President Kim Jun-hyung: "POSCO Future M to Continue Investment in Cathode and Anode Materials"

"Considering 100% Domestic Production Plan for Graphite"

Kim Jun-hyung, CEO of POSCO Future M, said on the 15th, "The quantities of cathode and anode materials already secured through orders are commitments to our customers, so we plan to continue investing."

Regarding recent speculation that the POSCO Group might reduce investments in secondary battery materials following the appointment of former POSCO CEO Jang In-hwa as the group chairman, Kim told Asia Economy, "We have not received any guidelines on the future direction of secondary battery material investments," and made the above statement.

Earlier that day, at the JW Marriott Hotel in Seocho-gu, Seoul, Kim met with reporters before the Korean Battery Industry Association board meeting and said, "I have neither met the new chairman candidate nor received any instructions." When asked, "Can we understand that things will proceed as planned for now?" he replied, "I am not yet able to comment on the new chairman's policies."

When asked about the recent efforts by domestic battery companies to reduce dependence on Chinese raw materials such as graphite, Kim said, "We are considering various measures, including importing different raw materials, to achieve 100% domestic production of graphite," adding, "If not our company, then who else?" He continued, "We must think about this for the country." POSCO Future M is the only domestic company producing graphite-based anode materials for secondary batteries.

Regarding this year's top priority, he said, "We must first achieve profitability." He added, "Increasing volume is the biggest concern. We need to quickly ramp up production of artificial graphite and prepare for LFP (lithium iron phosphate), so there are many challenges."

On plans for mass production of LFP cathode materials, Kim said, "It is not a simple issue," and added, "LFP investment is actually difficult domestically, so we are seriously considering going global."

Kim Jun-hyung, President of POSCO Future M, is answering reporters' questions on the 15th at JW Marriott Hotel in Seocho-gu, Seoul. Photo by Choi Seo-yoon

Regarding the single-particle active material that began mass production in Pohang, Gyeongbuk, last December, he said, "I cannot disclose the exact yield, but it is meeting the target," and added, "All customers want single-particle active material." Kim also said, "After various training sessions last year, we are currently producing in both Pohang and Gwangyang, so I believe production will go well as planned this year."

POSCO Future M produces nickel-cobalt-manganese-aluminum (NCMA) single-particle active materials with a nickel content of 86%. Kim said, "Single-particle active materials have issues such as lower manufacturing process productivity, quality, and defect rates, but if made well, they have great potential," and added, "We will overcome these challenges with technology."

Regarding expansion into Europe, Kim said, "We are in extensive discussions with global OEMs, but nothing has been finalized yet," and added, "Poland is the most likely location."