South Korea’s leading battery manufacturers – LG Energy Solution, Samsung SDI and SK On – are making significant strides in prismatic battery production, driven by increasing demand from global electric vehicle (EV) manufacturers seeking enhanced safety features.
This strategic shift comes in response to growing safety concerns around EV fires worldwide. Prismatic batteries, known for their superior safety profile compared to pouch-type alternatives, are rapidly gaining market share in the EV sector.
LG Energy Solution, Korea’s largest battery company by market capitalization, has formed an internal task force dedicated to the mass production of prismatic batteries. This marks a shift from its previous focus on pouch and cylindrical types.
Market data supports this move. In Europe, prismatic batteries will see a substantial increase in market share, rising from 19% in 2019 to 49% in 2023. Conversely, pouch batteries will decline from 46% to 35%, while cylindrical batteries will decline from 35% to 16% over the same period.
Michael Son, executive vice president of Samsung SDI, expressed optimism about the growth potential of prismatic batteries, citing increasing collaboration requests from EV manufacturers. This is in line with Volkswagen’s ambitious plan to equip 80% of its EVs with prismatic batteries by 2030.
SK On is also intensifying its research and development efforts in prismatic technology. The company has already completed technology development for prismatic batteries, with the goal of building a diversified portfolio to serve all EV segments.
Source: The Korea Times
