South Korean EV exports rise as Hyundai boosts output
South Korea's electric vehicle (EV) exports surged to an all-time high in June as Hyundai Motor ramped up production of crossover models, portending higher demand for nickel and other battery metals.
EV exports rose by 175pc from a year earlier to more than 13,500 units, data from South Korea's trade, industry and energy ministry (Motie) show. The strong performance sent shipments in January-June up by 82pc from a year earlier, even as South Korea's overall auto exports dropped by 33pc over the same period.
Demand for Hyundai's electric SUVs and its other crossover vehicles is so strong that sales have continued to rally despite the Covid-19 pandemic. Exports of the Niro EV produced by the group's Kia brand jumped nearly fivefold from a year earlier in June, while the redesigned Kia Soul EV posted a 128pc gain, Motie said, without giving unit figures. Exports of the Hyundai Kona EV almost doubled.
Demand for such models was similarly strong last year, especially in Europe and the US, but customer orders piled up on waiting lists as Hyundai struggled to produce enough EVs. Volumes are up sharply this year, with batteries supplied mainly by South Korea's LG Chem. But limited battery capacity has continued to constrain output of some EV models.
The increase in sales of EVs and slump in demand for conventional models means environmentally friendly vehicles are taking a bigger share of the market. South Korea's combined exports of EVs, plug-in hybrids and hydrogen cars totalled about 156,000 units in this year's first half, or nearly 19pc of total shipments, compared with an 8.7pc share in January-June 2019, Motie said. Domestic sales in the segment rose 59pc on the year in June to nearly 22,000 units.
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US adds 142,000 jobs in August, unemployment at 4.2pc
US adds 142,000 jobs in August, unemployment at 4.2pc
Houston, 6 September (Argus) — The US added 142,000 nonfarm jobs in August, fewer than forecast, raising the odds of a half-point rate cut at the Federal Reserve's policy meeting in two weeks. The job gains followed downwardly revised gains of 118,000 for June and 89,000 for July, for combined losses of 86,000 for the two prior months, according to the Labor Department. The gains in August were below the average monthly gain of 202,000 for the prior 12 months. The unemployment rate ticked down to 4.2pc in August from 4.3pc in July, still near five-decade lows of 3.4pc reached in early 2023. The gains were slightly lower than the 160,000 job gains forecast in a survey by Trading Economics, increasing the odds of a 50 basis point cut in the target rate to 45pc probability today from 40pc Thursday, according to the CME FedWatch tool. Odds of a quarter point cut fell to 55pc today from 60pc the day prior. Fed policy makers in late July kept their target rate unchanged at a 23-year high, but Fed chair Jerome Powell told a bankers symposium last month that the "time has come for policy to adjust," his clearest signal that the Fed is ready to begin lowering borrowing costs as inflation has slowed markedly and the labor market was beginning to show signs of weakening. A rate cut after the 18 September Fed meeting would come less than two months before the US presidential election on 5 November. Job gains were reported in construction and health care. Health care added 31,000 jobs in August, about half the monthly gain in the prior year. Construction added 34,000 jobs, more than the average. Manufacturing jobs fell by 24,000 in August. Employment was little changed in other major industries, including mining and oil and gas extraction. Average hourly earnings increased by 3.8pc over the 12 months ending in August, up from 3.6pc through July. By Bob Willis Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
PCC BakkiSilicon calls for trade defence on Chinese Si
PCC BakkiSilicon calls for trade defence on Chinese Si
London, 6 September (Argus) — Iceland's PCC BakkiSilicon has renewed its call for political support to apply increased anti-dumping duties on silicon metal from China, produced at lower prices with higher emissions, after PCC received an International Sustainability and Carbon Certification (ISCC) certifying its CO2 equivalent footprint. PCC BakkiSilicon — the Icelandic subsidiary of Germany's PCC SE — is discussing protective measures on an EU level through industry association Euroalliages, and directly with the German and Icelandic governments, a company representative told Argus . "Protective measures for the silicon industry should consist of an increase of anti-dumping duties from China," the representative said. "As well as stronger measures to comply with supply chain law requirements to prevent imports of material that is being produced under violation of human rights, work safety and environmental standards," they added. Silicon metal imported into the EU from China is already subject to an anti-dumping duty of 16.8pc (or 16.3pc for Datong Jinneng Industrial Silicon) originally imposed on 1 July 2016, and renewed on 11 August 2022 after a request for review from Euroalliages. Anti-dumping measures are usually imposed for five years, but interested parties may ask for an interim review provided that there is sufficient evidence of changed circumstances. Interim reviews usually concern the level of duty in force, but can also extend to injury, scope and form of measures. Whether an interim review can be requested remains