Toyota Tsusho Corporation (Toyota Tsusho) has entered into a share transfer agreement with Zhejiang Huayou Cobalt Co., to acquire a 25% stake in LG-HY BCM, a joint venture between LG Chem Ltd. a company of South Korea's LG Group, and Huayou Cobalt.

Through this investment, Toyota Tsusho will participate in the manufacturing business of cathode active materials, which are the most important materials in lithium-ion battery production. By doing so, it will enable the company to establish a competitive cathode active material supply chain and build a system that stably supplies cathode active materials produced in South Korea to battery manfuacturers, primarily in North America.

Toyota Tsusho will contribute to the stable supply of automotive battery materials essential for the spread of electric vehicles, while also promoting the establishment of a global supply chain that consistently supports the entire process from material procurement to manufacturing and supply.

LG-HY BCM is a company that manufactures cathode active materials in South Korea. It possesses world-leading manufacturing technologies for ternary cathode active materials and currently operates a plant in South Korea with an annual production capacity of 66,000 tons.