South Korea’s top three battery makers announced plans to invest a combined 2.6 trillion won ($2.31 billion) over the next three years to cement leadership in the rechargeable battery industry and received assurance from the government for full support on the external and domestic front.

The Ministry of Trade, Industry and Energy met with the chief executives of LG Chem Ltd., Samsung SDI Co. and SK Innovation Co. along with leaders of secondary cell and other parts manufacturers at a battery industry conference on Friday.

“Rechargeable battery is a high-growth sector with massive impact on other related industries,” Trade Minister Paik Un-gyu said. “We need to develop innovative technologies in mid- and large-sized secondary cells to become a leading player in the global market.”

The three major battery makers said they would spend two trillion won to expand production facilities in response to the burgeoning electric car and energy storage system markets.

They pledged another 610 billion won in research and development to build more advanced batteries for electric vehicles.

The large-scale investment is likely to generate many quality jobs, in line with President Moon Jae-in’s campaign that has put job creation at the top of its economic agenda along with clean fuel energy policy.

The government said it would help local battery manufacturers cope with the recent spike in raw material prices and suspension of Chinese subsidies.

Korean battery makers received a blow in recent months when the Chinese government announced it would not subsidize electric cars powered with Korean batteries.

By Ko Jae-man and Moon Ji-woong

[ⓒ Pulse by Maeil Business Newspaper & mk.co.kr, All rights reserved]