Nara M&D is showing strong performance. This is interpreted as being influenced by the news that LG Energy Solution has signed a supply contract worth 5 trillion KRW for LFP (Lithium Iron Phosphate) batteries with Renault, the largest automobile company in France.
As of 1:37 PM on the 3rd, Nara M&D is trading at 4,935 KRW, up 7.52% compared to the previous day.
According to industry sources, LG Energy Solution has signed a supply contract for pouch LFP batteries for Renault's electric vehicle division 'Ampere' and electric vehicles. The supply period is five years, from the end of 2025 to 2030. The total supply volume is 39 gigawatt-hours (GWh), enough to produce 590,000 pure electric vehicles. Considering the average price of LFP batteries last year, the order amount is estimated to reach 5 to 6 trillion KRW.
This contract by LG Energy Solution is significant as it is the first time a domestic battery company has secured a large-scale supply in the mid-to-low price segment LFP field, surpassing China.
Meanwhile, Nara M&D was established as a spin-off from LG Electronics' production technology center mold factory. LG Electronics is the second largest shareholder. Additionally, Nara Emtec, jointly invested by LG Electronics, mainly produces injection molds for LG Energy Solution's electric vehicle battery packs, energy storage systems (ESS), and small precision molds for automobiles.
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