Baca berita tanpa iklan. Gabung Kompas.com+

Hyundai and LG Considering Car Battery Production in Indonesia

June 23, 2020, 06.15 PM

JAKARTA, KOMPAS.com – South Korea’s Hyundai in Indonesia is expanding beyond car manufacturing as it is in talks with LG Chem Ltd to invest in car battery production in the Southeast Asian country.

The joint venture would see two of South Korea’s business giants produce car batteries for electric cars in Indonesia, according to sources at Reuters.

Read also: Korean Food Chain Indonesia Lotteria Closes After Nine Years

The production capacity of the proposed car battery manufacturing is yet to be revealed.

With a growing number of consumers seeking eco-friendly alternatives to their lifestyle, new opportunities have arisen for the global automotive industry.

There is also an expanding list of countries providing generous subsidies for companies that can achieve reduced carbon emissions.

LG Chem has a longstanding history in electric car battery production. Its clients include General Motors, Geely Automobile, Tesla, Hyundai, and a slew of other car producers.

Read also: Banyumas Auto Enthusiasts Roll out Their First Locally Made Electric Car

Head of LG Group Koo Kwang-mo confirmed that a meeting took place with the Executive Vice Chairman of Hyundai Motor, Euisun Chung.

Both parties discussed a potential partnership in EV battery production including battery technology for the future.

However, both Hyundai and LG executives did not yet reach a decision in their potential business plans.

“Hyundai Motor Group has collaborated with LG Chem in various projects. At this moment, there has yet to be any concrete discussions regarding a joint venture for car battery production in Indonesia,” said a Hyundai representative to Reuters.

Should the joint venture between the two South Korean giants take place, it will be the first attempt for Hyundai in car battery production.

Plans to start car battery production in Indonesia is quite strategic considering Hyundai started construction of a factory in the archipelagic nation.

This is Hyundai’s effort to challenge Toyota’s dominating presence in Indonesia.

Page:


Comment wisely and responsibly. Comments are entirely the responsibility of the commentator as regulated in the ITE Law
Report
Thank You! We have received your report. We will remove comments that conflict with the Community Guidelines and the ITE Law.

More Headlines

News
April 14, 2023, 12.38 PM

Indonesia Detects New Covid Arcturus Variant

Baca berita tanpa iklan. Gabung Kompas.com+
Baca berita tanpa iklan. Gabung Kompas.com+

MOST POPULAR

Baca berita tanpa iklan. Gabung Kompas.com+
Baca berita tanpa iklan. Gabung Kompas.com+
Close Ads
Oke