POSCO Future M to supply LFP cathode materials to major battery maker

POSCO Future M has agreed to supply a major Korean battery maker with a large volume of lithium iron phosphate (LFP) cathode materials under a long-term deal, marking its full-fledged entry into the growing LFP market. Under the agreement reached Thursday, POSCO Future M will supply more than 190,000 metric tons of LFP cathode materials over six years from 2027 through 2032. It did not disclose the battery maker’s name due to contractual obligations. The two companies plan to finalize the terms and sign a formal contract in the third quarter. The deal comes as demand for energy storage systems (ESS) is surging in North America, driven by the rapid expansion of power-hungry artificial intelligence data centers. POSCO Future M plans to improve the cost competitiveness of its LFP cathode materials by using raw materials sourced through POSCO Group, including iron oxide from its steelmaking process and lithium from Argentina. The company is also in the final stages of negotiations with other major customers for additional LFP cathode material supply deals and plans to expand production cap