LG Electronics said Sunday it is making its foray into the burgeoning electric vehicle charging market, calling the sector one of its key growth drivers for its next big leap.
As part of the big push, the firm said it has acquired a 60 percent stake in AppleMango, a local battery maker, in partnership with GS Energy and GS Neotek that took over 34 percent and 6 percent in the company, respectively.
Following the deal, AppleMango has become a subsidiary of LG Electronics.
Through the new subsidiary, the tech giant will develop its own EV chargers. By this year, the firm plans to build a production plant at the LG Digital Park in Pyeongtaek, Gyeonggi Province, and produce EV chargers for individual households as well as shopping malls, hotels and government buildings.
LG Electronics also looks to create synergy with GS companies that have operated EV charging stations nationwide. In particular, GS Energy is expected to become a key partner as it has secured a value chain from producing EV chargers to operating charging stations through its joint venture, called G-connect, set up with Gntell, a local EV charger company, last year.
LG Electronics said it aims to become a total solution provider for EV charging by seeking synergy between its own EV charging control systems and the newly-acquired EV charger development technologies.
The company also stressed that its known in the fields of home and business appliances that cover manufacturing, quality control, repairs and supply chain management will lay the foundation for the new business push in the EV charging market.
LG has thus far has nurtured its automotive solutions business, including in-car infotainment, high-tech lighting systems and EV powertrains. With the latest addition of EV charging solutions business, the firm said it is now equipped with a complete business portfolio to prepare for future mobility.
Amid fast-growing demand for eco-friendly vehicles, the global EV charging market is projected to surge from next year’s $55 billion to $325 billion by 2030.
Founded in 2019, AppleMango has proprietary technologies in producing destination chargers and high-speed chargers. The firm also owns a technology required in manufacturing slim high-speed chargers, which can be conveniently installed within EVs.