[Complete Battery Mastery](28) "Where K-Batteries Are Born"... A Report on the Ochang Secondary Battery Special Zone

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On March 13, we visited the Battery Manufacturing Verification Support Center located in Ochang, Cheongju, Chungbuk. Right next to the Center's main building, which held its opening ceremony on February 5, construction was in full swing for auxiliary buildings such as the secondary battery performance evaluation wing and the MV (Micro Vehicle) safety evaluation wing.

Once the explosion-proof testing facility and the advanced secondary battery analysis wing are completed by the end of this year, the Ochang Battery Manufacturing Verification Support Center in Chungbuk will be transformed into the nation's largest support facility for secondary batteries, supporting full-cycle research and development (R&D) for materials, cells, modules, and packs.

On the 13th, construction of an auxiliary building for secondary battery material and component testing and evaluation is underway on the site of the Battery Manufacturing Verification Support Center in Ochang, Chungbuk. Photo by Kang Hee-jong

50Ah-class Pouch Cell Manufacturing Line Completed… "World's First Among Public Institutions"

On the first floor of the main building, which opened first, is the test and evaluation center for secondary battery materials and components, capable of directly manufacturing mid-to-large pouch cells with a capacity of 50 ampere-hours (Ah). The 50Ah capacity is suitable for installation in automobiles or energy storage systems (ESS).

This facility is fully equipped to manufacture all types of pouch-type batteries, with equipment ranging from the electrode process, which enables direct production of anode and cathode, to the assembly process, where electrodes are placed into pouches and electrolyte is injected, and further to the formation process, in which gas is removed from the assembled pouch and charging and discharging cycles are repeated.

After passing through the air washer and entering the dry room (a space where humidity is maintained below a certain level), I observed the latest binder, mixing, coating, drying, and slitting equipment being test-operated on the electrode production line, which separates anode and cathode. In the assembly process, new equipment such as notching and stacking machines was being prepared for operation. For the formation process, there were facilities for charging and discharging the battery and degassing equipment to remove gases. About 8 billion won was spent only on the equipment purchase.

Binder manufacturing and mixing equipment installed inside the Ochang Battery Manufacturing Verification Support Center. Photo by Kang Hee-jong

This is the first time such a mid-to-large battery cell manufacturing line has been established in the public sector in Korea, and it is rare even on a global scale. To build this manufacturing line, consultancy was received from LG Energy Solution, as battery cell manufacturing processes are deeply embedded with corporate know-how.

The mid-to-large pouch cell manufacturing facility is expected to be especially useful for startups and small- to medium-sized venture companies that have developed secondary battery materials but found it difficult to conduct performance evaluations. Large materials and battery cell companies that have not yet set up their own pilot lines will also be able to make use of it.

Park Haecheol, principal researcher at Chungbuk Technopark and our guide at the Center, explained, "We have a manufacturing capacity of 200 to 250 pouch cells per day," and added, "Full-scale operation is scheduled to begin by April." He noted that battery cell and materials companies are already making many inquiries about using the facility.

Stacking equipment installed inside the Ochang Battery Manufacturing Verification Support Center. Photo by Kang Hee-jong

Once completed, the secondary battery performance evaluation wing will be equipped with infrastructure for analyzing and evaluating materials and components for mid-to-large secondary batteries across the full product cycle. The MV safety evaluation wing will allow for environmental and safety assessments of small batteries ranging from 0.5 to 10 kilowatt-hours (kWh). The explosion-proof testing facility is designed to recreate and analyze battery fire incidents such as fires or thermal runaway.

The Battery Manufacturing Verification Support Center plans to name these auxiliary facilities 'Battery Safety Zone' (BST). In the specialized cluster for the secondary battery industry in Ochang, Chungbuk, there are nine infrastructure facilities, including the Battery Manufacturing Verification Support Center, to support secondary battery companies.

Such large-scale battery support facilities are being established in Ochang, Chungbuk, because many secondary battery companies are concentrated in this area. Since LG Chem (now LG Energy Solution) built a secondary battery factory in Ochang in 2002, about 40 battery-related companies have now settled there. Across all of Chungbuk province, around 130 battery-related companies have established a presence.

