To remain relevant in the evolving market landscape, South Korean conglomerate LG Corporation is directing its efforts toward introducing clean energy technology in manufacturing units to leverage its sustainability in the future.
The company has issued a statement claiming that it plans to invest a sum of USD 1.55 billion in the fields of batteries and plastic recycling, biomaterials, and other carbon-neutral technologies to contribute to its share in protecting the environment.
The news has come in the light of the fourth anniversary of Chairman Koo Kwang-mo since he assumed office in 2018, following the death of his father and former CEO Chairman Koo Bon-moo.
Notably, the plan has been in the works since May, wherein the CEO has reviewed corporate strategies across all the affiliates. The company has claimed that the shift would primarily stem from its petrochemicals business, by converting it into an eco-friendly and socially responsible unit, thereby creating lucrative opportunities for business expansion in the upcoming years.
LG Corporation has narrowed down on the European industry to implement its plan as the region boasts of better environmental laws to cut down emissions through the entirety of the production cycle.
Chairman Koo has stated that it is crucial to gain a competitive edge for maintaining its consumer base with innovative products alongside clear investment strategies to outshine rivals.
Moving on to battery recycling, the latest reports claim that in December last year, two of the company’s subsidies, namely LG Chem Ltd. and LG Energy Solutions had cracked a deal worth USD 46 million with the acquisition of 2.6% in a US battery recycling specialist, Li-Cycle, thereby cementing the supply of recycled nickel for batteries for the next ten years.
Elaborating on the same, the company was quoted saying that it will continue to hunt for more partnerships with foreign moguls to diversify its product portfolio in the evolving clean tech industry.
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