LG Chief Koo Stands by EV Development as Key to Company’s Growth…

LG Group Chairman Koo Kwang-mo emphasized the company’s commitment to EV battery development during his visit to Indonesia. The visit included a tour of the HLI Green Power battery plant, showcasing significant production capacity. Koo also reviewed LG Electronics’ operations, analyzed market trends, and reiterated the need for innovation and competitive advantages. Indonesia’s role as a resource-rich country was highlighted as crucial for LG’s growth plans.

LG Group Chairman Koo Kwang-mo underscored the company’s commitment to electric vehicle (EV) batteries as a crucial part of its growth strategy during a recent trip to Indonesia, which is significant for both demand and resources. Koo’s visit to Indonesia, from June 2 to June 4, included a tour of the HLI Green Power battery plant, a collaboration between LG Energy Solution and Hyundai Motor Group, located in Karawang, West Java.

This plant, which spans 79 acres, is designed to produce 10 gigawatt-hours of battery cells each year, enough to energize approximately 150,000 EVs. Since initiating mass production in April 2023, the factory reported an impressive production yield of over 96% within just months. Koo inspected various stages of production, including electrode manufacturing and cell assembly, stressing the importance of enhancing LG’s technological edge. He even left a personal handwritten message on a battery cell, expressing hope that it would embody “the heart of future mobility.”

Notably, this trip marked Koo’s third overseas visit of the year after previous stops in India and the UAE in February. The chairman’s ongoing commitment to the battery sector was evident during LG’s annual shareholder meeting in March, where he stated his ambition for the battery industry to evolve into the group’s flagship sector as well as a core industry for the nation.

Beyond the battery plant, Koo also explored LG Electronics’ production and R&D facility in Cibitung. This site, located west of Jakarta, produces TVs, monitors, and digital signage not only for the Indonesian market but also for exports to Asia, the Middle East, and Africa. He reviewed automated production lines and discussed strategic global R&D approaches.

Koo did not overlook the importance of local markets during his visit; he met with LG Electronics’ sales team in Jakarta to analyze trends across Indonesia and Southeast Asian markets. “While it’s important to respond to today’s intensifying competition, we must also prepare for what will keep us alive five years from now,” he remarked. He encouraged focus on selective strategic initiatives to gain competitive advantages.

His visit also included a stop at Electric City, a retail store in Jakarta, to observe how LG products fared in competition with local and Chinese brands. Indonesia’s large population, which is about 280 million, positions it as a major strategic market for LG. As the largest nation in Southeast Asia and the fourth globally, Indonesia plays a vital role in supplying nickel, a primary material for EV batteries.

LG has strengthened its footprint in Indonesia significantly since entering the market in 1990, with multiple subsidiaries now operating in the country. Reports indicate LG now has ten local entities, including four production sites. An LG official emphasized that Koo’s trips to Indonesia and India show a robust commitment to discovering growth avenues across consumption, production, and R&D.

In summary, Koo Kwang-mo’s commitment to EV battery development during his visit to Indonesia highlights LG’s strategic focus on key markets. With the company’s goal to strengthen its battery technology and adapt to market changes, LG is strategically positioning itself for the future. The growth potential in Indonesia, especially given its resource production and consumer market, underscores the nation’s importance in LG’s broader global strategy.

Original Source: koreajoongangdaily.joins.com