[Special Stock] Newintek, Hyundai Motor's Electric Vehicle Global Strategy 'Hidden Card'... German Competitors Also 'Courting' Expansion After Expansion

[Asia Economy Reporter Hyungsoo Park] Newintec is showing strong performance. As the electric vehicle market grows, the demand for capacitors (storage batteries) is also increasing, which seems to be influencing the stock price.

At 10:36 AM on the 27th, Newintec is trading at 3,445 KRW, up 7.82% from the previous day.

Newintec participated in South Korea's first high-speed electric vehicle BlueOn and electric bus ElecCity development projects. By the end of 2011, it was supplying to mass-produced electric vehicle models Ray and Soul. Since June 2016, it has been the exclusive supplier for Ioniq Electric and Ioniq Plug-in Hybrid. From last year, it has been supplying parts for electric vehicle models Ioniq 5 and EV 6. It also supplies parts for LF Hybrid, K5 Hybrid, Grandeur Hybrid models, as well as Ioniq Electric and hydrogen fuel cell vehicles. Through inverter manufacturers, it is conducting sales and supplying prototypes to supply capacitors to global automobile companies.

When converting direct current to alternating current in inverters, power loss can occur. Capacitors are components that help compensate for this loss and maintain uniform power. Globally, only 2 to 3 companies, including Newintec, can mass-produce 800V-class capacitors.

The Ioniq 5, which applies an 800V charging system, has gained great popularity worldwide. Newintec, a key partner of Hyundai Motor Company in the global electric vehicle industry, is strengthening its position. Since power directly translates to motor output, the importance of capacitors in electric vehicle charging systems has increased. This is why demand for technologically advanced companies is expected to grow as competition in electric vehicles intensifies.

Newintec is aggressively expanding its production capacity. Earlier this month, it completed a new factory in Gunsan, Jeonbuk, and started trial production. According to a media report, representatives from European automakers such as Volkswagen Group and BMW are scheduled to visit the new factory. Newintec is also promoting the introduction of RE100 (100% renewable energy consumption) at the Gunsan factory to meet overseas standards including those in Europe. The production capacity of Newintec's Gunsan factory will expand from 400,000 units annually at the end of this year to 800,000 units by the end of 2023. Combined with the Asan factory in Chungnam (annual capacity of 400,000 units), the total production capacity is expected to increase to 1.2 million units by the end of next year.

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