LG Energy Solution has partnered with Chinese mining company Huayou Cobalt Co. to launch a battery-recycling joint venture for electric vehicles.
According to South Korean news outlets, the companies will build two factories in China to extract nickel, cobalt and lithium from scrap and used batteries to make lithium-ion batteries.
The pre-treatment plant will be built in Nanjing, where LG’s battery production facility is located. The second plant will be established in Quzhou, western Zhejiang, where Huayou’s operations are located. Construction of the two plants is expected to be completed by the end of the year.
“The joint venture will help us establish a system that manages the entire battery lifecycle, which is essential for a sustainable and stable battery supply chain,” said Young-soo Kwon, vice chairman and chief executive of LG Energy.
The joint venture is the first cooperation of its kind between South Korean and Chinese companies.