"The Latest Technologies Come First"…LG Ochang Energy Plant Serves as the 'Mother Factory'

Above all, LG Energy Solution's significant influence has been the key factor in Ochang's emergence as a city for secondary batteries. LG Energy Solution operates two separate secondary battery factories in Ochang. In March last year, LG Energy Solution renamed its Ochang factories as Ochang Energy Plant.

From the exterior, LG Ochang Energy Plant looks much like any other regular office building. The earlier-built Energy Plant 1 (Factory 1) comprises five buildings on a plot of 333,009 square meters (about 99,918 pyeong), where cylindrical and pouch-type batteries are manufactured. Buildings OC1 through OC3 each produce 2170-type cylindrical batteries used in power tools and IT devices, while OC4 and OC5 produce pouch-type batteries for automotive use. Buildings OC6 to OC8 are currently leased to and used by LG Chem.

Upon entering the first floor of the main building, the first sight was 'Entral Park,' a staff lounge area. Occasionally, external guests are invited for performances or concerts. On the second floor, there are recreational facilities including game consoles, karaoke, darts, and a cafe, freely available to employees. In early March, a new four-story welfare building was constructed right next to the main building. It is equipped with a convenience store, food court, gym, and lecture rooms. Since the factory operates around the clock in three shifts, many employees use these facilities outside of regular lunch hours as well.

LG Ochang Energy Plant 2, located about 6km away, began construction in 2010 and, at 356,201 square meters (about 100,751 pyeong), is even larger than Factory 1. Together, LG Energy Solution’s Ochang plants span a total of 207,669 pyeong.

LG Energy Solution Ochang Energy Plant 2 exterior. Photo by Kang Hee-jong

At Ochang Energy Plant 2, there is Building OC9, which produces next-generation cylindrical batteries. It is here that the 4680 cylindrical batteries destined for Tesla are manufactured, with mass production scheduled to commence this August. Right behind it, Building OC10 is currently under construction.

The Ochang Energy Plant is the only domestic production facility operated by LG Energy Solution. When adopting new battery technologies or equipment, it is first applied and verified at the Ochang plant before being exported to overseas factories. In many ways, it serves as a testbed. The 4680 cylindrical battery will also undergo a stabilization process here before being mass-produced at the company’s U.S. plant.

For these reasons, LG Energy Solution refers to the Ochang plant as its "Mother Factory." The plant is capable of remote communication and control with overseas plants in the United States, China, Poland, and elsewhere. As new technologies and processes are first applied at the Ochang factory, major meetings with customers are frequently held here. When I visited, I noticed several overseas buyers on site.

The production scale of the Ochang plant is also considerable. The plant's production value grew rapidly from 838.75 billion won in 2021 to 1.05818 trillion won in 2022, and to 1.22884 trillion won in 2023. About half of this output comes from automotive batteries.

"The U.S. Has Silicon Valley, Taiwan Has Hsinchu Science Park... Korea Has Ochang"

The headquarters of Ecopro and the cathode manufacturing facility of Ecopro BM are located directly in front of the LG Ochang Energy Plant. Ecopro BM plans to invest 300 billion won to build a research and development (R&D) center in Ochang. Ecopro Innovation, which processes lithium hydroxide, as well as Ecopro HN, the environmental company that was the foundation of the group, also have their headquarters in Ochang.

Other companies clustered in the complex include W-Scope Korea (separators), Power Logics (packs/modules), Woojin Industrial Systems (finished products), Mirae Nanotech (cathode materials), S&PLab (anode materials), CSI M (electrolyte materials), Wonik E&E (process equipment), and Daeyeon ST (cell components).

On the basis of these strengths, Ochang in Chungbuk received designation as a specialized zone for secondary battery materials, parts, and equipment in 2021, followed by designation as a national advanced strategic industry complex on July 20, 2023.

