Hanoi:<Text>

POSCO Future M Co. announced on Thursday that it has secured approval from Vietnamese authorities to establish an artificial graphite anode material plant, marking its inaugural overseas production facility for this essential battery component.

According to Yonhap News Agency, the company is set to invest 357 billion won (US$241 million) to initiate the construction of the first-phase facility at an industrial complex located in Thai Nguyen. The construction is slated to begin later this month, with the goal of commencing production by 2028. POSCO Future M, a division of steel giant POSCO Holdings Inc. specializing in battery materials, indicated that additional investments might be considered based on future demand.

The decision comes amidst rising demand for artificial graphite, a critical material known for improving fast-charging capabilities and extending battery lifespan. Currently, the supply of artificial graphite is mainly dependent on a few countries, highlighting the urgent need for diversification.

In its statement, the company emphasized its commitment to collaborating with both Vietnam's central and provincial governments to stabilize global supply chains and enhance its competitive edge in the industry.