Designation of a specialized secondary battery complex scheduled for the first half of next year
Pohang Shows Active Interest Based on Port, Educational Institutions, and Experience

Along with remarks from a Ministry of Trade, Industry and Energy official that the call for proposals for the secondary battery specialized complex will begin soon, Pohang is actively pursuing the attraction of the complex.

Lee Yong-pil, Director General of Materials Convergence Industry Policy at the Ministry of Trade, Industry and Energy, stated at the 'Forum on Strengthening the Competitiveness of the Republic of Korea Secondary Battery Industry' held by Pohang City in the main conference room of the National Assembly on the 22nd, "Demand for batteries will increase significantly not only in electric vehicles but also in UAM, which is called future mobility," adding, "We plan to designate a specialized secondary battery complex, and the open call will begin soon."

Earlier in November, the government announced plans to designate specialized complexes to provide focused support to the advanced strategic industry ecosystem, including leading domestic companies in national advanced strategic industries, materials, parts, and equipment companies, as well as universities and research institutes. The plan also includes securing locations, establishing infrastructure such as electricity and water, expediting licensing, and providing customized package support including technology, manpower, and finance.

The government has selected secondary batteries, known as a future growth engine, as one of the three major industries along with semiconductors and displays, and is designating specialized complexes to begin full-scale efforts to become the strongest nation in secondary batteries.

We will initiate the open call process next week targeting companies, metropolitan and provincial governments, and government ministries, based on the possession of national advanced strategic technologies, the maturity of regional industrial ecosystems, and infrastructureThe National Advanced Strategic Industry Committee plans to designate specialized complexes in the first half of next year, following a comprehensive evaluation of factors such as the feasibility of securing facilities and specialized personnel.

Accordingly, Pohang City is actively pursuing the designation of a 'Secondary Battery Specialized Complex' to strengthen the competitiveness of the secondary battery industry, a new future industry, and to continuously secure a significant lead in the explosively growing global battery market.

Pohang City expressed strong confidence in being designated as a 'secondary battery specialized complex,' highlighting its strengths such as possessing a port capable of facilitating import and export, educational institutions necessary for nurturing talent like POSTECH, experience gained from operating as a next-generation battery recycling regulatory free zone, and ownership of battery-related companies like EcoPro CNG.

The active desire of Pohang citizens to host the event also plays a role.

The forum, held in the main conference room of the National Assembly Members' Office Building, was packed with Pohang citizens.

A Pohang citizen who participated in the forum expressed his determination to attract the specialized complex, stating, “We chartered 16 buses, and 370 people, including neighborhood heads and women’s association members, came all the way to Seoul to support Pohang,” and added, “We braved the snow to return to Pohang, explain the situation to the residents, and join forces together.”

Pohang City hosted this forum, organized by National Assembly members Kim Jeong-jae and Kim Byung-wook representing the Pohang region, as well as Assembly member Han Moo-kyung, the secretary of the Industry, Trade, Resources, SMEs, and Venture Businesses Committee. Through policy consultations with domestic battery experts and an assessment of the secondary battery industry, the event aimed to enhance understanding of secondary batteries and explore ways to strengthen the competitiveness and development of the global secondary battery industry.

On this day, Song Jun-ho, a senior researcher at the Next-Generation Electronics Research Center of the Korea Electronics and Technology Institute (KETI), gave a presentation on the topic of "Development Plans for Secondary Batteries in the Advanced Strategic Industry." He stated, "The secondary battery market will grow 13-fold by 2030," adding, "The government is also making great efforts to ensure that Korea becomes the strongest nation in secondary batteries by 2030.""He said he is doing it."

One of the efforts mentioned by Senior Researcher Song includes the launch of the 'Battery Alliance' to fully pool the capabilities of the public and private sectors.

The 'Battery Alliance' aims to secure a stable supply chain, establish an advanced technology innovation hub, and foster a robust domestic ecosystem.

To secure a stable supply chain, there was a move to expand the global source of battery raw materials, which were previously imported from China.

SK ON secured 230,000 tons of lithium hydroxide from Australia over 10 years, Samsung SDI secured 95,000 tons of lithium hydroxide from Chile over 7 years, and LG Energy Solution secured 71,000 tons of nickel from Australia over 6 years.

The government indirectly supported companies in securing key miners through intergovernmental MOUs.

An example of these efforts is LG Energy Solution signing a lithium and cobalt supply contract with a Canadian company.

In addition, to build an advanced technology innovation hub, 1 trillion won will be invested in R&D by 2030 to secure technology, and to foster a sound domestic ecosystem, active efforts will be made to cultivate key talent through comprehensive institutional improvements and the establishment of a Battery Academy.

Senior Researcher Son emphasized the importance of R&D, stating, “As the trend of emphasizing eco-friendliness continues, pressure for battery reuse and recycling is expected to intensify,” and added, “It is crucial to secure these technologies starting now.”

In the subsequent panel discussion, chaired by Kim Kwang-ju, CEO of SNE Research, Professor Park Kyu-young of POSTECH, Lee Young-ju, Director of the Secondary Battery Comprehensive Management Center, and Lee Yong-pil, Director General of Materials Convergence Industry Policy at the Ministry of Trade, Industry and Energy, participated and opened the forum for discussion.

Prior to the start of the discussion, CEO Kim Kwang-ju stated, “If semiconductors led Korea’s exports, secondary batteries will lead the future.” “It has established itself as a key industry that determines our livelihoods for the next 10 or 15 years,” he said, once again emphasizing the importance of the secondary battery industry.

Professor Park Kyu-young of POSTECH gave a positive outlook, stating, “The international trend demanding advanced battery production technology could work to Korea’s advantage in R&D,” and adding, “While many regulations such as IRA may be difficult for companies in the short term, Korea will eventually become the best in the world.”

Lee Young-ju, head of the Secondary Battery Comprehensive Management Center at Gyeongbuk Technopark, expressed pride regarding the construction of Tesla's Gigafactory, stating, "Pohang, with POSCO, a port, and high-level workforce training institutions, is the best in Korea for attracting a Gigafactory," and added, "Active interest from residents is needed," asking for support.

Meanwhile, Pohang City, together with Gyeongsangbuk-do, completed the construction of the Secondary Battery Comprehensive Management Center in the Blue Valley National Industrial Complex in 2021, and the 'Battery Regulatory Free Zone' was selected as an excellent special zone for three consecutive years, the first in the nation.

With the establishment of national demonstration infrastructure, such as a used battery resource recycling cluster, an inline automated evaluation center, and a project to support the commercialization of high-safety, mass-produced lithium iron phosphate (LFP), as well as the recent attraction of a 1 trillion won investment from China's CNGR and the opening of Apple's manufacturing R&D support center, Pohang is emerging as the optimal location for the designation of a 'secondary battery specialized complex' and investment by battery companies.

Pohang Mayor Lee Kang-deok emphasized, “This forum served as a good opportunity to consolidate citizens’ interest in the secondary battery industry and the region’s innovation capabilities,” adding, “With the conviction that the secondary battery industry will be a new opportunity to propel Gyeongbuk and Pohang forward, we will concentrate all administrative efforts on attracting a secondary battery specialized complex and a gigafactory.”