Hyundai launches dedicated unit to develop own EV batteries

Currently, Hyundai and its sister company Kia, source EV batteries from external supplies like LG Energy Solution and SK On.

In what could be one of the biggest news in the global EV scene in recent times, Hyundai has launched a new dedicated unit to develop and manufacture its own electric vehicle batteries. The carmaker has created a B Task Force (TFT) under its manufacturing division on April 7. The reason for this decision has been attributed to growing concerns of falling behind Chinese EV maker BYD, which recently unveiled a new battery that could deliver 400 km of range with just a five-minute charge.

The new task force comprises many of Hyundai Motor Group’s top battery experts. It is led by Executive Vice President Jung Jun-cheul, head of manufacturing. Key figures include Senior Vice President Kim Chang-hwan, who oversees EV energy solutions, Choi Jae-hoon, head of battery development, as well as Lee Woo-sung (electrification energy solutions), Seo Jung-hoon (battery design), and Kim Dong-geon (battery cell development).

Currently, Hyundai and its sister company Kia, source EV batteries from external suppliers like LG Energy Solution and SK On. While they do have an internal battery development division, its function is limited to working with partners to adapt external products for use in finished vehicles. Some Hyundai models like the Kona Electric, Casper Electric, and Kia’s EV3, already feature batteries co-developed by Hyundai Motor Group and LG Energy Solution. Both companies launched a joint battery cell venture, HLI Green Power, in Indonesia last July.

In-house battery development lets automakers cut procurement costs and lower EV prices as well. BYD which started as a battery maker is now a full-scale EV maker and has taken the world EV market by storm. BYD recently overtook Tesla as the world’s top EV seller, while Tesla sales have been dropping faster by the day. The new “Super e-Platform” capable of delivering 400 kilometres of range with just five minutes of charging has made BYD a force to be reckoned with.

With its new battery development unit, Hyundai will be looking to replicate the success of BYD and take the fight to the Chinese EV maker.

Source: The Chosun Daily