LG Energy Solution formed a consortium for a US$9 billion project in Indonesia and the consortium signed a framework agreement on April 14 with Antam and Indonesia Battery Corp.. The consortium includes LG Chem, LX International and POSCO Holdings as well as LG Energy Solution.
The project in the nickel-rich country is to establish a new value chain in order to stably procure the raw material essential for electric vehicle batteries.
These days, the global demand for electric vehicles is soaring, raw materials are being undersupplied, and automakers and electric vehicle battery manufacturers are trying to procure the materials on their own. For example, the international nickel price more than doubled to US$33,250 per ton from the end of last year to April 14.
CATL, the largest electric vehicle battery manufacturer in the world, signed a similar agreement with the Indonesian government that day. The size of its project is US$6 billion according to local press reports.
