LG Chem doubles down on carbon nanotubes for batteries

LG Chem is building a fourth carbon nanotube plant in the country to meet the rapidly growing market for electric vehicle (EV) batteries.

LG Chem's nanotube production site in Yeosu, South Jeolla. [LG CHEM]

LG Chem is building a fourth carbon nanotube plant in the country to meet the rapidly growing market for electric vehicle (EV) batteries.

The new plant in its Daesan complex, South Chungcheong, will be completed by the second half of 2024. The company has two plants operating in Yeosu, South Jeolla, with a third under construction in Yeosu.

The plant will have an annual capacity of 3,200 tons, the largest in the country. Once completed, LG Chem will have a total of 6,100 tons of capacity.

Carbon nanotubes are cylinder-shaped allotropic forms of carbon used to make lithium-ion batteries, semiconductors and automobile parts. In batteries, they are not a core component but an additive that can enhance battery performance.

The new plant will supply battery makers including LG Energy Solution, which is 81.8 percent owned by LG Chem.

"We will exert efforts to become No.1 in the battery conductive materials sector based on high quality and proprietary technologies," said Noh Kug-lae, head of the company’s petrochemicals business.

Demand for carbon nanotubes for batteries is projected to annually grow by 30 percent to 70,000 tons in 2030 from 5,000 tons last year, according to industry projections.

LG Chem started its first carbon nanotube plant in Yeosu in 2017, with a capacity of 500 tons. It has been expanding its capacity every year since 2020.

The company began full-fledged research and development into proprietary carbon nanotube technologies in 2011. It has around 300 patents so far.

BY SARAH CHEA [chea.sarah@joongang.co.kr]