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News
August 29, 2019 10:30 AM

LG Chem reducing reliance on Japanese battery parts as dispute escalates

Plastics News Europe
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    LG Chem

    South Korea's LG Chem is seeking new suppliers for automotive battery parts, including flexible pouches, as the political and trade dispute with Japan deepens, according to Reuters.
     
    The Seoul-headquartered chemicals company supplies batteries to major carmakers such as Volkswagen, Volvo and General Motors.
     
    According to Reuters, Tokyo dropped South Korea from a so-called "white list" of favored trade partners Aug, 28, potentially leading to more paperwork and on-site inspection for some Japanese exporters.
     
    LG is now testing products from South Korean pouch film maker YouIChon Chemical, stated Kim Myung Hwan, president of LG Chem, speaking at a battery conference.
     
    LG Chem has relied heavily on Japan's Dai Nippon Printing and Showa Denko KK for pouches for its lithium ion batteries, Reuters said, adding that the combined market share in the global battery pouch market of the two Japanese companies is about 70 percent.
     

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