Hak Cheol Shin, CEO of Tesla’s battery supplier LG Chem, recently predicted that their battery business revenue will double by 2025 despite the Covid-19 pandemic that whittled down demand for electric vehicles, according to Bloomberg.
Bloomberg reported that during an interview in his office in Seoul, Shin said the company’s battery business revenue this year is expected to hit a record of 13 trillion won ($11 billion). He further predicted that LG Chem’s 2025 revenue will reach 30 trillion won ($25.257 billion).
Despite the declining demand for rechargeable batteries, LG Chem’s sales reached 83% to 10.5-gigawatt hours, partially due to the good development momentum of electric vehicle manufacturers such as Tesla, whose Model 3 sedans hit the market in China in 2020.
LG Chem has entered Tesla’s supply chain and is one of Tesla’s electric vehicle battery suppliers. The batteries required for the Model 3 sedans produced by the Shanghai Super Factory are partly from LG Chem, Bloomberg reported.
Shin emphasized in the interview that the company’s supply chain is working well and can deliver all customer orders despite the coronavirus-hit economy, according to Bloomberg.