EVs will make up 54 percent of new car sales in 2040. (Source: Electrek)

Even though EVs make up about 1 percent of total new car sales in the U.S., EVs are on a steady, steep path upwards. According to a report by Bloomberg New Energy Finance, EVs will make up 54 percent of new car sales by 2040, and by 2029, EVs will be cheaper to buy than gasoline and diesel-fueled cars.

The figures are significant and will translate into a sharp increase in demand for rechargeable batteries and their materials.

SEE ALSO: Ask an Expert: Electric Vehicles and the Future of the Automotive Market

The Evolution of EV Batteries

Before diving into the juicy details, it’s always helpful to cover the basics. Batteries are made up of 3 main components. The anode, or negative electrodes, the cathode, or positive electrodes and some type of electrolyte through which the electrodes travel to release chemical energy.

A simple battery can be made out of a potato, copper penny and galvanized nail. (Source: Tested)

The first rechargeable battery, lead-acid battery, was invented in 1859 by a physicist named Gaston Plante. Lead dioxide was the cathode material used, and lead was the anode material with a liquid solution of sulphuric acid and water as the electrolyte. The materials were affordable and the battery was applied to many early models of EVs, including early models of the Tesla Model S.

Another widely used battery that came after the lead-acid battery is the nickel-metal hydride (NiMH) battery developed at the Battelle-Geneva Research Center in 1967. Nickel hydroxide was used as the cathode material while a hydrogen-absorbing alloy was used as the anode material. A liquid solution served as electrolytes. The research for NiMH batteries was extensive, and funded jointly by Daimler-Benz and Volkswagen AG. The batteries were also applied to many EV models such as the Toyota Prius, prior to 2015.

The Advent of Lithium-Ion Batteries

The introduction of lithium-ion batteries was a game-changer. Sony first introduced them in 1991, and today, most EVs have them, including the Tesla Model 3. The batteries consist of lithium-cobalt oxide cathodes, graphite anodes and the electrolyte is usually a solution of lithium salt and an organic solvent, though some automakers are experimenting with solid-state electrolytes.

The Tesla Model 3 has a lithium-ion battery. (Source: Green Car Reports)

Compared to its predecessors, lithium-ion batteries have the highest amount of stored energy and specific power, which is kind of like horsepower for electric cars. As a result of improved technology and lower costs, lithium-ion batteries are projected to make up 70 percent of the total rechargeable battery market by 2025, which will be worth roughly USD 112 billion.

Good as Gold

It is estimated that every 1 percent increase of EVs in the auto market will result in an additional 70,000 tons of lithium demand LCE per year.

In 2016, Australia topped the list for the most lithium produced with 14,300 metric tons. China and Zimbabwe are also top contenders producing 2000 and 900 metric tons in 2016, respectively. Then, there are the South American countries of Argentina, Chile, and Bolivia, also referred to as the “lithium triangle,” and home to 75 percent of the world’s lithium supply.

Workers at a brine pool at the Rockwood Lithium Plant on the Atacama salt flat. (Source: Reuters)

Does that mean the world has enough lithium to fuel the cars of tomorrow? The answer is yes, but there aren’t enough mines to produce them. In order to prevent environmental damage and the exploitation of unprotected workers, lithium producers have to get smart about lithium mining and production.

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POSCO’s Lithium Production  

Starting in 2010, POSCO and the Research Institute of Industrial Science & Technology (RIST) teamed up to develop a chemically based lithium extraction technology. The innovation cut down extraction time from up to 18 months down to between 8 hours and 1 month, delivering a purity rate of 99.9 percent. The recovery rate of lithium also increased to over 80 percent. POSCO is the world’s first corporation to commercialize the technology.

SEE ALSO: Lithium Rocks: POSCO at Forefront of a Green Energy Future

POSCO CEO Kwon Ohjoon holds lithium on his visit to PosLX, POSCO’s battery production factory in Korea.

It’s also at the heart of the lithium triangle. POSCO currently operates facilities in Chile’s Maricunga Salt Lake, Argentina’s Cauchari Salt Lake and Argentina’s Pozuelos Salt Lake, which alone will boost POSCO’s annual lithium production to 2,500 tons. POSCO also opened its first battery production plant in Korea earlier this year.  

The future of EVs is promising thanks to advancements being made in electric batteries, and there’s a lot at stake for the health and well being of future generations. Increasingly, the availability and costs of EV battery materials will play a vital role in market outcomes and widespread EV adoption. It is vital for companies like POSCO to provide abundant, sustainable and cost-friendly EV battery materials so automakers can continue to enhance the batteries of tomorrow’s cars.

Cover photo courtesy of Quartz.

Advancements in products, production methods, and new technologies have helped POSCO expand the expectations of what a sustainable steel company should be.  

In honor of Earth Day, The Steel Wire takes a look back at seven recent initiatives & breakthroughs from the last year that have helped POSCO become an industry leader in sustainable development.

POSCO GIGA STEEL: Lighter for EVs, Less Production Emissions

As the auto industry heads toward producing lighter, more fuel efficient vehicles, they need materials that are both strong and light. Car bodies manufactured with POSCO GIGA STEEL and other advanced high strength steels could see a 26% reduction in total weight. Also, based on its life cycle assessment measuring carbon dioxide emissions from production to recycling, POSCO GIGA STEEL performs remarkably well as an eco-friendly material. According to the World Steel Association, steel emits 2.0 to 2.5 kg of carbon emissions when producing 1 kg of material while aluminum emits 11 to 12.6 kg when producing the same amount.

