Iljin Materials said on Monday that it will spend 500 billion won to build a copper foil factory in Spain.
The material is used as a current collector in anodes of batteries.
It is the company’s second overseas factory after the one in Malaysia.
Iljin Materials said the factory, which will be built in Catalonia, will have a production capacity of 25,000 metric tonnes. It will start production in 2024.
Once it is completed, the company will have an annual production capacity of 130,000 metric tonnes of copper foil.
The company is part of Volkswagen’s consortium formed to make Spain an electric vehicle hub of Europe.