Posco Future M, the battery materials division of South Korea’s Posco Group, announced that it has signed its largest anode material supply contract to date. The order amounts to 671 billion won (approximately $470 million). From October 2027 to September 2031, Posco Future M will supply an unnamed global automaker with anode materials made from natural graphite. An extension option until 2037 could increase the contract value to 1.7 trillion won.
According to media reports, the company plans to produce the materials at its new plant in the Saemangeum industrial complex in North Jeolla Province. The plant is currently under construction and will process graphite from African countries. Currently, Posco Future M uses intermediate products from China for its production in Sejong, which it plans to replace entirely by 2027.
While battery manufacturers have traditionally served as an intermediary between material producers and car manufacturers, an increasing number of automotive groups are establishing direct supply contracts with suppliers. Against the backdrop of U.S. tariffs, this is intended to secure the supply chain and reduce dependence on Chinese materials. Market research company SNE Research reports that over 80 percent of the anode materials delivered worldwide come from China. Meanwhile, Posco Future M ranks eleventh with a 1.3 percent market share.
