SEOUL: South Korea's LG Chem Ltd said on Tuesday it will invest more than $3 billion to build a battery cathode factory in Tennessee, as it ramps up plans to meet rising demand for US electric vehicle components.It's one of the first major EV-related investments announced by a South Korean firm in the United States since a new US law was passed in August that puts automakers and battery suppliers relying heavily on China for sourcing at a cost disadvantage.Mass production is set to start in the second half of 2025 and the plant will create more than 850 jobs, LG Chem said in a statement.The plant is slated to have an annual production capacity of 120,000 tonnes of cathode materials by 2027, enough to power about 1.2 million electric vehicles, it added.Its shares climbed 1.9 per cent on the news, outperforming a 0.3 per cent decline for the broader market.LG Chem added that it is also pursuing cooperation with mining firms and recycling companies to better support its customers so that requirements of the new law, the Inflation Reduction Act, can be met.LG Chem is expected to supply cathode materials to Ultium Cells , a battery joint venture between General Motors and LG Chem's subsidiary LG Energy Solution Ltd (LGES).LGES, which supplies batteries to Tesla Inc , Ford Motor Co and Hyundai Motor Co among others, last month raised its 2022 revenue outlook to 25 trillion won ($18.4 billion) from 22 trillion, citing new projects from automakers.LG Chem's new plant will make cathodes for batteries with a nickel, cobalt, manganese and aluminum ( NCMA ) chemistry. The NCMA battery, which is about 90 per cent nickel, allows manufacturers to reduce their reliance on expensive cobalt, and reduce their exposure to refining and processing in China.China currently has 75 per cent of the world's cobalt refining capacity and 50 per cent of the lithium processing capacity, according to Benchmark Mineral Intelligence.GM has said it will use NCMA battery cathodes from LG Chem for a range of EVs using Ultium-branded batteries.The Inflation Reduction Act will, among other measures, require from next year that at least 40 per cent of the monetary value of critical minerals for batteries be from the United States or an American free-trade partner in order to qualify for US tax credits. That share will rise to 80 per cent in 2027.Automakers such as Hyundai Motor and Kia Corp have been hit hard by the new law, which immediately ended credits for about 70 per cent of the 72 car models that were previously eligible for EV subsidies.At this month's G20 summit, South Korean President Yoon Suk-yeol asked US President Joe Biden to prevent discriminatory measures against South Korean companies, his office said.It added Biden had replied that the implementation of the law should account for the contribution of South Korean investment in the US economy.
New Delhi: India saved USD 4.2 billion in fuel costs through solar generation in the first half of 2022 and 19.4 million tonnes of coal that would have further stressed an already strained domestic supply, according to a new report released on Thursday.The report by energy think tank Ember, the Centre for Research on Energy and Clean Air and the Institute for Energy Economics and Financial Analysis also analysed the growth of solar power over the last decade and found that five of the top 10 economies with solar capacity are now within Asia, including China, Japan, India, South Korea and Vietnam.The contribution of solar generation in seven key Asian countries -- China, India, Japan, South Korea, Vietnam, the Philippines and Thailand -- avoided potential fossil fuel costs of approximately USD 34 billion from January to June 2022, the report said.This is equivalent to 9 percent of total fossil fuel costs during this period, it added. "In India, solar generation avoided USD 4.2 billion in fuel costs in the first half of the year. It also avoided the need for 19.4 million tonnes of coal that would have further stressed an already strained domestic supply," the report stated.The report finds that the majority of the estimated USD 34 billion savings are in China, where solar met 5 percent of the total electricity demand and avoided around USD 21 billion in additional coal and gas imports during the period.Japan saw the second-highest impact, with USD 5.6 billion in avoided fuel costs thanks to solar power generation alone.Vietnam's solar power avoided USD 1.7 billion in additional fossil fuel costs, a sizable growth from nearly zero terawatt hours of solar generation in 2018. The potential savings from existing solar alone are enormous, and expediting their deployment alongside other clean energy sources such as wind, will be crucial for energy security in the region. While ambitious targets are important, follow through will be the key thing to watch moving forward."2 months ago ETEnergyworld.com
