EcoPro BM has solidified its alliance with Samsung SDI by signing a substantial 44 trillion won ($34 billion) contract to supply lithium nickel-cobalt-aluminum oxide (NCA) cathodes for electric vehicle (EV) batteries. The deal spans five years, from the start of 2024 to the end of 2028, reinforcing the companies’ commitment to the enduring potential of the EV market. Despite global concerns about the current slowdown in EV sales, this strategic move positions EcoPro BM and Samsung SDI for the anticipated recovery in battery-powered car demand.
The cathodes’ first batch, produced at EcoPro BM’s Pohang plant in Korea, will kick off the collaboration next year. Subsequently, starting in 2025, the company will leverage its new plant in Hungary to supply cathodes to Samsung SDI’s EV plant in Europe. The joint venture between EcoPro BM and Samsung SDI, EcoPro EM Co., established in 2020, further strengthens their partnership, with EcoPro BM having supplied around 200,000 tons of cathodes since 2011. This bold move contrasts with the industry’s current EV trend, underlining the companies’ foresight in preparing for sustained EV market growth.
