
Leave a comment