The battery packs will be installed in some of KG Mobility's electric vehicle (EV) models poised to be in mass production in the second half of 2024 before being expanded to more future models, according to KG Mobility, previously known as Ssangyong Motor. Production capacity, timelines and investment in the planned South Korean battery pack plant were undisclosed.
KG Mobility's total sales in October fell by 51.3pc from a year earlier to 6,421 units because of weaker domestic sales and consumer sentiment.
South Korea is planning to push export expansion projects in sectors such as EVs, secondary batteries and hydrogen on the back of a prolonged export downturn, the country's trade and industry ministry said in October.
The nation's manufacturing activity continued contracting in October, extending its streak to 16 consecutive months. South Korea's latest purchasing manager index (PMI), compiled by S&P Global, dipped slightly to 49.8 in October from 49.9 in September. A PMI reading above 50 points to an expansion in activity, while a reading below that level suggests a contraction.
South Korean Nonghyup Bank this month agreed to provide 1 trillion won ($757mn) of financial support through corporate loans and payment guarantees over the next three years to South Korean battery manufacturer SK On, which the producer said will strengthen its competitiveness.
