South Korea's LG Chem said it plans to invest 10 trillion won ($8.7 billion) by 2025 to accelerate the sustainable growth of its battery materials business and other business lines. This marks a shift toward a more environmentally friendly approach, as LG joins other Korean industrial giants.

The company said that it would invest 6 trillion won in expanding its battery material production line and 3 trillion won to produce environmentally friendly petrochemicals. The rest of the investment will go to LG's life sciences business.

LG Chem CEO Shin Hak Cheol said at a press conference in Seoul, "This is the most innovative change in the company since its establishment and will further enhance value and sustainability. From the second half of this year, we will be able to see tangible results."

LG Chem's investment in its battery materials business comes when market demand for electric vehicles is soaring. ​The company expects the battery materials market to grow to about 100 trillion won by 2026, up from 39 trillion won in 2021.