LG Chem to provide HEV batteries to U.S. vehicle component maker

By Nam Kwang-sik
SEOUL, Jan. 5 (Yonhap) -- South Korea's LG Chem Ltd. said Tuesday that it will
supply lithium-ion batteries for commercial hybrid electric vehicles (HEVs) to
Eaton Corp., a U.S. commercial vehicle components maker, for the next four years
from November this year.

LG Chem plans to expand the assembly line of Compact Power Inc., its U.S. unit,
in anticipation of increasing supply of the batteries to Eaton, the company said
in a statement.
The South Korean chemical company will expand the supply of its batteries to
plug-in hybrid electric vehicles (PHEVs), which have batteries that can be
recharged when connected to a power outlet, it said.
HEVs are vehicles powered simultaneously by batteries and fuel to achieve better
fuel economy than a conventional car.
Eaton holds an over 90 percent share in the U.S. commercial vehicle market, LG
Chem said.
"To supply batteries to Eaton means to preempt the global commercial vehicle
market, as the North American commercial vehicle market represents over 50
percent of the global market," LG Chem said.
LG Chem plans to expand the supply of its batteries to a spate of industrial
sectors, it added.
ksnam@yna.co.kr
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