Posco Future M to build synthetic graphite anode plant in Vietnam

Production lines at Posco Future M's synthetic graphite anode material plant in Pohang, North Gyeongsang Province (Posco Future M)

Posco Future M is seeking to expand global orders by investing in a new synthetic graphite anode material plant in Thai Nguyen, an industrial city in northern Vietnam.

The company said Thursday its board approved an investment of about 3.57 billion won ($2.44 million) to build the facility. Construction is set to begin in the second half of this year, with mass production targeted for 2028.

The plant will be built on a site capable of expanding production capacity to up to 55,000 tons, with phased expansions planned depending on future orders.

Synthetic graphite is widely used to improve battery performance, but its supply chain is heavily concentrated in a few countries, prompting global battery-makers to diversify sourcing.

Amid tightening trade regulations and growing demand for stable supply chains for critical battery materials, Posco Future M has been working to strengthen internal production capabilities, including the manufacturing of synthetic graphite anode materials.

Vietnam offers strategic advantages such as lower labor and logistics costs, allowing for more competitive pricing compared with other Southeast Asian countries. The country’s export-oriented economic policies also provide favorable trade conditions with key markets including the US.

Posco Future M previously established a synthetic graphite anode material plant in Pohang, North Gyeongsang Province, in 2021. The company has since expanded its anode material portfolio by increasing production capacity for both natural and synthetic graphite, while advancing the commercialization of silicon-based anode materials.

The company said the Vietnam investment will support its goal of becoming a leading global battery materials supplier by leveraging technologies developed through its domestic operations.