South Korea announces $15-B investment in advanced battery technologies

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The South Korean government and its top battery companies plan to jointly invest 20 trillion won ($15.1 billion) through 2030 to develop advanced battery technologies, including solid-state batteries, the industry ministry said. | Reuters

The ministry said the three battery firms will build pilot production plants in South Korea that will serve as their product and manufacturing innovation center.

EV battery makers are racing to develop new battery technologies that promise longer driving range, higher energy density and better safety than the conventional lithium-ion batteries. The world’s top battery maker said last month it was finding it difficult to come up with a technologically feasible and competitive product based on solid state batteries, a technology that is also being researched by Japan’s Toyota Motor Corp and Germany’s Volkswagen.

The plan comes after the government earlier this month announced a 7 trillion won financial support plan for domestic battery makers seeking to invest in infrastructure in North America to help them cope with the U.S. Inflation Reduction Act.Earlier this month, the U.S. Treasury Department unveiled stricter EV tax rules, aimed at weaning the United States off dependence on China for EV supply chains.

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