EV batteries: Korean company to invest $2.3 bn in copper foil production

Lotte Chemical plans to boost production o hicle batteries, the South Korean company said in an investment expected to reach 3 trillion won ($2.3 billion) through 2028.
Listed subsidiary Lotte Energy Materials makes copper foil used to wrap the anodes of lithium-ion batteries. This foil needs to meet stringent standards for purity, flexibility and strength to increase battery output, according to Lotte Chemical.
The Lotte group is focusing on battery materials, including aluminum foil and organic solvents for electrolytes, with the aim of turning them into a core business to replace commodity-grade petrochemicals, which have thin profit margins.
The group has copper foil production facilities in South Korea and Malaysia, and is building a factory in Spain.
Plans call for quadrupling annual production capacity from the 2022 level to 240,000 tonnes in 2028. Lotte intends to expand existing plants and is considering a new factory in North America, where its customers — major South Korean battery manufacturers — are building new battery plants.
Lotte Energy Materials has 15 trillion won in outstanding orders for copper foil, the company said, a figure projected to reach 20 trillion won in two years.
Lotte Energy Materials President Kim Yeon-seop, who hails from Lotte Chemical, unveiled the company’s business strategy at a news conference in Seoul. The company, formerly known as Iljin Materials, changed its name to Lotte Energy Materials when it was acquired by Lotte Chemical for 2.7 trillion won last year.