LG Energy Solution

• The GEMX® platform is based on fundamental inventions of CAMX for which key patents have been granted globally including the US, EU, Korea, Japan and China.
• The GEMX inventions, through molecular engineering, place Cobalt, Aluminum, etc.
• "Cathode material is the key enabler of Lithium-ion batteries, accounting for more than 50% of the cell cost.
• Only a handful of companies across the globe can and do supply this critical material.

• LGES posted consolidated revenue of KRW 8.747 trillion, a 2.5 percent increase quarter-on-quarter and 101.4 percent increase year-on-year.
• Our EV battery shipment has increased due to the stable operation of the GM JV (Ultium Cells) plant in Ohio, and average selling price (ASP) has also improved," explained Chang Sil Lee, CFO of LG Energy Solution.
• "Thanks to our timely and strategic business decisions, we've marked the fifth consecutive quarter of top-line growth since the initial public offering (IPO)."
• "With a vision that batteries will change the world, we pioneered the industry for 30 years and built America's first EV battery plant," said Youngsoo Kwon, CEO of LG Energy Solution.

• As industry journal Automotive News put it:
  The electric vehicle revolution isn’t coming – it’s already here.
• US moves to adopt strict new vehicle emissions standards could drive up electric vehicle sales tenfold.
• There are bound to be flow-on effects in Australia, where the government is about to release a national electric vehicle strategy and new vehicle emission standards.

But what’s left of vehicle manufacturing?

• “All the bones are there,” said a former site operations manager at Holden’s Elizabeth plant in 2021.
• They have plans for a mixed-use future with some industry – but no specific plans for a return to making cars.
• The fragmented market issue could be overcome if the industry had an export focus, particularly for valuable vehicle parts.
• As for labour costs, plenty of electric vehicles – or their parts – are being made in other high-wage markets.

So what’s happening in the US?

• Many electric vehicles are made in factories that once made conventional vehicles, reviving parts of America’s “Rustbelt” in the process.
• While Elon Musk proclaims Tesla’s flagship plant in Fremont, California, to be the “factory of the future”, it is actually a former General Motors plant.
• In 2010, when Tesla took over the facility, it rehired many former workers.
• Since Tesla began production in June 2012, the same buildings have been used for a highly productive assembly line.
• “Everything is run down the same line, AV, EV, Sonic,” explained team leader Quentin Perea.
• There was a famous strike against increased line speeds in 1972, and the factory faced closure on several occasions.

Australia must act decisively

• Another recent Carmichael Centre report concluded Australia needs a “concerted, systematic industrial policy for EV manufacturing” to take advantage of the “enormous” and “exciting” opportunities.
• Australia has crucial advantages, especially as vehicle makers place high value on the availability of a workforce with industry experience.

• The two companies previously announced a long-term supply agreement for cylindrical cells manufactured at a LG Energy Solution U.S. facility
  The Manufacturing Complex is expected to include dedicated battery cell capacity for Proterra-manufactured, USMCA-compliant commercial EV battery systems
  BURLINGAME, Calif., March 24, 2023 (GLOBE NEWSWIRE) -- Proterra Inc (NASDAQ: PTRA), a leading innovator in commercial vehicle electrification technology, today congratulated LG Energy Solution on its announcement that it will construct a battery manufacturing complex in Queen Creek, Arizona.
• Proterra and LG Energy Solution previously announced a long-term supply agreement to provide Proterra with cylindrical cells produced at an LG Energy Solution battery cell manufacturing plant in the United States.
• Today’s announcement by LG Energy Solution regarding the future Queen Creek, Arizona complex represents a major step forward to secure Proterra access to multiple gigawatt hours of dedicated U.S.-manufactured battery cell capacity on an annual basis.
• “As an American technology leader, Proterra is proud to be part of LG Energy Solution’s decision to bring battery cell manufacturing to the United States,” said Gareth Joyce, Proterra CEO.