Korean battery material manufacturer POSCO Future M has signed a joint venture agreement with CNGR from China and its Korean subsidiary FINO to produce LFP cathode materials. The contract is part of a strategic focus on lower-cost battery materials intended primarily for stationary energy storage systems and entry-level electric vehicles.
Production to start in 2027
The new production facility will be built in the Yeongil Bay 4 industrial complex in Pohang. Construction is scheduled to begin in 2026, with production set to start in 2027. The final stage of expansion is expected to have an annual capacity of up to 50,000 tons. The three partners previously founded CNP New Material Technology in 2024 to strengthen their collaboration in battery materials.
Conversion of production lines
In addition to the new joint venture, POSCO intends to convert some of its existing production lines for high-nickel cathode materials in Pohang to LFP. This change is intended to enable an earlier entry into the market. The first products are expected to be delivered in the second half of 2026.
