LG Chem to Supply Batteries for Mitsubishi Motors' Electric or Hybrid Vehicles

Strategic Insights -

LG Chem Ltd., South Korea's No. 1 chemical and rechargeable battery maker, has announced plans to supply batteries for Japanese carmaker Mitsubishi Motors' electric or hybrid vehicles. The contract is expected to be a significant milestone for LG Chem, marking its first electric car battery deal with a major Japanese auto manufacturer. The deal will also cement LG Chem's position as a leading supplier of rechargeable batteries to several prominent global automakers.

Key Takeaways:

  • LG Chem plans to supply mid- to large-sized secondary batteries for certain electric or hybrid vehicle models to be launched by Mitsubishi Motors in 2012 or 2013.
  • The upcoming deal will mark LG Chem's first electric car battery contract with Mitsubishi Motors, a major Japanese auto manufacturer.
  • LG Chem has already secured contracts with several other prominent automakers, including General Motors Co., Ford Motor Co., Volvo, Hyundai Motor Co., and Kia Motors Corp.
  • The company aims to sign more battery supply contracts to secure about 10 foreign buyers by the end of 2010.
  • LG Chem will not build a new factory in Japan to supply batteries, citing geographical proximity as a reason.
  • The contract is expected to be a significant extension of LG Chem's global presence in the rechargeable battery market.

Statistics:

  • 10 foreign buyers: LG Chem plans to secure this number of battery supply contracts by the end of 2010 (Yonhap).
  • 2012-2013: The timeframe for the launch of Mitsubishi Motors' electric or hybrid vehicles, for which LG Chem will supply batteries (Asia Pulse).
  • 2010: The year by which LG Chem aims to secure 10 foreign buyers for battery supply contracts (Yonhap).
  • 3 deals: LG Chem has already secured contracts with major automakers General Motors Co., Ford Motor Co., and Volvo earlier this year (Asia Pulse).

Sources:

  • Asia Pulse: "LG Chem to supply batteries for Mitsubishi Motors' electric or hybrid vehicles" (Sept 27)
  • Yonhap: "LG Chem plans to secure 10 foreign buyers for battery supply contracts" (Sept 27)
  • Asia Pulse: "LG Chem to supply batteries for Mitsubishi Motors' electric or hybrid vehicles" (Sept 27)
  • Yonhap: "LG Chem plans to supply batteries for Mitsubishi Motors' electric or hybrid vehicles" (Sept 27)