POSCO Chemical Begins Phase 4 Construction of Cathode Material Plant in Gwangyang... Annual Production Capacity Expanded by 100,000 Tons

Expansion of Next-Generation High-Nickel NCMA Product Production Line for Electric Vehicles at Yanggeukjae Gwangyang Plant

[Asia Economy Reporter Hwang Yoon-joo] POSCO Chemical is expanding the production line at its cathode material plant in Gwangyang to respond to the rapid growth of the electric vehicle battery market.

On the 23rd, POSCO Chemical began construction of the 4th phase expansion of the cathode material plant in Gwangyang, Jeollanam-do.

This expansion will increase the production capacity of the Gwangyang cathode material plant by a total of 30,000 tons, producing high-nickel NCMA cathode materials for 3rd generation next-generation electric vehicle batteries capable of driving over 500 km on a single charge. A total investment of 275.8 billion KRW will be made, with operations targeted to start in 2023.

Upon completion of the 4th phase expansion at the Gwangyang plant, POSCO Chemical will increase its cathode material production capacity to 100,000 tons. This 100,000 tons of cathode material can be used for approximately 1.1 million 60kWh electric vehicle batteries.

Following the completion of a 10,000-ton cathode material plant in Gumi in 2018, POSCO Chemical completed the first phase of a 5,000-ton high-nickel cathode material plant in Yulchon Industrial Complex, Gwangyang in 2019, and the second phase plant with a capacity of 25,000 tons in 2020. Currently, the third phase plant with a capacity of 30,000 tons is under construction, aiming for operation in November 2022.

Along with the phased expansion of the Gwangyang plant, POSCO Chemical is also pursuing the establishment of overseas plants in Europe, China, and other regions to build a global production system. This will enable timely large-scale supply to global battery and automobile companies, contributing to enhancing customer competitiveness.

The groundbreaking ceremony was attended by POSCO Chemical President Min Kyung-jun, Energy Materials Division Head Jung Dae-heon, Cathode Material Office Head Son Dong-gi, as well as POSCO Secondary Battery Materials Business Office Head Jeong Seok-mo and other business officials.

In his commemorative speech, POSCO Chemical President Min Kyung-jun stated, "With this expansion, we can stably supply the highest quality products to our customers. Together with the POSCO Group, we will accelerate investments in building the raw material value chain, securing technology, and expanding mass production capacity to establish world-class business competitiveness and lead the market."

POSCO Chemical plans to expand its secondary battery materials business by securing technological leadership through next-generation material development and continuous investment to build a mass production system. By 2030, it aims to increase cathode material production capacity from the current 40,000 tons to 400,000 tons, and anode material from 44,000 tons to 260,000 tons, achieving a 20% global market share and annual sales exceeding 23 trillion KRW.

This content was produced with the assistance of AI translation services.