L&F Signs Direct Supply Contract for Key Cathode Materials with US-Based Global EV Company

[Asia Economy Reporter Hyunseok Yoo] Cathode material manufacturer L&F announced on the 7th that it has signed a long-term contract to supply key materials for secondary battery cathode materials with a US-based global EV company.

Recently, global EV manufacturers are internalizing secondary battery production to respond to increasing demand. Accordingly, competition to secure key raw materials, including cathode materials, centered on the secondary battery value chain is becoming increasingly fierce.

With this direct supply contract with the global EV company as a starting point, L&F is expected to further strengthen its cooperative relationships with major global leading companies. The company explained that by not only supplying key raw materials for cathode materials but also establishing a comprehensive response system for customers centered on the related value chain, it can become a ‘total solution provider’ in the EV market.

An L&F official said, “This contract was made to strengthen competitiveness in the cathode material business and to enhance long-term cooperative relationships with overseas customers,” adding, “Due to a confidentiality agreement between the two companies, specific details regarding the customer and the contract cannot be disclosed.”

He continued, “Through the long-term sales contract with the global EV manufacturer, we have succeeded in securing additional growth momentum for sales,” and added, “As the quality stability of our core product, cathode materials, has improved, the competitive advantage of NCMA (Nickel Cobalt Manganese Aluminum) products has been strengthened, enabling us to secure sustainable growth in the electric vehicle market.”

Last December, L&F signed a 1.4 trillion KRW sales contract with LG Energy Solution for a two-year term, and in April of this year, it succeeded in securing a 1.2 trillion KRW supply contract with SK Innovation, achieving consecutive large-scale orders. To proactively respond to the anticipated increase in supply volume, L&F recently signed an MOU with China’s CNGR, one of the world’s largest precursor companies, for strategic collaboration on raw material procurement and overseas expansion.

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