SEOUL, April 5 (Yonhap) — POSCO Chemical Co., an affiliate of South Korea’s steel giant POSCO Group, said Monday it will provide a key material for Ultium Cells’ rechargeable batteries for electric vehicles (EVs).
POSCO Chemical said it will supply anodes, one part of lithium-ion batteries used in EVs, to Ultium Cells, a battery joint venture of South Korean battery maker LG Energy Solution Ltd. and American automaker General Motors Co.
Anode is a key material in a battery that preserves lithium coming from the cathode and generates electricity while releasing lithium.
In December, the chemical company struck a supply deal with Ultium Cells for cathodes, another crucial material for EV batteries.
POSCO has expanded investment in chemicals for rechargeable batteries as the EV battery market has been on a roll as automakers around the world race to go electric and eco-friendly due to tightened regulations on greenhouse gas emissions.
GM and LG are currently spending $2.3 billion on a new battery cell plant in Ohio, which is expected to be completed in 2022.
The plant is considered a linchpin of GM’s plans for its next-generation EVs.