Seoul: LG Chem Ltd., South Korea’s leading chemical firm, announced plans to bolster its presence in the global automotive adhesives market as part of its business diversification strategy. The company aims to supply thermally conductive adhesives to an undisclosed U.S. electric vehicle battery manufacturer within the year, marking its first adhesives supply agreement with a North American EV battery firm. These adhesives play a vital role in bonding battery cells to modules or packs, ensuring effective thermal management and maintaining performance due to their high thermal conductivity and electrical insulation properties.
According to Yonhap News Agency, LG Chem’s Chief Executive Shin Hak-cheol emphasized the company’s commitment to leveraging its expertise in electronics materials for the display and semiconductor industries to foster the mobility materials business as a key future growth driver. This strategic move is aligned with LG Chem’s acquisition of the U.S.-based automotive adhesive firm Uniseal
in 2018, which marked its entry into this expanding market.
The automotive adhesives sector is projected to grow significantly, from 9 trillion won (approximately US$6.7 billion) this year to 16 trillion won by 2030. This growth is driven by the increasing demand for electronic components due to electrification and autonomous driving technologies, as well as the need for lighter and more environmentally friendly materials.