The advanced strategic industry complex consists of four industrial zones: Ochang Science Industrial Complex, Ochang Second Science Industrial Complex, Ochang Technopolis General Industrial Complex, and Ochang Nanotech Industrial Complex. The total area amounts to 14,609,355 square meters (approximately 4.42 million pyeong). Among these, Technopolis General Industrial Complex and Ochang Nanotech Industrial Complex are still being developed.

Investment by secondary battery-related companies in Ochang is expected to continue. LG Energy Solution invested 2.3 trillion won in Ochang from 2013 to 2021 and plans to invest an additional 3.9 trillion won from 2023 to 2026 to build its Mother Factory and R&D pilot lines.

According to Chungbuk Province, since the designation as a specialized complex, five companies including Inox Advanced Materials have decided to invest a total of 800 billion won in new and expanded facilities.

Chungbuk is pursuing three major strategies: strengthening its role as a global technology leader, building a global R&D cluster, and reinforcing the innovation ecosystem. Through these, the province aims for secondary battery production of 196 trillion won, value-added output of 51 trillion won, employment of 145,000 people, and 8.9 billion dollars in exports by 2030. Kim Sangpil, Secondary Battery Industry Team Leader at Chungbuk Provincial Office, stated, "Our goal is to become a world-class secondary battery cluster, like Silicon Valley (IT) in the U.S. and Hsinchu Science Park (semiconductors) in Taiwan."

[Interview] "50% Annual Growth through Electrode Exports...Choi Bongkyu, CEO of E2Tech"

Choi Bong-gyu, CEO of E2Tech

Even before Korea’s secondary battery industry drew attention, a company in Ochang Science Industrial Complex, Chungbuk—E2Tech—had been exporting electrodes since 2013. E2Tech is not widely known among the general public, but is a prominent small- and medium-sized enterprise that generates most of its sales from electrode exports. In 2022, the company received the Three Million Dollar Export Tower from the government.

During an interview at the E2Tech headquarters in Ochang on March 13, CEO Choi Bongkyu said, "Last year, we posted sales of 7.3 billion won, and this year, our goal is to exceed 15 billion won, representing growth of more than 50%."

Founded in 2013, E2Tech produces anode and cathode electrodes for high-performance, high-output, and special-purpose batteries. The company mainly exports battery electrodes to Taridan in Israel and Saft in the United States. Both are well-established battery cell manufacturers specializing in industrial and military batteries. E2Tech also supplies electrodes to domestic battery cell companies.

Battery suppliers for industrial or military use must meet more stringent requirements because these batteries need to operate reliably under extreme conditions, which is not typically expected for general-purpose batteries. For example, Israel’s Taridan emphasizes that their batteries have a lifespan four times longer than conventional batteries.

Anodes are being produced at E2Tech in Ochang, Chungbuk. Photo by Kang Hee-jong

E2Tech aims to go beyond the role of simple subcontractor. When a client specifies requirements, E2Tech proposes alternative combinations of materials to meet those needs—a feat not possible without proprietary technology. The company even operates an in-house research lab, having recruited renowned engineering PhDs, including a former university professor. CEO Choi explained, "We also hold anode technology that remains stable and does not swell, even when the silicon anode content is increased up to 80%."

E2Tech possesses its own mixing, coating, and pressing equipment, and has the capacity to produce electrodes with an annual capacity of 500 megawatt-hours (MWh)—equivalent to 1 million meters in length. This year, the company plans to invest 1 billion won to expand its electrode manufacturing lines and add new dry room facilities to further boost production capacity.

The company is also proactive in responding to environmental issues. To minimize the use of hazardous substances that can cause problems during recycling, some electrodes are manufactured using distilled water, achieving manufacturing innovation while retaining electrode characteristics.

E2Tech also offers sample production services for secondary battery startups that do not have their own production facilities. This is a kind of support initiative. CEO Choi Bongkyu commented, "Manufacturing electrodes for startups is a business where it is difficult to expect profitability. It would be good if the government could offer tax credits or financial support in these areas."

CEO Choi Bongkyu, formerly with the Secretariat Office of Samsung Group, has been managing and operating E2Tech since 2016.

This content was produced with the assistance of AI translation services.