Seoul, Dec 9 (NationPress) In the first ten months of 2024, three major South Korean electric vehicle battery manufacturers experienced a decrease in their collective global market share compared to the previous year, attributed to the strong expansion of their Chinese rivals, according to industry data disclosed on Monday.

The trio consisting of LG Energy Solution, SK On Co., and Samsung SDI Co. held a total of 20.2 percent of the global EV battery market during the January-October period, reflecting a drop of 3.5 percentage points from the prior year, based on information from market researcher SNE Research.

In contrast, Chinese manufacturers CATL and BYD achieved a combined market share of 53.6 percent, as reported by Yonhap news agency.

Previously, in the same timeframe of 2021, South Korean companies enjoyed a 31.7 percent market share, while Chinese firms held 39.7 percent.

This decline in the market share of Korean manufacturers is primarily due to the rapid advancements of Chinese competitors, who emphasize more affordable products amidst a sluggish EV market, according to SNE Research.

Chinese manufacturers are at the forefront of the EV battery sector with their prismatic cells, known for their superior durability and higher energy density compared to other battery types.

Globally, prismatic cells represented 78.3 percent of the market share during the January-October period, an increase from 70.9 percent in 2023.

Within South Korea, Samsung SDI stands out as the sole domestic supplier of prismatic battery cells.

In an effort to remain competitive, LG Energy Solution announced last week its intention to collaborate with General Motors Co. to develop prismatic battery cells.

Meanwhile, SK On has successfully completed the development of prismatic battery cells and is currently negotiating with its clients regarding the timing for mass production.

Additionally, to enhance their competitiveness against Chinese rivals, South Korean battery producers are also focusing on manufacturing lithium iron phosphate (LFP) batteries, which are gaining popularity due to their lower costs.

LFP batteries are regarded as more affordable and sustainable compared to the nickel-cobalt-manganese (NCM) batteries, which are the most prevalent in electric vehicles.

SNE Research highlighted that the market share of Chinese battery manufacturers has surged significantly, largely due to the increasing adoption of LFP batteries over NCM batteries in the global market.