Battery equipment maker Nsys has won orders for its equipment from Ultium Cells, the battery-making joint venture between LG Energy Solution and General Motors, TheElec has learned.
Last year, Nsys had announced that it has won orders were 4.3 billion won and 4.2 billion won in July and September, respectively, without providing the name of the customer.
TheElec can confirm that the company had supplied its inspection equipment that will be used in the electrode process for Ultium Cells in its US factories.
In battery production, the electrode process is done right after the mixing process to create the positive and negative diodes on the battery.
Inspection equipment is used to check whether the active materials are coated properly.
Nsys’ equipment uses a vision camera to look for defects during this process.
Meanwhile, Ultium Cells is also using inspection equipment from Honeywell. This kit uses ultrasound to check the thickness of the coated active materials.
LG Energy Solution, since new CEO Kwon Young-soo took over, is stressing the importance of equipment in production lines in reaction to the recent controversy surrounding the quality of its batteries, people familiar with the matter said.
The firm will likely place more orders for inspection equipment to secure battery safety, they added.
Nsys last year recorded 42 billion won in revenue and 8 billion won in operating income for a margin rate of 18%, which is unusually high compared to its peers in South Korea.