Low Profits
LG Chem will sell off some of its production facilities of its second plant in Ochang, Chungcheongnam-do, or South Chungcheong Province.
According to petrochemical industry sources on July 14, the company has decided to dispose of its secondary battery separator production facilities in the second plant in Ochang, and is proceeding with those negotiations.
A secondary battery separator is a permeable membrane placed between an anode and cathode of batteries being used in electric vehicles, cellphones, and laptop computers. The main function of the separator is to keep the two electrodes apart to prevent electrical short circuits.
The decision was made since profitability is falling short of expectations.
An official from LG Chem said, “Due to low profitability in the separator sector, we are promoting the disposal. It has low sales so it won’t affect the whole business much.”