First Receipt of 'EU TCTF' Subsidy
"Immediate Operation of Factory for European Demand Recovery"
SK Nexilis, an investor in SKC's copper foil business, has secured a subsidy of 195 billion KRW from the Polish government.
On the 26th, SK Nexilis announced that it had confirmed a subsidy of 545 million zlotys (PLN), approximately 195 billion KRW, from the Polish government under the European Union (EU) Green Deal policy's 'Temporary Crisis and Transition Framework (TCTF)'.
SK Nexilis is the first Korean battery materials company to receive the EU TCTF subsidy and has become the company to receive the largest cash subsidy based on a single investment from the Polish government.
Additionally, SK Nexilis and the Polish government have agreed to cooperate in strengthening mid- to long-term partnerships, including industry-academia collaboration and research and development, based on the factory under construction in Stalowa Wola, eastern Poland.
The European Union introduced the TCTF in March last year and has been relaxing subsidy regulations for companies promoting low-carbon initiatives such as electric vehicles and batteries. Major European countries including Italy, Spain, and Germany have been providing subsidies to companies conducting production activities within their countries.
Based on this subsidy, SK Nexilis plans to further improve its local factory operation strategy. The copper foil factory in Stalowa Wola is nearing completion, and the company will gradually build its supply chain through customer certification processes.
An SKC official said, "Securing the subsidy will serve as a stepping stone to establish an industry-academia-government cooperation ecosystem with the Polish government," adding, "With strengthened financial soundness, we will respond to the market after the chasm (temporary demand slump) by immediately operating the factory in line with the recovery of demand in the European market."
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