Chinese electric vehicle subsidy policy adjustment, weakening demand for European and American electric vehicles, South Korea's three major battery giants all reported losses in the fourth quarter of last year.

Due to the adjustment of the US electric vehicle subsidy policy and weakening demand for electric vehicles in Europe and America, the three major South Korean power battery giants LG Energy, Samsung SDI, and SK On all reported operating losses in the fourth quarter of last year. Even LG Energy, which was the only one to achieve a profit in the first three quarters, was not spared. South Korean media pointed out that this reflects the grim reality of the deteriorating operating environment in the South Korean battery industry, and there is also uncertainty in the market outlook for this year. On January 17, the South Korean newspaper "Chosun Ilbo" cited industry sources as saying that LG Energy recorded an operating loss of approximately 122 billion Korean won in the fourth quarter of last year. If the advanced manufacturing production tax reduction provided by the United States is excluded, the loss is expected to further increase to 454.8 billion Korean won. During the same period, Samsung SDI is expected to incur a loss of about 300.3 billion Korean won, and SK On is estimated to incur a loss of 200 billion Korean won. South Korean media generally believe that the uncertainty in the policies of the US and European authorities has exacerbated the global electric vehicle brand's "rhythmic adjustment," leading to a decline in the performance of "K-Battery."