Factory to produce enough batteries for 50,000 EVs per year
Samsung SDI has announced the completion of construction at its EV battery plant in Goed, 30km north of Budapest, Hungary.
The opening ceremony was attended by about 150 officials, including Hungarian Prime Minister Viktor Orban, Samsung SDI President Jun Young-hyun, Hungarian Minister of Foreign Affairs and Trade Peter Szijjarto and Korean Ambassador to Hungary Yim Geun-hyeong.
The 330,000 sq metre site in Goed, formerly a Samsung plasma display panel (PDP) plant, is capable of producing enough batteries for around 50,000 electric vehicles per year. Requiring investment of more than US$350 million, full operations are expected to begin in Q2 2018.
The company says this will save on logistics, and improve its ability to provide customer service in Europe. Through construction in Hungary, Samsung SDI now has a network of EV battery production sites in Ulsan, South Korea and Xian, China.
Currently, Samsung’s South Korean plant produces batteries for BMW’s i3 EV, and the company will also supply Lucid Motors models once production begins next year.
“In the early 1990s, we met capitalism and encountered various kinds of companies and brands. We have learned that ‘Made in South Korea’ is a warranty check that guarantees quality of a product. Korea was good example to us indeed. We learned that this is the most important key for a diligent small country to build a strong economy and hold a firm position in the world market. Samsung learned from others but it has always walked its own path. Goed wanted Samsung SDI and Samsung SDI wanted to come back to Goed. That’s the reason for Hungarian government to support this project. I would like to thank Samsung SDI executives for choosing Hungary and Goed.” Hungarian Prime Minister Viktor Orban said at the ceremony.
“State-of-the-art technology of Samsung SDI will be applied to batteries to be made in this plant in Hungary. Batteries are one of the most important parts supplied to global car makers. I expect the plant to contribute much to the growth of the European electric vehicle market.” Added Samsung SDI President Jun Young-hyun.
The expansion of Asian manufacturers in Europe is unlikely to stop here. LG Chem is building a similar battery plant in Poland, and plans to begin production in during the second half of 2017.