The operation rate at Samsung SDI’s battery plant in Göd, Hungary, fell temporarily due to a shortage of modules required for battery cell assembly, according to industry sources on Jan. 7.
This wasn’t due to technological glitches, but because the firm was faced with Hungarian suppliers who were unable to meet the demand in terms of both quality and quantity. The Korean battery maker hurriedly turned to Korean suppliers, and business is now back to usual, the sources said.
“There was a bit of a lull, but all parts demand is being met without a hitch now, and electric car batteries are in big demand,” said one Samsung SDI official.
Industry experts also say that temporary decline in the operation rate, would have limited impact at most.
Plant 1, which is currently in operation, is where three new production lines went into operation just last year because it wasn’t able to go full throttle due to yield issues. The full capacity of the plant is 4 million cells a month. Line 1 went into operation at the end of 2018, while lines 2-4 began between March and September 2019.
Samsung SDI is looking to build a second plant in Göd with an annual capacity of 12 million cells at four production lines. The company plans to initiate construction this year to start operations in 2021.
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