LG Chem, Volkswagen Join Forces on Future Vehicle Materials...Joint Development of Lightweight and Recycled Materials

[Financial News] LG Chem is set to cooperate with Volkswagen Group on developing lightweight vehicles and eco-friendly materials. The two companies will jointly develop next-generation materials using high-value-added synthetic resin (ABS) and engineering plastics (EP), while reviewing ways to apply recycled materials to major automotive brands within Volkswagen Group.
LG Chem said on the 28th that it recently signed an MOU with Volkswagen Group at the LG Twin Towers in Yeouido, Seoul, to develop and expand applications for next-generation and eco-friendly mobility materials.
Under the agreement, the two companies will cooperate on developing automotive lightweighting solutions, improving performance, and creating next-generation plastics and composite materials using LG Chem’s ABS and EP. ABS and EP are high-performance plastics with excellent impact strength, durability, and processability. They are mainly used for appliance exteriors and automotive interior and exterior materials.
LG Chem has total annual ABS production capacity of 2.35 million tonnes at facilities in South Korea and overseas. The companies also plan to review ways to expand the use of LG Chem’s recycled materials and materials that enhance cost competitiveness in the interior and exterior materials of Volkswagen Group’s major automotive brands.
The two companies also agreed to share technology trends related to next-generation mobility materials and developments in global markets, while cooperating in research and development (R&D), including feasibility reviews for applying specific materials.
Executives from both companies attended the signing ceremony, including Stefan Gramse, vice president and head of Volkswagen Group’s Group Exterior Purchasing, and Sangmin Kim, executive vice president and head of LG Chem’s Petrochemical Business Division.
Volkswagen Group executives attended an exhibition booth tour and seminar sessions at the Osan CS (Customer Solution) Campus, where solutions for a circular economy based on post-consumer recycled (PCR) materials, electrification, high functionality, and enhanced cost competitiveness were presented.
Sangmin Kim, executive vice president of LG Chem, said, "This will be a meaningful starting point for global automakers and materials companies to jointly drive innovation in future mobility materials. Based on our technological capabilities and competitiveness in high-value-added and eco-friendly materials, we will create a milestone for sustainable growth."

[email protected] Kim Mi-hee Reporter