By: ICN Bureau
Last updated : March 16, 2026 11:17 am
POSCO Future M is establishing an overseas plant for artificial graphite anode materials as part of its drive to expand global orders
South Korean advanced battery materials producer POSCO Future M is moving to strengthen its foothold in the global battery materials race, approving a major investment to build its first overseas artificial graphite anode plant in Vietnam as supply chain tensions and protectionist trade policies reshape the industry.
The company said the project forms part of a broader push to secure global orders and expand production capacity for a material increasingly critical to next-generation batteries.
“POSCO Future M is establishing an overseas plant for artificial graphite anode materials as part of its drive to expand global orders.”
As trade barriers rise and governments tighten control over strategic materials, battery manufacturers are scrambling to secure stable sources of supply. Against that backdrop, the company said it has been in talks with multiple customers and is now moving ahead with a strategic investment to boost output and sharpen its competitive edge.
“As trade regulations and protectionism intensify worldwide, the need to stabilize supply chains for key battery materials is becoming increasingly critical.
“Against this backdrop, POSCO Future M has been in ongoing discussions with multiple customers regarding artificial graphite anode material and is now making a strategic investment to scale up production capacity and strengthen its business competitiveness," the company has said.
At a board meeting on the 5th, POSCO Future M approved an investment of about KRW 357 billion to build the plant in Thai Nguyen, an industrial hub in northern Vietnam. Construction is expected to begin in the second half of this year, with commercial production targeted for 2028.
“Construction is set to begin in the second half of this year, with mass production targeted for 2028.”
The site will ultimately be capable of supporting up to 55,000 metric tons of production, though capacity will be added in phases as new orders are secured.
“The facility will be built on a site capable of supporting up to 55,000 metric tons of production capacity, with further expansion to proceed in phases as additional orders are secured.”
Artificial graphite anodes are a vital component in lithium-ion batteries, helping improve fast-charging performance and extend battery life. Demand for the material is rising sharply alongside the global electric vehicle boom, but supply remains heavily concentrated in a small number of countries.
“While demand for the material continues to grow steadily, heavy reliance on a limited number of countries has made supply chain diversification an urgent priority.”
POSCO Future M currently produces artificial graphite anodes at a plant in Pohang, South Korea, with an annual capacity of 8,000 tons. The Vietnam facility will build on that manufacturing experience, aiming to produce cost-competitive materials for customers around the world.
Vietnam has emerged as an attractive manufacturing base thanks to lower investment and operating costs, as well as robust industrial infrastructure, as per the company.
“Vietnam offers significant advantages in reducing costs across investment, electricity, labor, and logistics, with a cost structure that remains competitive even relative to other Southeast Asian countries such as Indonesia.”