[Dreaming of Next-Generation Batteries⑦] "Achieving Rational Performance and Price Is Also 'High-Tech'"

Interview with Yang Jeheon, CTO of Ecopro BM
Due to high nickel characteristics, lifespan decreases
Positive electrode materials prepared to compensate for drawbacks

Affordable Chinese LFP batteries
Counterpart 'High Manganese' also under development

Yang Jehun, Technical Director of Research and Development Headquarters at EcoPro BM

"‘High-tech’ does not only mean the best performing and most expensive products. If you can achieve reasonable performance while lowering the price, that is also high-tech."

Yang Jeheon, Technical Director of Research and Development at Ecopro BM, stated in an interview with Asia Economy on the 11th that the company is continuously evolving to become a ‘pioneer’ in the field of ternary battery cathode materials. Ecopro BM was the first company in the world to mass-produce ‘NCM 811’, so-called ‘high-nickel (nickel content over 80%)’ battery cathode materials in 2018. To this day, Ecopro BM is the only company capable of simultaneously mass-producing high-nickel ternary battery cathode materials ‘NCA (Nickel-Cobalt-Aluminum)’ and ‘NCM (Nickel-Cobalt-Manganese)’.

◆ Ecopro BM, the Pioneer of High-Nickel = High-nickel batteries, which significantly increase nickel content, are considered a representative future growth engine because they can increase capacity and output compared to conventional electric vehicle batteries. Increasing the nickel ratio raises energy density, which extends the driving range per charge of electric vehicles. It also enables the production of electric vehicles with higher output. Global automakers are increasingly equipping their electric vehicles with high-nickel batteries. Currently, battery manufacturers are focusing on high-nickel batteries with nickel content raised from 60-70% to 80-90% as their main products.

Yang said, "There is no product with nickel content below 80% among Ecopro BM’s products," adding, "In fact, our main products now have nickel content above 88%. Ecopro BM leads the technology for incorporating nickel, which increases battery energy density."

However, increasing nickel content brings challenges in stability and lifespan. Ecopro BM has already prepared a solution called ‘single-crystal cathode materials.’ Yang explained, "Most commercial cathode materials currently are ‘polycrystalline,’ composed of many tiny particles clustered together. Polycrystalline materials tend to break easily during the manufacturing process, promoting unnecessary surface reactions or gas generation inside the battery. These characteristics affect charge-discharge cycles, reducing battery lifespan." The single-crystal cathode material technology can overcome these issues.

Yang continued, "Ecopro BM is ready to apply single-crystal technology to battery cathode materials by increasing particle size and optimizing surface treatment," adding, "Through collaboration with customers, we expect batteries using single-crystal technology to be commercialized in the near future."

◆ ‘High-Manganese’ as a Competitor to LFP in the Mid-to-Low Price Market = Recently, price has become a key topic in the battery market. Although countries are promoting policies to transition to electric vehicles amid carbon neutrality and eco-friendly initiatives, consumers still perceive electric vehicles as ‘expensive.’ Additionally, the prolonged war between Russia and Ukraine has caused price volatility in key battery materials. As a result, LFP (Lithium Iron Phosphate) batteries, mainly produced by Chinese companies, are gaining attention. LFP batteries have lower energy density than ternary batteries but use easily available iron and phosphate oxides as raw materials, making them inexpensive and stable.

Ecopro BM is positioning high-manganese cathode materials as a competitor to LFP. These products significantly reduce nickel and cobalt content while increasing manganese content. In terms of price, high-manganese costs less than $20 per kilogram, which is higher than LFP (around $11). However, high-manganese has an advantage in electrode density. When used in battery cells, it offers a cost advantage below $80 per kWh compared to LFP’s $82.29.

Recently, Tesla CEO Elon Musk revealed that the company is researching batteries with increased manganese content, further raising interest in high-manganese. Ken Hoffman, Vice President of McKinsey’s Battery Materials Research Group, also mentioned, "Manganese production is ten times greater than nickel, and it is sufficient for increasing energy density."

Yang said, "LFP has about 40% lower energy density, so batteries of the same capacity require more volume," adding, "While automakers’ interest in LFP is increasing, it occupies a lot of space to the extent that vehicle specifications or designs need to be changed, making it difficult to say it is a perfect alternative in the mid-to-low price market."

Ecopro BM is currently developing high-manganese cathode materials called ‘OLO,’ aiming for release before 2026. LFP cathode materials are not considered. Yang explained, "By targeting both markets with cost-competitive high-manganese and high-nickel cathode materials, the market share of LFP batteries, which Chinese companies dominate, will further decline."