L&F to Produce LFP Locally in the U.S. by 2027

Equity Investment of 14.5 Billion KRW in Mitra Chem
Expanding Customer Base... "We Will Enter the Market Quickly"

LNFE is accelerating its entry into the U.S. lithium, phosphate, and iron (LFP) market through collaboration with its American partner company.

On the 20th, LNFE announced a decision to invest approximately 14.5 billion KRW in equity in its local partner, Mitra Chem, to produce LFP in the U.S. The investment will be made by acquiring preferred shares in Mitra Chem's Series B-1 round. Mitra Chem, founded in 2021 by Vivas Kumar, a former Tesla employee, is currently testing LFP products with customers. The company is also developing next-generation materials such as LFMP and precursor-free LFP cathode materials.

Exterior view of L&F Daegu Guji Plant 3. Photo by L&F

Through this investment, LNFE plans to strengthen its strategic partnership with Mitra Chem and use it as a preparatory step for local LFP production in the U.S. Previously, Mitra Chem secured a subsidy of 100 million USD (approximately 146 billion KRW) from the U.S. Department of Energy (DOE). The two companies plan to start commercial LFP production in the U.S. from 2027 through their cooperation.

Both companies expect that this collaboration will effectively minimize tariff risks demanded by automakers and respond to the trend of decoupling from China. Seunghun Ryu, CFO of LNFE, stated, "Through on-site due diligence in the U.S. last January, we confirmed Mitra Chem's technological capabilities and LFP production site," adding, "We will quickly and stably enter the U.S. market by combining LNFE's mass production experience with Mitra Chem's local procurement capabilities and its customers and partners in the U.S."