Under pressure from clients eager to diversify away from China, South Korean makers of automotive batteries have pledged to develop a more affordable type of battery chemistry favored by their Chinese rivals.
But LG Energy Solution (LGES), SK On and Samsung SDI say it will be hard to go full steam ahead with lithium iron phosphate (LFP) batteries as they can't yet compete on price, executives and company officials familiar with their business strategies have said.
Feeding their worries is slowing growth in electric vehicle sales and the potential for changes in United States subsidies should U.S. President Joe Biden lose the 2024 election, they said.