South Korea Behind Japan & China In EV Battery Race

JAN 18 2019 BY MARK KANE 22

KERI tries to convince the government to purchase more EVs and support manufacturers

According to the Korea Economic Research Institute (KERI), the South Korean EV battery manufacturers are lagging behind its biggest rivals from Japan and China.

Latest data indicates that the combined market share of LG Chem and Samsung SDI decreased from 30% in 2014 to 11% in 2018 – “due mainly to a lack of captive buyers”.

On the other hand, Chinese Contemporary Amperex Technology (CATL) and BYD take advantage of the rapidly growing home market, while Panasonic expands together with its biggest battery customer – Tesla.

The Japanese, Chinese, and South Korean manufacturers control the battery market – having over 80% share according to KERI.

LG Chem, Samsung SDI, SK Innovation has a chance to improve its position when Hyundai Motor Group (Hyundai and Kia) starts volume EV production, and the general European industry increases demand (without its own, European battery manufacturer).

“KERI advised the government to purchase more EVs for the public sector, provide more subsidies to buyers of such green cars and beef up the country’s charging infrastructure.

The government said it is pushing to get 250,000 EVs to the public and private sectors by 2020, while increasing investments in charging stations in major cities.”


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22 Comments on "South Korea Behind Japan & China In EV Battery Race"

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You’re not going to see LG take off until GM starts production of their mainline EV’s.

Depending on GM may have been the reason LG is behind. Doggydogworld’s list of the top 10 battery companies below shows that the top 3 are all doing business with automakers that are in a hurry to build EV market share.

GM is not the only big customer. Almost all legacy makers are buying some or all batteries from LG. Among many other examples, they are supposed to be a main supplier for VWs upcoming EV push.

It’s just that all the legacy makers have been twiddling their thumbs up to now… But this will hopefully change over the next few years.

Where is the US company in this race?


Top 10 are:

1. Panasonic
3. BYD
4. Samsung SDI
5. some other Chinese company
6. LG Chem
7-10. more Chinese companies…..

SK Innovation might be in the 9th or 10th, I can’t recall for sure.

A123 and others started early in the U.S. then were bought.

Bought out after going bankrupt.

A123 received $458M in US government subsidies and were then taken over (after their bankruptcy) from a Chinese corporation for $20M.

Communist Party of China just cut them off Chinese market over THAAD deployment or for whatever excuse. They prefer domestic industry, period.

So much for the real life fair trade practice in the world – and some politicians somehow pretend they are surprised by Trump’s tariff initiative.

“Initiative”. You mean like Trump’s shutting down the government and making hundreds of thousands work without pay as a proxy for race war against Latinos is an “initiative”? Or do you mean like Trump utterly demolishing the Emoluments Clause and running the government as an extension of his corporate empire is an “initiative”?

He’s a spoiled, senile gangster who literally does not understand the principles of democracy, which is why he could never be bothered to run for lesser offices so he could learn how to govern. He only understands strongman rule.

Trump is what he is: vain, vulgar, blustering, boastful, shameless, crude. He is also RIGHT. Right on the economy, trade, and taxes, right on ILLEGAL immigration and the wall, right (mostly) on foreign policy, right on the media’s overwhelming liberal bias. And right on the America First mantra. He is America’s president, not a third world agent believing that America is immoral and evil and it needs to be cut down to size.

Evil, Racist, Misogynist, Wannabe dictator, Traitor, Liar, Narcissist. There is no liberal bias in the media, only a corporate one.


I’m about trade, not about POTUS character.

p.s. I don’t think extensive brainwashing by the other side of US political spectrum and outright rejection of civility is any better than what you complain about.

No, the Chinese government ask the battery to be produced in China in order to receive NEV incentive, not because of THAAD, which also means that cars produced in GF3 might encounter a similar problem.

There is actually no official requirement for batteries to be produced in China. They need to be placed on a whitelist of “approved” suppliers though; and the Korean makers were cut off a few years ago — after building factories in China — presumably as retaliation for completely unrelated political tensions.

Lately there has been word though that some non-Chinese makers made it on the whitelist. Panasonic is apparently in negotiations as well.

Oh so that’s one of the reasons why they’re behind, lack of focus.

Fool cell waste time and money and KERI has figured that out.

“due mainly to a lack of captive buyers”

Well, e-Niro, EV Soul and Kona need some batteries…..

Not many, though — unless they crank up production goals. That’s the problem: the Korean suppliers have lots of customers, but none of these have been serious about selling EVs thus far…

KERI should tell it’s govt to drop H2 and put it’s money behind batteries instead of fool cells.