South Korea's three largest battery makers may have invested the most in R&D activities last year, despite slowing demand for electric vehicles, according to industry sources.
LG Energy Solution (LGES), Samsung SDI and SK On are estimated to invest more than 2.5 trillion won (about $1.7 billion) in R&D in 2024, up from 2.47 trillion won in 2023, sources said.
LG Energy Solution's investment in next-generation battery development last year is estimated to be more than 1.1 trillion won, up 6% from 1.04 trillion won the previous year.
Samsung SDI's R&D investment is estimated at 1.14 trillion won, also exceeding 2023. SK On's R&D investment is on par with 300.6 billion won in 2023.
Industry insiders pointed out that these preemptive R&D investments may be intended to quickly respond to the recovery in battery demand after the electric vehicle "gap", which occurs before the widespread adoption of electric vehicles.
