HS Hyosung Group is entering the silicon anode material business, a key material for next-generation batteries. To that end, HS Hyosung said on the 3rd that on the 31st it invested €120 million (about 200 billion won) to acquire EMM, the battery anode material subsidiary of Umicore, a global materials company headquartered in Belgium, and to establish a joint venture with Umicore. The transaction is expected to be finalized pending regulatory approval.
Umicore is a global corporations with more than 100 years of history and fundamental advanced-materials technologies, with research and development and production capabilities in batteries, catalysts, semiconductors, defense, and aerospace. It also holds technologies related to rare earths, whose importance has recently surged, and was once the place where Curie conducted research on radon and uranium.
Silicon anode material is applied to the anode of batteries and is considered a game changer in the next-generation battery market, with an energy density up to more than 10 times higher than conventional graphite anode material. It enables fast charging that shortens electric-vehicle charging times and is a core technology that directly affects improved charging efficiency, longer driving range, and price competitiveness. In particular, as other material areas beyond anode materials reach technical limits, silicon anode material is cited as the field with the greatest potential for future battery innovation.
HS Hyosung plans to invest 1.5 trillion won over the next five years through this acquisition to secure large-scale production capacity. The first investment destination is known to be Ulsan. The Ulsan plant, which became the cradle of Hyosung Group 60 years ago, has now relocated most businesses overseas, except for aramid and automotive materials. HS Hyosung said, "We expect to create high-value jobs through domestic reshoring," adding, "By investing in core materials for next-generation batteries, one of Korea's key businesses, we also expect to make a significant contribution to securing Korea's global supply chain competitiveness in core growth industries such as semiconductors, shipbuilding, and defense."