EcoPro breaks ground on plant in Hungary

EcoPro's groundbreaking ceremony for a plant in the Hungarian city of Debrecen on Friday [ECOPRO]

Ground was broken for EcoPro's battery material plant in Hungary, becoming the first Korean battery materials maker to have a cathode manufacturing base in Europe.

Cathodes are one of the four critical components in making electric vehicles (EVs), accounting for 40 percent of battery costs.

EcoPro invested around 382.7 billion won ($286.77 million) in the plant in Debrecen, which is slated for completion by the end of 2024.

Expected to have a total area of 442,820 square meters, the Hungarian plant is set to begin operations in 2025 with an annual production capacity of 108,000 tons. This is enough to produce batteries for 1.35 million EVs per year, the company said.

Once the construction is complete, EcoPro will be the first Korean secondary battery materials producer to have a European production facility.

"We anticipate the plant will be a significant step towards procuring orders in the European finished car market," explained EcoPro through a press release.

The ceremony was attended by about 100 people, including Founder and Former Chairman of EcoPro Lee Dong-chae, Hungarian Minister of Foreign Affairs and Trade Péter Szijjártó and Mayor of Debrecen László Papp.

BY SEO JI-EUN [seo.jieun1@joongang.co.kr]