LG Chem and Volkswagen Partner on Sustainable Mobility Materials
Expanding cooperation to build a sustainable mobility ecosystem by combining materials expertise with automotive innovation.
LG Chem announced that it had recently signed a memorandum of understanding (MOU) at the LG Twin Towers in Yeouido to “develop and expand the application of next-generation, eco-friendly mobility materials.” The signing ceremony was attended by executives from both companies, including Stefan Gramse, Executive Vice President and Head of the Exterior Materials Procurement Group at the Volkswagen Group, and Kim Sangmin, Senior Vice President and Head of LG Chem’s Petrochemicals Company.
Under this agreement, the two companies will collaborate on developing next-generation plastics and composite materials, as well as on reducing vehicle weight and improving performance, using LG Chem’s ABS (high-value-added synthetic resin) and EP (engineering plastics). ABS and EP are high-performance plastics with excellent impact strength, durability, and processability, and are widely used primarily in the exterior components of home appliances and in automotive interior and exterior parts.
In addition, LG Chem plans to strengthen its competitiveness in sustainable materials for future vehicles by exploring ways to expand the use of its PCR (Post-Consumer Recycled) materials and cost-efficient material solutions in the interior and exterior components of the Volkswagen Group’s major automotive brands.
LG Chem has a total annual ABS production capacity of 2.35 million metric tons both domestically and internationally, and maintains a portfolio of ABS products, including high-gloss, high-heat-resistant, and paintless varieties, that can be immediately applied to customer-specific applications such as side mirrors and radiator grilles.
In 2020, LG Chem became the first in the industry to successfully produce white-colored post-consumer recycled (PCR) ABS and is currently continuing to expand its portfolio of PCR materials for automotive interior and exterior components. In addition, the company is strengthening its partnerships with global automakers through a variety of automotive solutions, such as paintless ASA and high-gloss, high-heat-resistant ABS, that help customers improve manufacturing efficiency, reduce costs, and achieve vehicle lightweighting.
The two companies agreed to actively collaborate on various research and development initiatives, including feasibility studies for the application of specific materials, while also sharing information on technology trends and global market developments related to next-generation mobility materials.
The agreement reflects a shared interest in exploring innovative and sustainable material solutions for future mobility applications. LG Chem aims to expand the market for high-value-added, eco-friendly automotive materials such as ABS and EP.
Kim Sangmin, Senior Vice President and Head of LG Chem’s Petrochemicals Company, said: “We expect this to 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 the field of high-value-added, eco-friendly materials, we will work with our customers to set new milestones for sustainable growth.”
