LG Chem Ltd., the leading petrochemical company in South Korea, is intensifying its research and development endeavors as it embarks on a transformation from a chemicals manufacturer to a materials producer, with a specific focus on supplying raw materials for electric vehicle (EV) components and battery materials. LG Chem, the parent company of South Korea's premier battery maker LG Energy Solution Ltd, has recently bolstered its advanced materials division by expanding the number of relevant teams from five to eight.

In a strategic move, LG Chem has abolished its IT material development department and established four new teams to further its material development capabilities. The newly formed teams include the materials development team, semiconductor materials development team, e-mobility development team, and adhesives development team. This organizational restructuring aligns with LG Chem's broader vision of transitioning into a company with a heightened focus on the development of materials crucial for EV technology and other emerging sectors.

The recent reorganization follows LG Chem's decision last year to spin off its biomaterial technology task force from its Future Technology Research Institute under the guidance of its chief technology officer. The majority of the newly established R&D teams are primarily tasked with developing cutting-edge technologies related to EV materials, reflecting LG Chem's strategic pivot towards this rapidly expanding market segment.

The materials development team is dedicated to pioneering next-generation materials tailored for displays utilized in EVs and autonomous driving vehicles. As large displays play a pivotal role in self-driving cars, LG Chem's R&D efforts will prioritize the development of materials optimized for these expansive screens. Additionally, the e-mobility development team will focus on the creation of high-value-added film for augmented reality and virtual reality products, further cementing LG Chem's commitment to advancing technology in the automotive sector.

Furthermore, the adhesives development team will concentrate on the research and development of optical, insulating, and heat dissipating materials specifically tailored for electric vehicles. Utilizing adhesives instead of traditional bolts and nuts for assembling auto parts can significantly reduce the weight of EVs, consequently enhancing their driving range. By leveraging innovative adhesive solutions, LG Chem aims to contribute to the ongoing evolution of eco-friendly transportation technologies.

The overarching goal of LG Chem's R&D reorganization is to facilitate its transition from being primarily a chemicals manufacturer to a company focused on producing materials essential for batteries, biotechnology, and other environmentally friendly applications. As part of this transition, LG Chem has been strategically divesting from its base chemical production facilities to reallocate resources towards high-value-added materials.