Daily Archive: November 22, 2022

News, analysis and comment from the Financial Times, the worldʼs leading global business publication

South Korean firm says facility will produce components to power 2 million electric vehicles by 2027.

Company rushes to secure parts critical to electric vehicle production

The investment bank's analysts believe demand for finished batteries could be met without China within the next three to five years, as a result of investments in the U.S. by South Korean conglomerates LG and SK Hynix, according to a Goldman report to clients viewed by the newspaper. The report calculated that to achieve a self-sufficient supply chain, countries competing with China would need to spend $78.2 billion on batteries, $60.4 billion on components and $13.5 billion on mining of lithium, nickel and cobalt, as well as $12.1 billion on refining of those materials, FT said.

The investment bank's analysts believe demand for finished batteries could be met without China within the next three to five years, as a result of investments in the U.S. by South Korean conglomerates LG and SK Hynix, according to a Goldman report to clients viewed by the newspaper. The report calculated that to achieve a self-sufficient supply chain, countries competing with China would need to spend $78.2 billion on batteries, $60.4 billion on components and $13.5 billion on mining of lithium, nickel and cobalt, as well as $12.1 billion on refining of those materials, FT said.

This is not about electric vehicle demand. Every EV produced of any brand will be sold for many years to come. There are fluctuations between brands, but none of the manufacturers will go broke because of lack of demand. Profits Matter Most In my opinion, the only reason any vehicle manufacturer would go bankrupt is […]