SK Nexilis, a copper foil arm of the Korean chemical manufacturer SKC, will receive a subsidy of about $133 million from the Polish government as part of the European Union's efforts to support the industrial transition to a net-zero economy, SKC announced Thursday.
The subsidy, finalized under the Temporary Crisis and Transition Framework program, aims to support companies involved in the low-carbon industry in the EU. SK Nexilis became eligible for the subsidy as it prepares to produce copper foil, a key material for EV batteries, at its plant under construction in Stalowa Wola, eastern Poland. Upon completion, the factory will be the largest copper foil plant in Europe with an annual production capacity of 50,000 metric tons.
SKC will become the first Korean battery materials company to receive TCTF assistance. The subsidy is the largest ever awarded to a company by the Polish government for a single investment project, SKC said.
With a strengthened financial position, SKC plans to deepen its integration with the local community by building a cooperative network involving local industries and research institutes.
"The subsidy will serve as a foundation for us to foster collaboration with local industry, research and education in Poland," said an SKC official. "With our improved financial position, we will be better prepared for market conditions following the current slowdown in EV demand, and will begin factory operations as soon as demand bounds up in the European market."
