Shinjin SM is showing strong performance. It is interpreted that this is influenced by recent news that government ministries are preparing countermeasures related to electric vehicle fire accidents.
As of 2:10 PM on the 12th, Shinjin SM is trading at 2,630 KRW, up 6.48% compared to the previous day.
On this day, a 'Meeting on Electric Vehicle Fires' is held under the chairmanship of the Vice Minister of the Ministry of Environment, with related ministries including the Ministry of Land, Infrastructure and Transport, the Ministry of Trade, Industry and Energy, and the National Fire Agency. Based on this meeting, the government plans to announce a 'Comprehensive Electric Vehicle Fire Countermeasure' in early next month.
Following the complete destruction of an underground parking lot caused by an electric vehicle battery fire in Cheongna, Incheon on the 1st, which led to signs of electric vehicle avoidance, the government has stepped in to prepare countermeasures.
The lithium batteries installed in electric vehicles cause a 'thermal runaway' that generates more heat once ignited, making it difficult to extinguish with a regular powder fire extinguisher. The time it takes to progress to a thermal runaway situation is only 1 to 2 minutes, resulting in a significant impact.
Meanwhile, Shinjin SM is known to be developing flame-retardant and insulation sheets that delay thermal runaway in collaboration with S-Plus Comtec, a carbon-based composite material specialist company, aiming for mass production by the end of this year. The material development has been completed based on the original patented technology owned by S-Plus Comtec, and additional research and development is reportedly underway with global automaker vendors.
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