EcoPro is pushing ahead with an ambitious expansion of its battery materials production in Indonesia, even as potential changes to U.S. trade policies cast uncertainty over the electric-vehicle supply chain.
The South Korean battery materials maker plans to boost its cathode-material capacity to 710,000 tons and precursor output to 255,000 tons by 2030, CEO Song Ho-jun said at an investor event in Seoul. The company projects sales will reach 32 trillion won ($24.5 billion) with a 12% operating margin.
Central to these plans is a joint venture with Chinese materials giant GEM Co., set to begin construction in early 2024. The partnership includes taking a stake in GEM’s Indonesian nickel smelter Green Eco, aiming to strengthen compliance with U.S. trade regulations while reducing production costs.
The expansion comes as former President Donald Trump, who has pledged to roll back EV subsidies under the Inflation Reduction Act, leads in polls for the 2024 election. Song acknowledged the political uncertainty but emphasized the importance of the broader Asian market, which represents 75% of global demand.
To round out its supply chain, EcoPro is also consolidating its lithium operations through a merger of its Innovation and CNG units, combining extraction and refining capabilities.