See how POSCO GIGA STEEL offers an ideal material solution for automakers looking to make more lightweight and fuel efficient cars.

POSCO’s Smart Factory Introduces Artificial Intelligence

When POSCO introduced artificial intelligence into its smart factory operations in February, they were able to create higher quality products using a more sustainable production method. Coating weight control is a highly sophisticated process that keeps the coating layer consistent. Quality can deviate depending on the worker, but with POSCO’s new AI technology they can ensure quality control while reducing wasted zinc during production.

Read more about how POSCO is using AI and smart factory technology to make its operations more efficient and sustainable.

POSCO’s Advancements in Lithium Extraction Recharge the Battery Industry

Lithium extraction traditionally takes anywhere from 12-18 months using a slow evaporation technique. However, POSCO’s new extraction method, which came online in February of this year, takes from 8 hours up to one month while also offering a purity rate of 99.9% and increasing the lithium recovery rate to over 80%, which reduces the resources needed for extraction making the process more sustainable and eco-friendly. Also, in a first for the industry, POSCO developed a way to extract lithium from recycled batteries. Both of these innovations have helped create more eco-friendly processes for an industry that is expected to grow exponentially in coming years.

Find out more about POSCO’s developments in lithium extraction and its efforts to reshape the industry.

POSCO Expands Production of its Non-Oriented Silicon Steel for Electric Vehicle Drive Motors

Top-grade non-oriented silicon steel is a core ingredient in high-efficiency premium consumer electronics and electric vehicles. It is an environmentally-friendly material that saves energy and reduces CO2 emissions. With the completion of its non-oriented silicon steel (Hyper NO) facility on February 20, production has increased from 80,000 to 160,000 tons, which is enough to supply parts for approximately 2.6 million electric vehicle drive motors.

Read more about POSCO’s efforts secure its position as a leading supplier to the growing electric vehicle market.

POSCO Humans Selected as Innovation Leader for Sustainable Solar Power Development

POSCO Humans received excellent evaluations last January for its steel structures that were built for solar facility installations. In particular, POSCO Humans received high marks for its structure that are used exclusively for floating solar power generation facilities and exclusive bolts that utilize PosMAC. It is a bolt-assembled structure that eliminates the need for hole machining and special tools.

Discover how POSCO developed floating solar panels using PosMAC.

POSCO’s World Premium Stainless Steel Shows No Corrosion After 18 Years at Incheon Airport

The first passenger terminal at Incheon International Airport was built in 2001 using POSCO’s 446M steel, and after 18 years, few signs of corrosion have been seen. Building exteriors and roofs are the most visible parts of buildings, while also being the most vulnerable to corrosion. Materials used in their construction should be both corrosion-resistant and aesthetically pleasing. Therefore, when planning for the second terminal, they decided to use the same type of steel along with the application of the bead blast process that will create a rough texture on the roof to lower the reflectivity rate for aircraft pilots during take-offs and landings.

Find out how POSCO’s stainless steel products offer decorative and durable interior and exterior options in buildings.

PosMAC Shines at Renewable Energy India

PosMAC was recognized at the Renewable Energy India expo for its unique properties that make it uniquely suited for solar energy development. PosMAC is not just lightweight, it is also non-corrosive and durable enough to last 20-30 years.

Find out more about PosMAC at the Renewable Energy India expo, or find out more about PosMAC.

Throughout April & May, The Steel Wire will explore the uses and benefits of POSCO GIGA STEEL and what POSCO is doing to lead the industry with new automotive steel solutions.   Subscribe to our newsletter today.

Several factors are contributing to the growing interest in electric vehicles. Stricter CO2 emission standards are changing the way cars are being made, and consumers are becoming more environmentally conscious at the same time. To produce more fuel efficient vehicles, car makers are looking to advanced materials in lightweighting that can help make vehicles more eco-friendly while being safe and affordable.

The Push to Reduce Carbon Emissions

In the US, the transportation sector produces nearly 30 percent of all global warming emissions, and more than half of those emissions come from passenger vehicles. Between 1990 and 2004, the average fuel economy of new vehicles actually decreased, but since 2005 those numbers have begun to improve, resulting in less greenhouse emissions (see chart below).

Greenhouse gas emissions from the transportation sector remain high but have gone down in recent years. Increased efforts by the auto industry to produce more fuel-efficient cars is helping this trend. (Source: EPA Inventory of US Greenhouse Gas Emissions and Sinks: 1990-2014)

As air pollution gets worse and global temperatures continue to rise, governments, consumers, and car manufacturers have all seen the urgency in creating more fuel-efficient vehicles. However, in order to build electric vehicles, hybrid cars, and even more fuel efficient combustion engine autos, new materials and production methods must be used. Specifically, cars need to be lighter.

Reducing Weight, Reducing CO2 Emissions

The heavier a car is, the more fuel is required to move it. A study from MIT found that for each 100-kg reduction in a car’s body weight, fuel consumption could decrease by about 0.3 L/100 km for cars and about 0.4 L/100 km for light trucks. This not only translates into fewer CO2 emissions but also into cost savings for consumers. The following table provides estimated fuel cost savings for a range of weight reductions. Today’s cars and light trucks weigh between 1,000 to 3,800 kg.

Manufacturers have been testing new materials to use in their cars in order to make the weight reductions necessary for a viable EV. Utilization of alternative materials like aluminum, magnesium, and carbon fiber components are increasing due to their lightweight properties. However, additional financial and environmental costs remain high.