open at the time being, the PCC representative said. The renewed political plea comes as PCC is the first silicon producer to receive ISCC Carbon Footprint Certification, confirming a footprint of 3,102.56kg CO2 equivalent (CO2e) per t of silicon metal — as produced in the reference period from 1 July 2022 to 30 June 2023. This is compared with a global industry average of 10,900kg CO2e/t of silicon metal, according to PCC, and the company estimates that Chinese manufacturers are operating far above this number. "The material produced so efficiently in environmental terms by PCC in Iceland is rarely measured by customers in Europe against criteria such as sustainability or climate protection, but still only against price," PCC SE chief executive Peter Wenzel said. By Samuel Wood Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
Japan approves $2.4bn for EV battery projects
Japan approves $2.4bn for EV battery projects
Tokyo, 6 September (Argus) — The Japanese government has approved to fund a maximum of ¥347.9bn ($2.4bn) for electric vehicle (EV) battery investments, in a bid to build out 150 GWh/yr of domestic output capacity by 2030. A total of 12 projects will be subsidised, according to the ministry of trade and industry (Meti) on 6 September. This includes lithium-ion (Li-ion) battery cell production by a consortium of battery producer Panasonic and auto manufacturer Subaru ( see table ). Around ¥326bn will be allocated for Li-ion battery production, including lithium iron phosphate (LFP) batteries. Some ¥17bn for raw material production, such as electrolyte and ¥5bn for manufacturing equipment, will be financed, Meti said. The funding is part of Meti's wider battery strategy that aims to build out 150 GWh/yr of battery production capacity domestically by 2030. The projects being subsidised are expected to lift total capacity to 120 GWh/yr from 85 GWh/yr currently once they begin operations, a Meti official said. To achieve 150 GWh/yr target, the country needs to secure 100,000 t/yr of lithium, 90,000 t/yr of nickel, 150,000 t/yr of graphite, 20,000 t/yr of cobalt and 20,000 t/yr of manganese, according to Meti. The battery strategy is part of pricing policy across industries based on Japan's Green Transformation Initiative, a policy to promote decarbonisation. Japan by 2030 aims to set a battery pack price for EVs at ¥10,000/kWh or less to make EV prices competitive with gasoline cars, and for storage batteries for industrial facilities at ¥60,000/kWh. Domestic battery production will be an essential factor to meet those targets by reducing cost. Meti's battery strategy also aims to reduce foreign dependency for the battery supply chain, in line with the country's economic security law that designated batteries a critical resource in December 2022. By Yusuke Maekawa Japan EV battery projects with subsidy Project owner Product Capacity (GWh/yr) **** Project cost (¥bn) Government funds (¥bn) Expected year to start supplying Panasonic/Subaru lithium-ion battery cell 16.0 463.0 156.4 Aug '28 Panasonic/Mazda lithium-ion battery cell 6.5 83.3 28.3 July '25 Nissan LFP (lithium-iron phosphate) 5.0 153.3 55.7 July '28 Toyota/PPES*/PEVE** Next generation battery/ASSB*** 9/n.a 245.0 85.6 Nov '26 Nippon Shokubai Electrolyte 21.4 37.5 12.5 July '28 Toagosei Binder 142.0 3.8 1.3 Oct '26 artience/Toyocolor a) Conductive agents, b)carbon nano-tube a) for cathode 40, for anode 17, b) 120 8.8 2.9 a) Dec '27 (cathode), Sep '26 (anode), b) Jan '27 Kaga Explosion-proof cover cap 3.1 0.6 0.2 Oct '25 Ricoh/Seibu Giken Battery manufacturing equipment 3.0 4.7 2.3 Sep '27 Kyoto Seisakusho Battery manufacturing equipment 21.0 5.4 1.9 Jul '26 Soft Energy Controls Battery manufacturing equipment 18.0 0.8 0.4 Apr '25 Marui Sangyo Battery manufacturing equipment 8.0 0.8 0.4 Apr '26 * PEVE=Primearth EV Energy **PPES=Prime Planet Energy & Solutions *** All-solid-state-battery **** battery equivalent for raw material and battery manufacturing equipment Source: Meti Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
E-VAC secures $335mn for US permanent magnet plant
E-VAC secures $335mn for US permanent magnet plant
Houston, 5 September (Argus) — Battery technology manufacturer E-VAC Magnetics secured $335mn in funding to help construct its facility in South Carolina, where it plans on producing neodymium-iron-boron (NdFeB) permanent magnets starting in 2025. The non-recourse financing — announced Thursday — was obtained by US-based private equity firm Ara Partners, which owns E-VAC's German-based parent company Vacuumschmelze (VAC). The plant, which is scheduled to come on line in fall 2025, primarily will support several models of General Motors' (GM) line of electric vehicles (EV) over a 10-year period. GM and VAC entered into a binding supply agreement in September 2023, under which the latter agreed to build a manufacturing facility in North America. E-VAC will source rare earths and other raw materials from local sources, it has said. The company has received over $200mn from the US Defense Department and US Energy Department for the project, as the US seeks to reduce its reliance on China for critical components needed for defense and electrification applications. The company also signed a deal to recycle permanent magnets through Cyclic Materials, helping to create a circular supply chain for rare earth elements in North America. By Alex Nicoll Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
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