LG Chem, one of Tesla’s chief battery suppliers, has announced they have amassed enough orders to keep themselves busy for the next five years.
The South Korean battery company controls 24.2% of the global supply, up from 10.8% a year ago, and now plans to boost capacity to meet the surge in demand.
“We have survived the pandemic relatively unscathed as demand for our products has continued to increase despite lockdowns. We need to expand our capacity to fulfil the backlog of orders,” said the LG Chem CEO Shin Hak-cheol.
The CEO believes this is just the beginning, and expects global EV market share to grow to as much as 15% by 2024. Last year it was just 2.8%.
The company’s recent growth is thanks in part to a deal signed with Tesla in January. Also part of the deal was CATL, a Chinese battery supplier. Both companies are currently supplying batteries to Tesla’s Giga Shanghai factory.
h/t [Financial Times]