In the past, in order to make steel lighter, sacrifices had to be made in strength and ductility. However, recent innovations in advanced high-strength steels (AHSS) have been able to bridge that gap. To demonstrate the recent advancements made with AHSS, engineers designed the PBC-EV, or POSCO Body Concept-Electric Vehicle, using POSCO GIGA STEEL. The PBC-EV car body was able to achieve a 26.4% reduction in total weight when compared to cars of the same size without any sacrifices in safety or structural integrity. 

The Eco-friendly Life Cycle of AHSS

When measuring greenhouse emissions of cars, one must also look beyond the immediate impact of gasoline consumption and view the material more holistically through a life cycle assessment. The emissions costs related to the extraction and production of automobile materials can be high. However, technological advancements in steel production have been able to reduce CO2 emissions – helping to make it one of the most eco-friendly materials for car makers.

Based on its life cycle assessment, measuring carbon dioxide emissions from production to recycling, POSCO GIGA STEEL performs remarkably well as an eco-friendly material. Steel emits 2.0 to 2.5 kg of carbon emissions when producing 1 kg of material while aluminum emits 11 to 12.6 kg when producing the same amount. Even after production, cumulative greenhouse gas emissions of vehicles made with steel is 10% lower when looking at the full life cycle.

Lastly, steel remains the most recycled materials on the planet, and automobiles maintain a recycling rate of nearly 100 percent. Almost all steel products contain recycled steel as steel scrap is a necessary ingredient when producing new steel.

Advancements in AHSS have allowed the auto industry to move beyond the barriers that have held it back in the past. As consumers demand more fuel efficient driving options and as governments around the world impose more strict emissions standards, material advancements in steel will become more critical. It is the breakthroughs in steel technology like these that are helping to bring lightweight, fuel-efficient cars to market.

Throughout April and May, The Steel Wire is exploring trends in the auto industry and how POSCO’s innovations in automotive steel is leading the way toward lighter, stronger, and more affordable cars.

In order to adapt, the automotive industry is learning to make cars differently. Underpinning all of these advancements is a need for stronger, lighter, and more durable materials.

Below we take a closer look at three trends that are fundamentally changing the way consumers think about cars, and what the car industry is doing to stay ahead.

Shared Mobility

Companies like Uber and Lyft have left an indelible mark on the way people use cars. While it used to be understood that a vehicle was one’s personal property and space, those ideas are changing. Over the last five years, car sharing services have seen 30 percent annual growth, and McKinsey predicts that one out of 10 cars will be a shared vehicle by 2030.

With this much sharing, vehicles will need to be replaced more frequently as they will be used more often and experience more everyday wear and tear. As consumers move away from owning one car and begin to use services that offer on-demand vehicles for specific uses, the materials used to make these cars need to improve.

Recently, many steelmakers have been working toward advanced high-strength steel (AHSS) solutions. AHSS steel solutions are also more durable than conventional steels, making them ideal for new cars that are going to be on the road with more frequency. This advancement is necessary as consumers begin to change their driving behaviors while maintaining high standards for safety and quality in the cars they use.  

Self-Driving Cars

Self driving cars are a fairly new idea, but in a short amount of time, they have consumed the imagination of the public and R&D labs around the world. Seemingly every company in the automotive industry is working on some form of a self-driving vehicle, and even those not in the industry are getting involved (see Google’s Waymo video below).

While autonomous cars are not yet market-ready, they will be soon. However, because it causes such a dramatic shift to the way people use cars, manufacturers will need to jump many hurdles before they are fully accepted by the public at large.

As with any new technology, access will be limited and expensive. In the beginning at least, it is unlikely that self-driving cars will be affordable enough for mass distribution. In addition, they must become more accessible for consumers. Most people have never seen, much less taken a ride in, a self-driving car. It is hard for people to imagine the experience, and even more difficult for them to place their trust in a piece of software located in a multi-ton vehicle. In order to ensure the trust of consumers, the auto industry must work to manufacture cars that are safer and more secure.

Advancements made in AHSS have allowed auto manufacturers to design cars with even stronger steel. Now, with auto steel being produced that goes beyond the 1,000 MPa range, consumers can feel more at ease with the software that enables them to get the grocery store.   

Electric Vehicles

Electric cars represent the forefront of the trend toward more fuel-efficient cars. Hybrid cars that use a combination of a gasoline powered engine and a rechargeable battery captured the attention of the industry after Toyota successfully launched its Prius in 1997. As car makers race to produce an electric vehicle that is viable for mass production, seemingly every major player is working toward a true electric car solution with zero emissions.

The Chevrolet Bolt EV offers a range of 200+ miles, a key milestone for consumers. (Photo by Jeffrey Sauger for Chevrolet)

Having relied on gas powered engines for over 100 years, the change to battery powered cars is changing the fundamental nature of how a car is made. Consumers have proven unwilling to change their driving habits and expectations, so manufacturers have struggled to build electric cars that can match the performance of their gas-powered cousins.

Advancements in lightweighting are required for electric cars as they will not be equipped with gas-powered engines. Also, improvements in battery technology are also needed so that EVs can increase their driving range and allow consumers to drive distances similar to what they can today.

Innovations in steel technology have given car manufacturers ideal options for lightweighting as new advanced high-strength steels (AHSS) offer lightweight, strong automotive steel. Compared to other alternatives, these new ultra high strength steels are also more eco-friendly to produce. Advancements in lithium extraction technology have also made the process faster and more environment-friendly.