"Really the attraction for us are the export volumes and the contracts. "It's not up to us. So I think people just need to temper their expectations as to what's achievable, and recognise the fact that APLNG is the best among the east coast suppliers," Thomas said.With its focus on LNG exports, EIG is undaunted by the Australian government's threats to impose a cap on domestic gas prices. "Energy transition is hugely capital intensive and this company just isn't in a position to do that. ""By separating them, giving them really pure play platforms with new owners that are highly capitalised, I think there's much greater ability to execute much more ambitious growth plans," Thomas said.2 months ago ETEnergyworld.com
Previously all electric vehicles were eligible for the credit. Le Maire told reporters he hoped some solution to the problem could be defined, at least for European manufacturers, in time for French President Emmanuel Macron's planned US state visit to the White House in early December. "I think that we can fully understand the determination of the American government to defend their economic interest and promote greener technologies," Le Maire said. "But it should not have negative side effects on their European allies and the European economy. We think that one way to resolve disputes is to stop them from coming to WTO, to talk to each other and try to iron things out," Okonjo-Iweala said.2 months ago ETEnergyworld.com
"Vietnamese carmaker VinFast, which plans to begin building EVs in North Carolina in 2024, said it is "not looking for perpetual exemptions to the final assembly rule, but rather to ensure that the implementation of this change does not undermine the investments we are making. Toyota Motor Corp said Treasury "should deem that the critical mineral supply chains within Japan qualify" for the tax credit. Tesla Inc said it "is imperative that clarifying guidance from Treasury acknowledges the important role US allies will play in easing the transition to a robust domestic EV supply chain. "Norway asked Treasury to let batteries made with its minerals qualify even though it does not have a US free trade agreement.Chrysler parent Stellantis said vehicle safety technologies should not be counted toward price caps to qualify for tax credits. "Consumers should not have to choose between fuel efficiency and safety," the company said.General Motors Co wants to be able to allocate qualifying minerals to batteries for income-eligible consumers to "maximize the number of eligible consumers that can benefit."2 months ago ETEnergyworld.com
South Korea's antitrust regulator said it would impose a 2.85 billion won ($2.2 million) fine on Tesla Inc for failing to tell its customers about the shorter driving range of its electric vehicles (EVs) in low temperatures.The Korea Fair Trade Commission (KFTC) said that Tesla had exaggerated the "driving ranges of its cars on a single charge, their fuel cost-effectiveness compared to gasoline vehicles as well as the performance of its Superchargers" on its official local website since August 2019 until recently.The driving range of the U.S. EV manufacturer's cars plunge in cold weather by up to 50.5 per cent versus how they are advertised online, the KFTC said in a statement on Tuesday.Tesla could not be immediately reached for comment.On its website, Tesla provides winter driving tips, such as pre-conditioning vehicles with external power sources, and using its updated Energy app to monitor energy consumption, but does not mention the loss of driving range in sub-zero temperatures.In 2021, Citizens United for Consumer Sovereignty, a South Korean consumer group, said the driving range of most EVs drop by up to 40 per cent in cold temperatures when batteries need to be heated, with Tesla suffering the most, citing data from the country's environment ministry.Last year, the KFTC fined German carmaker Mercedes-Benz and its Korean unit 20.2 billion won for false advertising tied to gas emissions of its diesel passenger vehicles.The challenge for electric vehicle performance in extreme temperatures is widely known, though EVs are popular in markets like Norway, where four out of five vehicles sold last year were battery-powered, led by Tesla.A 2020 study of 4,200 connected EVs of all makes by Canada-based telematics provider Geotab found that most models had a similar drop in range in cold weather, primarily because the battery is also used to heat the car for the driver and passengers.At just above 20 degrees Celsius, the average EV outperformed its stated range, but at minus 15 degrees the average EV had only 54 per cent of its rated range, the study found.1 month ago ETEnergyworld.com