• Wed. Sep 28th, 2022

New joint venture to invest $240 million in electric vehicle battery parts factory

ByRandall B. Phelps

Aug 26, 2022

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A newly formed joint venture plans to establish an electric vehicle battery materials manufacturing facility in central Kentucky, state and company officials said.

Lotte Chemical and Lotte Aluminum – two subsidiaries of South Korean conglomerate Lotte Group – have formed Lotte Aluminum Materials USA LLC, which will invest nearly $240 million in the project in Elizabethtown, Kentucky. The facility will produce cathode foil, a thin aluminum material that provides a pathway for electrons and supports the active material of a battery’s cathode. The cathode foil is one of the four main components of an electric vehicle battery, officials said, and determines the capacity and voltage of the secondary battery.

Company executives predict that demand for cathode ray foil will grow at an average annual rate of 32% through 2030.

Lotte Chemical President and CEO Kim Gyo Hyun said that to serve customers, this facility will develop technology capable of producing high-quality and efficient cathode sheets.

The new plant is expected to enter service in 2025 and create 122 new jobs.

The site, located in the city’s TJ Patterson Industrial Park, received $500,000 in public funding for infrastructure improvements two years ago. Since June 2020, electric vehicle-related companies have announced projects in Kentucky valued at more than $8.5 billion and expected to create more than 8,000 jobs.

Image Credit: DestroLove / Shutterstock.com

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