The automotive industry is going through a renaissance. New expectations from consumers coupled with stricter regulations are forcing quick changes to an industry that has moved at its own pace for 100 years. As car manufacturers work to build cars that are safer, more durable, and much lighter, POSCO’s innovations in steel technology provide material solutions that are stronger, lighter, and more durable. Together with POSCO’s work in lithium extraction technology, they have also created more eco-friendly ways to make the rechargeable batteries for electric cars.     

This month, The Steel Wire will continue to look at how POSCO is driving the future of the automotive industry with its new advanced automotive steel solutions.

Take a look at three of the ways transportation is restructuring itself for faster, more sustainable travel. Some are closer to realization than others, but all of them are changing the way we think about movement. When realized, all of these ideas will have an impact far beyond what we can see now.

The Hyperloop – Fast & Frictionless

An Idea by Elon Musk

In 2013, Elon Musk came up with the idea for the Hyperloop as he grew frustrated with the high-speed rail being developed in California at that time. He called it “both one of the most expensive per mile and one of the slowest in the world.” Musk said, “It would be great to have an alternative to flying or driving, but obviously only if it is actually better than flying or driving.”

He imagined capsules, zooming by at speeds faster than any train or plane, that would allow him to get to San Francisco from LA in 35 minutes. The basic concept was that the capsules would float through partially evacuated steel tubes propelled by fans and electromagnets. Because there would be less friction from air and rails, there could be significant increases in speed and durability, while decreasing reliance on fuel at the same time.

Workers install Hyperloop’s stator blocks at our test and development site in North Las Vegas. (Photo courtesy of Hyperloop One)

Because Musk was so involved transforming the space industry with SpaceX, the auto industry with Tesla, and the energy industry with SolarCity, he did not seem to have much time for Hyperloop. So, he developed a 58-page outline of his ideas and left it to others to develop. And they have.

Hyperloop One Unveils Testing Site

To fulfill this improbable dream, a handful of startups have stepped in – one of them being California-based Hyperloop Technologies. They have been building a test site, called DevLoop, 30 minutes outside of Las Vegas in the Nevada desert that was unveiled last week to the public. According to their press release, DevLoop is a 500-meter full-scale Hyperloop test structure weighing over one million kilograms. The Hyperloop One tube measures 3.3 meters in diameter and they are expected to perform their first full test sometime in the first half of 2017.

Hyperloop unveiled its first test site, the DevLoop on March 7. Later this year, they will run their first test of the Hyperloop. (Photo courtesy of Hyperloop One)

In November, Hyperloop Tech signed an agreement with the Dubai Roads and Transport Authority to evaluate building a Hyperloop between Dubai and Abu Dhabi. When completed, a commute that once took several hours will take just 12 minutes.

All parties involved realize the costs are going to be high. Creating a new form of transportation infrastructure is not simple and building large steel semi-vacuum tubes over ground (or under) is technologically difficult requiring trained engineers and highly skilled workers. To offset this, Hyperloop Tech is focusing some of its energy in attracting industrial freight clients.

The Future of Freight

One of Hyperloop Tech’s Transportation Economists, Dapeng Zhang, recently presented on transformational freight explaining that their “vision at Hyperloop One is to connect cities into mega-regions, and turn metro areas into metro stops. This will inevitably improve the efficiency of freight supply chains. By connecting two distant metros, Hyperloop One creates a geographical cluster which could help reduce inventory costs, promote even more just-in-time strategies, and expand same-day delivery service areas.”

A Hyperloop steel tube awaits entry into the tube processing building, where they are painted and prepped for use. (Photo courtesy of Hyperloop One)

Whether or not this is completely feasible is still up for debate, but it is exciting to see the strides being made in this type of supersonic transportation technology. Other developments such as electric cars, autonomous vehicles, and SkyTran (below) will help us move short distances, but ideas like the Hyperloop are needed to connect the larger metropolitan areas.

SkyTran – Personal Rapid Transit

Apart from the Hyperloop and autonomous driving technology, other personal mobility developments are being made. One of those is SkyTran, a company working to develop a personal rapid transit system that carries people in autonomous pods. Located near Mountain View, California, SkyTran has focused its efforts on relieving congestion in cities by creating a system that rides on an elevated monorail. It is both quick and efficient, and unlike the Hyperloop, it is nearing completion with plans to open in Israel, Nigeria, and France.

This concept image shows a drop-off point for one of SkyTran’s capsules. (Photo courtesy of SkyTran)

Using what is called maglev technology (magnetic levitation), the SkyTran uses electromagnets (similar in concept to the Hyperloop) to propel itself forward (up to 155 mph) while using little to no electricity. SkyTran says that when the pod reaches 10 mph, it can continue to glide and accelerate without any extra power. SkyTran’s CEO says the pods can on the same amount of electricity as two hair dryers.

SkyTran capsules are elevated above the city streets avoiding traffic and giving them the freedom to move at high speeds. (Photo courtesy of SkyTran)

In addition to being highly efficient to operate, SkyTran benefits in its low upfront costs. Unlike the Hyperloop, which requires rather large infrastructure and maintenance costs to ensure proper functionality of the pipe’s vacuum and propulsion system, SkyTran is projected to be a much more economic option. Because the system is set up above the streets, its footprint is small – requiring only an 18-inch steel pole to hold the steel and aluminum capsules.

The company estimates that it will only cost about USD 13 million per mile to build, compared to a subway system that can cost around USD 160 million for the same distance. Because of the low upfront costs, SkyTran believes that malls, hotels, and other private businesses will want to build their own offshoot lines – not only for their customers but because it will be profitable.

