Four-year project to improve price, safety, and domestic production of materials for lithium iron phosphate batteries.

As part of efforts to improve electric vehicle battery safety, performance, and overall cost reduction, Hyundai Motor Company and Kia Corp. announced a four-year project to pioneer an eco-friendly lithium iron phosphate (LFP) battery cathode manufacturing technology together with Hyundai Steel and EcoPro BM, a battery materials research and development company.

The project also seeks to synthesize materials directly, reducing emissions during manufacturing and lowering production costs while improving cathode material performance, enabling fast charging technology and high-level charging and discharging performance at low temperatures.

"To meet future demand in the EV market, rapid technological development and effective battery supply chain establishment are essential," said Soonjoon Jung, vice president and head of the electrification and driving materials development group at Hyundai Motor and Kia. "Through this project, we aim to reduce import reliance and enhance the technological competitiveness of the country and Hyundai Motor Group by internalizing necessary technologies."

Kia

Kia has not announced an on-sale date for the U.S. yet, but Car and Driver expects to see the EV3 in 2026.

Direct synthesis

Conventionally, LFP battery cathode materials are produced by adding lithium to precursor materials like phosphate and iron sulfate. In contrast, the more advanced process of direct synthesis simultaneously adds phosphate, iron (Fe) powder, and lithium without creating a separate precursor. Eliminating this step reduces hazardous emissions during manufacturing and lowers production costs.

To increase efficiency, ensuring impurity-free and uniformly sized raw materials is crucial. Collaboration partner Hyundai Steel will help develop a high-purity fine powder process using domestically recycled iron. EcoPro BM will then use this technology to develop directly synthesized LFP battery cathode material.

This collaboration connects the steel, battery and automotive sectors and is designed to secure a stable supply chain for Hyundai and Kia as the industry shifts to electric. By integrating technology in the LFP battery material field, the South Korean automakers aim to spearhead advancements in the EV market.

The Korean Ministry of Trade, Industry and Energy will support this four-year project as part of the LFP Battery Technology Development initiative. Safety and transparency concerns regarding EV battery fires have kept the future of such vehicles in the public eye.

By further advancing new LFP battery tech, Hyundai and Kia aim to spearhead competitive innovation in the Korean EV battery market.

With China leading the low-cost EV movement with vehicles like BYD's Seagull, South Korea is catching up with LG Energy Solution, Samsung SDI, and SK On among the top five in global EV sales. Hyundai and Kia launched some of their most affordable EVs this year, including the Kia EV3 and Hyundai Casper Electric (Inster EV overseas).