The Ministry of Trade, Industry and Energy of South Korea reported on Tuesday that it has communicated its worries to China concerning the export limitation on graphite that could potentially disrupt the global battery industry’s supply chains.
International Trade Relations Director General Kim Jong-cheol expressed his concerns at the Pan-Yellow Sea Rim Economy and Technology Exchange Conference in Dalian, China during the beginning of the week, according to the Ministry of Trade, Industry and Energy.
This follows after China declared earlier this month that it will require export permits for graphite shipments, a material used to manufacture rechargeable batteries, starting in December, which could impact South Korean companies.
Kim highlighted the importance of the two countries having a close partnership in the battery supply chain, noting that the current restriction has caused unease in the sector.
The director also emphasized that the supply chain should be kept stable for mutual benefit, as the two countries’ battery industries are closely related, according to sources.
South Korea is likely to be one of the primary victims of the export control, as LG Energy Solution Ltd. and SK On Co. have battery production lines in China.
This file photo provided by the Ministry of Trade, Industry and Energy on Sept. 14, 2023, shows International Trade Relations Director General Kim Jong-cheol. (PHOTO NOT FOR SALE) (Yonhap)
colin@yna.co.kr
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