POSCO’s Advanced Auto Steel in Future Cars

Autonomous, connected, electric. These are the common buzzwords that come to mind when we think about future trends in personal transportation. At CES earlier this year, seemingly everyone had their own solution to made driving cars more connected and safer, and with less human involvement.

Nissan and BMW unveiled plans to use Microsoft’s personal assistant technology, Cortana, with their cars. Honda became the first major manufacturer to develop an electric concept car specifically designed for ride-sharing. And as for self-driving cars – Nissan announced it would bring autonomous driving support to its Leaf electric car, Hyundai introduced one that would be affordable enough for the masses, and Audi announced a partnership with Nvidia to bring self-driving cars to market by 2020.

At the 2016 North American International Auto Show (NAIAS), POSCO showcased its advanced automotive steel products that are both strong and lightweight, making them uniquely suited for the electric cars of the future.

The weight of POSCO’s advanced auto steel is about 26.4 percent lighter compared to that used in most mid-sized vehicles. But despite being lighter, it received the highest level possible ratings from Europe and North America’s automobile collision evaluation Institute, Euro NCAP and IIHS.

In addition, the Life Cycle Assessment (LCA), which measures the amount of CO2 discharged throughout the entire life cycle from material production to recycling, showed that emissions from the internal combustion engine body were 50 percent lower. Electric car emissions were also decreased by about 9 percent.

POSCO’s advanced auto steel is uniquely developed to be lighter and stronger for the cars of the future

The displayed products included the new PosM Steel and hot press forming steel (HPF). PosM Steel is a “dream material” for car manufacturers because it is five times stronger than other steel in terms of machinability while also having an impact absorption of up to 100 kg per mm². While many steelmakers have been developing PosM Steel type steel, it has never been produced on a commercial scale before. In addition, POSCO’s HPF steel is stronger than many other steel alloys making it a good solution for manufacturers looking to improve car safety.

POSCO currently supplies advanced auto steel sheets to car and component manufacturers, including Toyota, Volkswagen, and GM. POSCO has 10 automobile production plants and 24 machining centers around the globe. In addition to providing its World Premium Products, POSCO also provides Solution Marketing services that offer customized technologies developed in-house (such as welding and molding) that are customized to fit a customer’s unique needs depending on the product and manufacturing process.

Innovations in the transportation industry require big ideas, big investments, and new technological advancements. Right now, all of these seem to be coming together for what is expected to be some big changes. If the investors at Hyperloop and SkyTran have their way, pretty soon we will be able to travel across Europe on a Hyperloop, transfer to a SkyTran, and arrive in our hotel in less than an hour.

*Cover photo courtesy of Hyperloop One.

Advancements in electric cars, autonomous driving, car connectivity, and AI were on full display. Nissan and BMW unveiled plans to use Microsoft’s personal assistant technology, Cortana, with their cars. Honda became the first major manufacturer to develop an electric concept car specifically designed for ride-sharing. And as for self-driving cars – Nissan announced it would bring autonomous driving support to its Leaf electric car, Hyundai introduced one that would be affordable enough for the masses, and Audi announced a partnership with Nvidia to bring self-driving cars to market by 2020.

With all of the focus on electric cars and autonomous driving, it is easy to forget the basic building blocks that are needed to make these cars a reality. As Toyota Research Institute CEO Gill Pratt noted at CES, “Historically humans have zero tolerance of death by machine,” and for further adoption by the public, safety must be reinforced in autonomous vehicles. Increased safety in cars often goes hand-in-hand with heavier materials that can withstand more pressure. However, the push for more fuel efficient electric cars is pushing the industry to build with more lightweight components.

Car manufacturers are working to find the right balance between strength, weight, and price. The EPA has estimated that reducing a vehicle’s weight by 45kg (100lbs) will improve fuel efficiency by 1%, and while more lightweight materials do exist in aluminum and magnesium, they are often too cost-prohibitive for general use.

POSCO Body Concept Electric Vehicle

POSCO’s PBC-EV is both safe and lightweight

On this front, POSCO has been working to develop solutions for car manufacturers. The PBC-EV, or POSCO Body Concept Electric Vehicle, is one product of that research as POSCO sought to create a lighter car with the same strength and safety that is expected in today’s modern car market. POSCO focused on two main points when developing this lightweight car body. The first was the application of a combination of POSCO’s most advanced steels including TRIP, PosMCT950E, and PosMCT980B. Secondly, POSCO optimized existing construction methods and worked to introduce new techniques in order to both lighten and strengthen the body of the automobile. With its PBC-EV, POSCO was able to reduce weight by 26% while still maintaining the highest levels of body strength.

Magnesium technology

POSCO materials were used in the design of Renault’s EOLAB concept car

Many in the auto industry are setting their sights on magnesium as the future of car manufacturing. Magnesium can be easily molded and it is both lightweight and strong. Due to its high price, car makers have not fully embraced the move to magnesium yet, but POSCO is already preparing for this probability. Last month, POSCO’s World Premium Materials (WPM) – Magnesium Business Division organized a seminar with industry experts and automotive engineering students to discuss the future of magnesium in car manufacturing. Experts in magnesium, molding, bonding, and surface treatment were invited to speak about the application of magnesium technology in automobiles and students gave presentations on their own experience developing race cars.

Even though cars have been around since the late 19^th century, new ideas continue to force the industry to adapt and change. And whether it is optimizing existing manufacturing processes or working to utilize technologies for the future, POSCO remains committed to finding innovations in the auto industry.

