Earlier this month we reported that ‘green cars are the Kia for Hyundai future‘, with Hyundai-Kia group planning to pour $1.1 billion into research and development of green cars. Now further details have come to light about Korea’s plans to join the list of countries at the forefront of green car production.
Korea will now launch a large-scale government and civilian project that will allow it to join the four leading countries in the development of green cars. Under its plans, Hyundai Motor, three domestic battery makers - Samsung SDI, LG Chem and SK Energy - the Ministry of Knowledge Economy, and the Korea Automotive Technology Institute will join together to sign a memorandum to jointly develop lithium-ion batteries for use in plug-in hybrid cars.
This is notably the first time that an alliance has been formed between domestic conglomerates to develop batteries. Lithium-ion batteries are seen as the future of motor vehicle technology due to their vastly superior capabilities in comparison to nickel-hydride batteries - allowing for faster speeds and a greater range on electric vehicles.
The government will offer huge financial backing to the project with plans to pour in around W8 billion each year for five years, while the companies themselves will invest W1 billion each.
