Supplying to a Leading Domestic Secondary Battery Conglomerate... Expanding Business Scope
Operation of VINA CNS 3 Plant... Advancing as an Eco-Friendly Energy Company
Fine M Tech, a specialized manufacturer of hinges for foldable smartphones, has confirmed that it has signed a supply contract for industrial energy storage system (ESS) battery components with a leading domestic secondary battery conglomerate. This contract marks Fine M Tech's first order win, raising expectations for future business expansion.
According to industry sources on the 24th, Fine M Tech recently secured a large-scale supply contract for ESS end plates in the North American region. Although the contract amount is undisclosed, the industry estimates it to be in the high 100 billion KRW range.
This is Fine M Tech's first order for ESS end plates. The North American ESS market is rapidly growing due to increased power demand from data centers driven by recent advancements in artificial intelligence (AI) technology. Last year, the global ESS installation scale reportedly increased by more than 60% compared to the previous year.
Fine M Tech is expected to continue its expansion by entering the ESS business alongside its existing electric vehicle (EV) battery module end plate business.
Notably, the fact that Fine M Tech secured the supply contract despite unstable policy and economic conditions in the North American market?due to discussions on the repeal of the U.S. Inflation Reduction Act (IRA) and the EV demand slump (chasm)?is drawing attention. This is analyzed as evidence that Fine M Tech's internalized convergence technology and quality are recognized in the global market.
A Fine M Tech representative stated, “The ESS components won in this contract are scheduled to begin full-scale production from the third VINA CNS plant in Vietnam starting in the second half of this year,” adding, “We expect a positive impact on sales from the second quarter of this year.”
The VINA CNS 3 plant, completed in October last year, was designed exclusively for electric vehicle module housing (EV Module Housing). Through this, Fine M Tech is transforming from a business structure centered on foldable components to an eco-friendly energy company encompassing EV and ESS sectors.
The Fine M Tech representative added, “This order is expected to be an important opportunity for Fine M Tech to solidify its position in the global market,” and said, “Successful entry into the ESS component market following electric vehicle parts will not only support the company’s sustainable growth but also serve as a stepping stone to securing various customers and increasing the possibility of additional orders in the future.”
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