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The use of lithium is soaring. It’s gone from 70,000 tons in 2002 to 170,000 tons in 2014, and some estimate that could grow to 470,000 tons by 2025. And with that surging demand, POSCO has identified lithium as a major product for the company’s future business growth.

“POSCO is accelerating the lithium material industry after lithium was selected as the new growth business that will lead the future of the company,” said CEO Ohjoon Kwon when he became the head of POSCO in 2014. “If steel is the ‘rice’ of the current industry, lithium will take on that role in the future.”

What Is Lithium?

For such a common element, most people don’t know a lot about lithium. The soft, silver-white metal is the third element on the periodic table, making it the lightest metal and least-dense solid element. It is found commonly around the Earth, but because it is highly reactive, it is rarely found in a pure, elemental form, and instead is present in very low concentrations in sea water, in rock in the Earth’s crust (especially granite), and in brines and salt lakes.

Importantly, lithium is also very energy-dense—in fact, it has twice the energy density of the next closest alternative—making it a great option for portable energy storage applications.

Lithium, however, is quite difficult to extract. In the past, it was gathered on large salt farms, and required months for the water to evaporate, leaving lithium salts behind. But in 2010, POSCO (with support from the Ministry of Trade, Industry and Energy) developed a high-efficiency technique for extracting lithium from water. Instead of a large and slow evaporation process, POSCO uses a chemical reaction to extract the lithium more quickly. It also increased its extraction capabilities to 200 tons per year.

Now POSCO is expanding its lithium processing even more, opening a cutting-edge lithium processing plant at Pozuelos Salt Lake in Argentina this year. Built high in the Argentine mountains, some 4,000 meters above sea level, the new plant had a groundbreaking ceremony on February 14, and once operational later this year it will boost POSCO’s annual lithium production to 2,500 tons.

Lithium in IT Gadgets

Lithium is a key element in lithium-ion batteries, which power many of our most popular devices, including mobile phones and laptops. Lithium-ion batteries can generate a 3 volt charge in each cell, much more than lead-acid and zinc-carbon cells, meaning it can provide more power more efficiently.

For portable devices, like mobile phones, size and weight are at a premium, so being able to contain more power means being able to create smaller and more useful mobile gadgets. Lithium-ion batteries are also commonly used in portable power tools, like drills, saws and lawn trimmers.

In addition to the success of lithium-ion rechargeable batteries, regular lithium batteries are also in high demand, often used in such devices as pacemakers, cameras and watches.

Lithium for a Green Future

Beyond gadgets, lithium-ion batteries are a big part of the future of green energy. Solar, wind and other renewable energy sources are important, but you still need an energy storage device to store that power between peaks and valleys.

In particular, they are at the heart of the latest developments in electric cars, like the very popular Tesla cars. And as an electric car usually requires around 40 kilograms of lithium for its lithium-ion battery, that adds up quickly. In fact, Goldman Sachs estimates that the amount of lithium needed for electric car batteries will go up 11-fold over the next nine years.

But the eco-friendly applications don’t stop with cars. Motorcycles, large-scale residential facilities and industrial facilities are all increasingly using lithium-ion batteries, too.

POSCO Leads the Way Toward a Lithium Future

“With the supply of electric cars and the development of smart grid technology, the market is expected to result in massive growth,” noted CEO Kwon. “In order to raise competitiveness of the domestic secondary cell industry, it is crucial to develop lithium resources along with localizing core material.”

Pozuelos Lake, where POSCO is building its new processing facility, covers 106 square kilometers, and has an estimated 1.5 million tons of lithium reserves. That’s enough for millions of large-scale lithium-ion cells, which is good news for the environment and our planet.

1. POSCO Announces New Steel Sheets at Detroit Motor Show

POSCO became the first-ever steelmaker to attend the North American International Auto Show. From January 11 to 24, POSCO revealed many of its automotive-related steel products, such as twinning-induced plasticity steel, hot press forming steel, 1GPa-TRIP and PosM-XP. POSCO already supplies automotive steel sheets to many of the world’s leading automotive and component manufacturers, and has been named “This Year’s Supplier” from leading companies like Toyota and GM.

2. POSCO Ranks as 40^th Most Sustainable Corporation in the World

The 2016 Global 100 Most Sustainable Corporations report by World Index ranked POSCO 40th, making it the only steel company in the world to make the list. Announced at the World Economic Forum in Davos, Switzerland, the list examines 12 key performance indicators to come up with the ranking, rating companies for R&D innovation, energy efficiency, governance and more. Coming in at 40^th, POSCO was the second-highest ranked Korean company, beating many of the world’s biggest businesses, like GE and Apple, despite the market difficulties faced last year.

3. POSCO Expands Lithium Manufacturing Business

POSCO President Ohjoon Kwon led a groundbreaking ceremony in Salta, Argentina on February 14 for a commercial lithium processing plant. The lithium processing plant will be located at Pozuelos Salt Lake, 4,000 meters above sea level, with the capacity to produce 2,500 tons of high-purity lithium annually. Lithium, which is a key element in many important technologies, such as electric car batteries, was identified by POSCO in 2010 as a main business in developing production technologies. With world lithium market has increased from 70,000 tons in 2002 to 170,000 tons in 2014 and with the growing popularity of electric cars is expected to reach 270,000 tons by 2020.

4. POSCO’s Stainless Steel (STS) Use for Membrane-Type LNG Carriers

Beginning in February, POSCO began supplying all the stainless steel for membrane-type Liquefied Natural Gas (LNG) carriers being produced by Korean Gas Corporation. Membrane-type carriers refers to ships that use a single, non-cylindrical tank to hold their LNG cargo, making them more efficient and economical. Korea Gas Corporation developed its own membrane design technology in 2014, so POSCO does not have to pay any royalties abroad for the important new design.

