South Korea’s Ministry of Trade, Industry and Energy has announced a $15 billion national battery strategy targeting technological leadership in next-generation chemistries. The plan allocates funding across solid-state development ($5.2 billion), lithium-sulphur research ($3.1 billion), advanced manufacturing automation ($4.2 billion), and recycling infrastructure ($2.5 billion) over a seven-year period.
Competitive Response
The strategy is explicitly positioned as a competitive response to China’s dominance in LFP and sodium-ion chemistries, and the US IRA’s reshoring incentives. South Korea’s battery champions—Samsung SDI, LG Energy Solution, and SK On—collectively hold 23% of the global EV battery market but face margin pressure from Chinese competitors.
The government will also establish a Battery Technology Special Economic Zone in Chungcheong Province with expedited permitting, tax incentives, and dedicated workforce training programmes.
