LS Eco Energy's Vietnam production facility (LS)
LS Eco Energy's Vietnam production facility (LS)

LS Group is expanding its rare earth and battery materials businesses as it seeks to strengthen South Korea’s position in advanced industrial materials and supply chains.

With China controlling about 90 percent of global rare earth supply, diversification has become a strategic priority. LS is working to build an integrated value chain covering rare earth oxides, metals and permanent magnets to enhance supply chain resilience.

LS Cable & System is pursuing plans to establish a rare earth permanent magnet plant in the United States, potentially near its submarine cable facility, which is under construction in Chesapeake, Virginia. The magnets would be supplied to automakers and auto parts manufacturers.

LS Eco Energy is also entering the rare earth metals business. In December, the company announced a 28.5 billion won ($19.4 million) investment to build refining facilities at its subsidiary in Ho Chi Minh City, Vietnam, where rare earth oxides will be processed into metals. The company is in talks with global mining firms on mineral supply agreements and possible joint ventures.

The initiative aims to create a rare earth magnet value chain linking mineral and oxide sourcing from global miners, metal production in Vietnam and magnet manufacturing in the US.

LS is also expanding its battery materials business, focusing on precursor production for cathode materials.

Last September, the group completed a precursor plant at the Saemangeum National Industrial Complex in Gunsan, North Jeolla Province, through its joint venture LS-L&F Battery Solution. The facility represents an investment of about 1 trillion won and aims to produce 20,000 tons this year, with capacity set to expand to 120,000 tons by 2029.

Meanwhile, LS MnM is investing 1.8 trillion won to expand nickel sulfate production. Once its plants in Ulsan and Saemangeum are fully operational, annual output is expected to reach 62,000 tons.

“LS is strengthening both domestic capabilities and global production bases amid accelerating supply chain realignment,” a company official said. “We aim to play a key role in rare earth and battery materials while advancing Korea’s ambition to become a leading materials powerhouse.”


jwjeon7625@heraldcorp.com