5. POSCO E&C Awarded $650 Million Project in Panama

POSCO E&C signed a major deal with AES Corporation, a U.S.-based power company, to construct a combined cycle power plant and gas terminal in Colon, Panama. The plant will have a power generation capacity of 380MW, the largest in Panama and enough to supply up to 15 million households. The gas terminal will have a storage capacity of 180,000 m³. With the $650 million Panama deal, POSCO E&C has achieved about $5.6 billion in orders in Latin America over the past decade, making the company a major player in the energy plant market in the region.

As you can see, POSCO has started 2016 with a bang, with a wide range of exciting new projects all over the world, in steel, energy, sustainability and other fields. It’s an exciting start to the year, and a sign of even more exciting things to come.

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POSCO CEO Ohjoon Kwon, fourth from left, with company executive during a ceremony to mark the construction of the steelmaker’s lithium processing plant in Salta, Argentina, February 14 (local time)

“We have brought our advanced and environmental-friendly technology to extract and process lithium,” said Kwon at the ceremony. “We will continue to expand our operations in Argentina and boost cooperation with our partners here to create a win-win solution for all.”

POSCO’s lithium processing plant will be located at Pozuelos Salt Lake, which rises 4,000 meters above sea level. It will have an annual processing capacity of 2,500 tons of high-purity lithium for rechargeable batteries, and will supply them to domestic and international mineral manufacturing enterprises that produce minerals for car batteries. Considering the fact that it takes an average of 40 kilograms of high-purified lithium to make a single electric car battery, this equates to about 60,000 electric cars a year.

Pozuelos Lake, which spans 106 square kilometers and is estimated to have about 1.5 million tons of lithium reserves, is considered to be an optimal location to produce lithium.

Pozuelos Salt Lake is considered to be an optimal location for producing lithium. POSCO plans to extract and process about 2,500 tons of lithium annually after completing the construction of the plant here by the end of this year.

Earlier this year, POSCO signed a supply contract with Lithea Inc. of Argentina, the company owning the mining rights of Pozuelo Salt Lake and securing the stable permissions to access the lake. POSCO also set a solid foundation for entering the lithium business through developing an independent technology that is economically-friendly.

The Pozuelo Salt Lake plant will use POSCO’s innovative and independent technology that dramatically reduces the lithium extraction period, which usually takes more than a year, through chemical reaction.

POSCO’s high-efficiency lithium extract technology, which was developed with support from the energy resource technology development project led by the Ministry of Trade, Industry and Energy in 2010, does not require a large area of salt farm compared to the conventional evaporation and extraction method, and is less affected by changes in climate. Moreover, since there is very little loss when extracting lithium, it is possible to extract the same amount of lithium, compared to the conventional process, even by using a less amount of salt water. Therefore, POSCO’s high-efficiency lithium extract technology is an economical and environmental-friendly technology.

POSCO’s lithium business is one of the main businesses that has taken the lead in developing production technologies since 2010, when POSCO CEO Ohjoon Kwon was the Director at the Research Institute of Industrial Science & Technology (RIST). Since the development of the company’s high-efficiency lithium extract technology in 2010, POSCO has been beefing up pilot production from 2 tons to 200 tons, while examining the economic viability of the technology.

The world’s lithium market has grown from 70,000 tons in 2002 to 170,000 tons in 2014, and is a promising market that is projected to grow to 270,000 tons by 2020. Of this, the lithium market for electric car batteries, which will be produced by POSCO, is expected to be 135,000 tons, accounting for half of the entire market. Nonetheless, the Korean battery manufacturers that depend entirely on lithium imports are currently suffering from unstable supplies and price hikes.

With an increase in sales of electric cars worldwide including China, which is aiming to further promote electric cars across the nation, the lithium industry is welcoming POSCO for its new lithium business. Due to the recent shortage of lithium supplies and price increases, global battery manufacturers are already starting to discuss the possibility of lithium supply contracts with POSCO.

Meanwhile, CEO Ohjoon Kwon had an exclusive meeting with Mauricio Macri, the president of Argentina, on February 15 following the ceremony marking the construction of the steelmaker’s lithium processing plant in Argentina. Kwon discussed POSCO’s excellent lithium extract technology and the technology development process. He also talked about future plans for building a consistent and cooperative relationship with Argentina for lithium development.

POSCO Lithium Business Progress

2010: Development of the world’s first independent lithium extract technology using chemical reaction

2011: Establishment and operation of pilot production facilities with RIST (Annual Capa: 2 tons)

– Process aim was 100% achieved and qualification process for enlargement was completed

2013: Completion of pilot production at Maricunga Salt Lake in Chile (Annual Capa: 20 tons)

2014: Completion of pilot production at Pozuelos Salt Lake in Argentina (Annual Capa: 20 tons)

2015: Completion of pilot production at Cauchari Salt Lake in Argentina (Annual Capa: 200 tons)

2016: Start of construction of lithium processing plant at Pozuelos Salt Lake in Argentina (Annual Capa: 2,500 tons); Projected to complete construction and begin production this year

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Could the next generation of drivers have an iCar sitting in their driveway?

The future of the car market is heating up, with Apple recently rumored to be building its own electric car. The iPhone maker has hired 200 staff members to build its own kind of vehicle by 2020, according to Bloomberg.

