POSCO Future M South Korea’s sole domestic anode producer, is moving forward with plans to construct a synthetic graphite anode production facility in Vietnam.
This marks the company’s first overseas anode material production site since it entered the business in 2011.
Anode material is a critical component of batteries, but more than 90% of the global market share is currently dominated by Chinese enterprises. Against this backdrop, POSCO Future M aims to leverage the Vietnam plant to integrate more deeply into the global battery supply chain.
Following a recent board meeting, POSCO Future M announced an investment of approximately KRW357 billion ($250 million) to build the new factory in Vietnam's northern Thai Nguyen province.
Construction is slated to begin in the second half of this year, with mass production scheduled to start in 2028. In the long term, the facility’s annual capacity could be expanded to 55,000 tons.
Compared to South Korea, Vietnam is recognized for its production cost advantages, including lower investment, electricity, labor, and logistics costs. The country also offers favorable trade conditions with major global markets. The company noted that Vietnam’s costs are highly competitive even when compared to other Southeast Asian nations, such as Indonesia.
Currently, the company operates a synthetic graphite anode plant in Pohang (Gyeongbuk Province, South Korea) with an annual capacity of approximately 8,000 tons. By leveraging the expertise and technology accumulated through its domestic operations, the company expects to achieve large-scale production in Vietnam at more competitive costs, thereby supplying products to its global customer base.
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