Last week, Chilean lithium miner SQM announced that it had reached a long-term agreement with Hyundai Motor and Kia to supply lithium hydroxide to South Korean automakers.
The agreement with SQM marks the third lithium hydroxide supply contract signed by Hyundai this year, after those announced in January with the Chinese companies Ganfeng Lithium and Chengxin Lithium Group, reports the Yonhap news agency.
Lithium hydroxide is used in high-priced ternary batteries, such as NCM (nickel-cobalt-manganese) batteries, which have a high energy density. NCM batteries are relatively expensive, but allow greater range per charge for electric vehicles compared to the more widely used LFP (lithium iron phosphate) batteries.
Automotive industry observers see Hyundai Motor Group's recent lithium hydroxide supply deals as a sign that the group is focusing on adopting high-capacity NCM batteries to increase the range of its future electric vehicle models.
Electric vehicle range anxiety is often cited as a key obstacle to the mass adoption of electric cars, and many drivers remain unconvinced that electric vehicles offer sufficient mileage per charge.
The Casper Electric, Hyundai's still-released subcompact electric sport utility vehicle (SUV), has a maximum range of 315 kilometers on a single charge thanks to its NCM battery, while Kia's comparable Ray EV has a range of 205 km . thanks to its LFP battery.
The Casper Electric, which will carry the Inster name in Europe, will debut this week at the Busan International Mobility Show.
The EV3, Kia's new exclusive EV SUV that will be sold from July, will also be equipped with an NCM battery instead of an LFP battery. The long-range version of the EV3, equipped with a high-capacity 81.4 kWh NCM battery, has a driving range of up to 501 km on a single charge.
Given their higher price, Hyundai Motor Group is trying to reduce the cost burden of NCM batteries on its EV customers by insourcing production.
This year, the South Korean auto giant started production at its battery plant in Indonesia, jointly established with LG Energy Solution. Kia will use the NCM batteries produced at the Indonesian plant in the upcoming EV3 units.
Song Ho-sung, CEO and president of Kia, last month highlighted the importance of ensuring the long driving range of electric vehicles, suggesting Kia will expand its adoption of NCM batteries.
The agreement with SQM marks the third lithium hydroxide supply contract signed by Hyundai this year, after those announced in January with the Chinese companies Ganfeng Lithium and Chengxin Lithium Group, reports the Yonhap news agency.
Lithium hydroxide is used in high-priced ternary batteries, such as NCM (nickel-cobalt-manganese) batteries, which have a high energy density. NCM batteries are relatively expensive, but allow greater range per charge for electric vehicles compared to the more widely used LFP (lithium iron phosphate) batteries.
Automotive industry observers see Hyundai Motor Group's recent lithium hydroxide supply deals as a sign that the group is focusing on adopting high-capacity NCM batteries to increase the range of its future electric vehicle models.
Electric vehicle range anxiety is often cited as a key obstacle to the mass adoption of electric cars, and many drivers remain unconvinced that electric vehicles offer sufficient mileage per charge.
The Casper Electric, Hyundai's still-released subcompact electric sport utility vehicle (SUV), has a maximum range of 315 kilometers on a single charge thanks to its NCM battery, while Kia's comparable Ray EV has a range of 205 km . thanks to its LFP battery.
The Casper Electric, which will carry the Inster name in Europe, will debut this week at the Busan International Mobility Show.
The EV3, Kia's new exclusive EV SUV that will be sold from July, will also be equipped with an NCM battery instead of an LFP battery. The long-range version of the EV3, equipped with a high-capacity 81.4 kWh NCM battery, has a driving range of up to 501 km on a single charge.
Given their higher price, Hyundai Motor Group is trying to reduce the cost burden of NCM batteries on its EV customers by insourcing production.
This year, the South Korean auto giant started production at its battery plant in Indonesia, jointly established with LG Energy Solution. Kia will use the NCM batteries produced at the Indonesian plant in the upcoming EV3 units.
Song Ho-sung, CEO and president of Kia, last month highlighted the importance of ensuring the long driving range of electric vehicles, suggesting Kia will expand its adoption of NCM batteries.
