POSCO Future M Signs Joint Venture Agreement for LFP Cathode Materials with CNGR and FINO

Expansion to a Maximum of 50,000 Tons

POSCO Future M is accelerating its entry into the lithium iron phosphate (LFP) cathode materials business, a key material for mid- to low-priced batteries, in response to the rapidly growing energy storage system (ESS) market.

POSCO Future M signed a joint venture agreement (JVA) for LFP cathode materials with CNGR and Pino on the 23rd. From left to right: Donghwan Kim, CEO of Pino; Taeil Yoon, Head of Energy Materials Marketing Division at POSCO Future M; Zongyuan Zhu, Vice President of CNGR; Zhufu Dai, CEO of CNP New Materials Technology. POSCO Future M

On the 24th, POSCO Future M announced that it had signed a joint venture agreement for LFP cathode materials with China's CNGR and FINO, CNGR's Korean subsidiary. The signing ceremony, held the previous day at FINO's headquarters in Anyang, Gyeonggi Province, was attended by Taeil Yoon, Head of Energy Materials Marketing Division at POSCO Future M; Xingquan Liu, Vice President of CNGR; Zongyuan Zhu, Vice President of CNGR; Donghwan Kim, CEO of FINO; and Zhufu Dai, CEO of CNP New Materials Technology.

To strengthen its partnership with CNGR in the secondary battery materials business, POSCO Future M established CNP New Materials Technology last year as a joint venture with CNGR and FINO, and has since been in discussions regarding collaboration. On the 15th, POSCO Future M held a board meeting and approved the construction of an LFP cathode materials plant through the joint venture. After completing the contract signing on the 23rd, the company is now accelerating its LFP cathode materials business.

Following the joint venture agreement, POSCO Future M plans to build an LFP cathode materials plant in the Yeongilman 4th General Industrial Complex in Pohang, North Gyeongsang Province. Construction is scheduled to begin in 2026, with mass production targeted for 2027. Starting with this investment, the company aims to expand its annual production capacity to up to 50,000 tons.

While LFP batteries have lower output compared to ternary batteries, they offer advantages such as lower cost and longer lifespan. As a result, their use is rapidly increasing in various fields, including ESS and entry-level electric vehicles. With this agreement, POSCO Future M will fully launch its LFP cathode materials business to meet the surging market demand, and further strengthen its cooperation with CNGR and FINO across production, technology, and marketing.

In addition to this agreement, POSCO Future M plans to enter the LFP market early by converting part of the high-nickel product production line at its existing Pohang cathode materials plant into an LFP cathode materials production line, with supply scheduled to begin in the second half of 2026.