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SEOUL, June 23 — South Korea’s Hyundai Motor Group and LG Chem Ltd are considering establishing an electric vehicle (EV) battery cell manufacturing joint venture in Indonesia, a person with direct knowledge of the matter told Reuters today.
The size of investment or capacity have not been decided, said the person, declining to be identified as discussions are private.
The news comes as global automakers move to secure electric vehicle batteries in anticipation of a rise in EV sales due to government subsidies and quotas worldwide seeking to cut carbon emissions.
In recent years, battery maker LG Chem has set up separate ventures with both General Motors Co and Geely Automobile Holdings Ltd
LG Group Chairman Koo Kwang-mo met Hyundai Motor Group Executive Vice Chairman Euisun Chung yesterday to discuss cooperation in EV batteries, including future battery technology.
Both LG Chem and Hyundai Motor Group confirmed the meeting but said nothing has been decided concerning a potential venture.
LG Group’s biggest companies include LG Chem and LG Electronics Inc Hyundai Motor Group includes automakers Hyundai Motor Co and Kia Motors Corp as well as auto parts maker Hyundai Mobis Co Ltd. — Reuters