If Apple does enter the market, it will also face another tech competitor, Google, which has been investing in creating a self-driving car since 2010. And beyond Silicon Valley, both of the tech companies will also have to compete with Tesla Motors and luxury brands like Mercedes-Benz and Audi.

With everyone in the mix, the car of the future can be anyone’s guess.

POSCO’s research team predicts the lightweight steel will make its way into the car of the future. The research team developed new steel materials that can significantly improve gas mileage of automobiles by reducing their weight by 15 percent. Car manufacturers are currently experimenting with lightweight steel to increase fuel mileage and reduce emissions. The new steel will not only enhance passenger safety but will provide remarkable strength.

With burgeoning trends making their way into the cars of today, we can gather that a few standout features will come standard in the years ahead. Here is a list of the top six companies revolutionizing the car market of today.

Luxury meets tech: Mercedes-Benz F 015 concept car

Source: Forbes

While Mercedes-Benz’s F015 is only a research experiment of what cars in the future might look and drive like, the results are truly stunning. With a sleek exterior that beautifully reflects its environment, the self-driving car has a great balance of luxury and convenience.

According to Car and Driver magazine, the body of the car used aluminum, high-strength steel and other composite materials.

Car manufacturers have been seeking to lighten car bodies through increased use of lightweight alloys such as aluminum, rather than steel, which has a high density. However, reducing density through an increase in aluminum content within steel leads to the creation of intermetallic compounds, which has the disadvantage of making the steel rather easy to break.

POSCO’s new materials provide 50 percent enhanced strength with features that are light and soft. This means they are not easy to break when transforming compared to other low-density materials which have been studied in the past.

The use of lightweight steel also opens up opportunities for manufacturers to incorporate more tech into cars to make them an immersive living experience.

Form follows function: Google’s self-driving car

Source: Google Self-Driving Car Project

On an entirely different spectrum, Google has used functionality as a focal point for its new self-driving prototype. The pint-size car is a drastic turnaround from the gas guzzlers we’ve seen on the road. As personal cars reduce in size and shape, POSCO’s role will increasingly be affected. Smaller cars also need strength, but they can’t be heavy.

Luckily, the steelmaker’s new materials will be a great fit for the new Google car. With a production cost that is one-tenth compared to titanium and a reduction of auto weight by 15 percent, POSCO’s new steel is both cost-effective and light — and still provides excellent strength.

But while the tech company has been testing the car on the roads of California, it won’t be available for commercial use until 2020.

The autonomous car uses years of Google’s Maps technology to drive passengers comfortably and safely around town. It features two seats with plenty of leg space in the front and has a “stop” button. The car itself can only go 25 miles per hour (40 kilometers per hour), but Google plans to increase that speed in the future — maybe even going up to 100 miles per hour. 

Apple’s “Titan” project

Source: Concept iCar design by Franco Grassi

Could we be looking at the new Apple car? It might be too soon to say, but what we do know is that the iPhone maker has launched a project with some 200 employees who have previously worked for hybrid and electric car companies.

Many news organizations and experts have pointed out that Apple might not be ready to go from manufacturing gadgets to producing full-blown vehicles.

Yet if the car does go on the market, it will definitely need steel. As Investopedia pointed out in its article in May last year, “cars will always need steel, glass, an interior, a drivetrain and some form of human interface.” This bodes well for POSCO, whose lightweight, high-strength steel will always be in demand.

But it’s not as though Apple hasn’t entered the game with smartcar tech already. Just like Google, Apple plans to have its smartphones integrate with car consoles using its CarPlay platform. Passengers will be able to use the iOS system right in their in-dash touchscreens.

Practical and all electric: Nissan Leaf

Source: Wikipedia

Unlike all of the rumored vehicles and concept cars, Nissan has already released an electric vehicle that has been sold to about 40,000 buyers. It is entirely electric and is supported by a lithium-ion battery.

As part of its eco-concept design, the Nissan Leaf used recycled steel for its body. As we know already, steel has incredible recycle potential. The same steel can be used about nine times throughout the material’s life cycle. The Nissan Leaf is a great example of how steel fits into the new eco-friendly era.

Also, when drivers slow down, they’re actually helping to regenerate power. The car’s regenerative braking system helps store that power in the battery

Powerful and eco-friendly: Tesla Model S

Source: Uncrate

Car manufacturer Tesla has been at the forefront of the changing car landscape since the beginning.

The combination of luxury and eco-friendly almost seemed like oil and water before Tesla developed its lineup. And it keeps getting better. For example, the Model S P85D surpasses expectations that electric vehicles are shy, slow-moving creatures. The car goes zero to 60 miles per hour in 3.2 seconds, rivaling the Porsche 911 Turbo.

The Tesla Model S uses sheets of aluminum to reduce weight. Another alternative to reduce that weight is to use low-density steel, which also provides strength thanks to its use of intermetallic compounds.

High-end and supercharged: Audi R8 e-tron

Source: Wikipedia

Audi’s R8 e-tron electric car is truly mesmerizing. The all-electric had a profound effect when it was unveiled this month at the Geneva Auto Show, Europe’s biggest auto event. Audi is traditionally known as a luxury brand, and its jump into the electric market certainly raised some eyebrows.

The Wall Street Journal reported that the R8 is made of lightweight aluminum and carbon fiber. In fact, carbon fiber-reinforced plastics are traditionally used in sports cars, which is one of the reasons why they’re so fast.

The fact that the Audi is entering the electric car market offers the possibility that luxury cars will also be electric in the future. And with the introduction of electric cars, weight will also need to be reduced — another reason why POSCO’s new steel can help automakers achieve their weight goals.