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(Photo=Hyundai Motor) |
[Alpha Biz= Reporter Kim Sangjin] On the 19th, according to industry sources and Reuters, Hyundai Motor Group strengthened its electric vehicle supply chain by signing a long-term supply agreement with the world's second-largest lithium producer, Chile's SQM (Sociedad Quimica y Minera de Chile).
Hyundai and Kia have entered into a contract with SQM for the supply of lithium hydroxide, which is primarily used in ternary compound batteries such as NCM (Nickel-Cobalt-Manganese) and NCA (Nickel-Cobalt-Aluminum). The specific volume of this supply contract has not been disclosed.
SQM, based in Chile, is the world's second-largest producer of lithium, following Albemarle. They produce lithium in Chile, which meets the requirements of the U.S. Inflation Reduction Act (IRA) due to the free trade agreement (FTA) between the U.S. and Chile.
This move by Hyundai Motor Group marks their continued efforts to secure critical minerals for electric vehicle batteries. Earlier in January, they signed a long-term purchase agreement for lithium hydroxide with Ganfeng Lithium, a Chinese lithium producer, and also secured a supply agreement with China's Sichuan Lithium Energy.
Alphabiz Reporter Kim SangJin(letyou@alphabiz.co.kr)
