LG Energy Solution outpaces battery rivals in global sustainability rankings
Korean battery leader LG Energy Solution is being recognized in global evaluations of corporate environmental, social and governance efforts, driven by its accelerated progress toward net-zero operations.
LG Energy Solution announced Monday that it had been named an 'industry mover' by credit ratings giant S&P Global in its annual ESG performance assessment, following an increase of more than 5 percent year-on-year in its score.
Released Feb. 11, S&P's 2025 Sustainability Yearbook evaluated over 7,690 companies on their transition to more sustainable business models and contributions to carbon neutrality over the past year. The yearbook serves as a key benchmark for assessing how well companies are preparing for long-term business sustainability.
In last year's assessment, LG Energy Solution was the only electricity facility company among the 56 industry movers and, for the first time, entered the top 15 percent of the electrical components and equipment sector.
The company received high scores for its climate strategy, driven by a systematic assessment of climate risks and proactive efforts to reduce carbon emissions in line with its phased action plans, which target achieving net-zero emissions across its entire value chain by 2050.
As part of these efforts, the company strengthened its role in supporting partner businesses in reducing emissions and enhanced control over emissions generated throughout its products' life cycle. These initiatives earned the company additional recognition in various ESG evaluation criteria.
In a separate research report released at the World Economic Forum in Switzerland, commonly referred to as the Davos Forum, in January, LG Energy Solution ranked 12th among the global top 100 companies for exceptional sustainability and No. 1 among battery manufacturers.
The assessment, conducted by Canada-based research firm Corporate Knights, surveyed global business giants with annual sales exceeding $1 billion. The evaluation, announced annually at Davos, highlights companies leading in sustainable business practices.
LG Energy Solution was recognized for its energy-efficient production, transition to renewable energy sources, and eco-friendly sales and investments.
'As one of the world's largest battery-makers, LG Energy Solution is at the center of the transition to a net-zero economy,' said Corporate Knights CEO Toby Heaps. 'It has confirmed its global leadership by being selected as one of the top 100 global sustainable companies.'
Beyond its acclaimed ESG efforts, LG Energy Solution plans to accelerate its drive toward carbon neutrality. The company aims to expand its presence in the battery recycling market, establishing a closed-loop circular system to minimize waste from used batteries and regenerate materials for new battery production.
'We will continue to respond agilely and flexibly to changing business regulations and markets,' said an LG Energy Solution official. 'We believe that our ESG management will place us in a leading position to secure sustainable competitiveness and benefit our customers.'
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Korea Herald
5 hours ago
- Korea Herald
Why won likely to stall above 1,300
Widening rate gap with US, trade tensions, weak fundamentals limit further gains The Korean won has been staging a sharp rally, reaching its strongest levels in seven months in June. However, further appreciation beyond the 1,300-per-dollar threshold appears limited as economic headwinds persist. Earlier this year, the won weakening past 1,400 per dollar was considered the 'new normal.' But the local currency has since gained ground, with its average exchange rate in May standing at 1,390.7 won per dollar, dipping below 1,400 for the first time since November. On Thursday, the won closed daytime trading at 1,358.4 per dollar — its strongest level since Oct. 14. The momentum continued in after-hours trading, with the currency quoted at 1,356.5 by the close. The local foreign exchange market was closed Friday in observance of a public holiday. The recent appreciation of the Korean won has been partly fueled by renewed interest from foreign investors in the stock market, who purchased local equities worth 2.2 trillion won ($1.6 billion) following President Lee Jae-myung's election victory on Tuesday. While some market observers expect the won to strengthen further against the greenback, forecasts generally cap gains in the low 1,300 range. For instance, KB Kookmin Bank projects the won could appreciate as much as 1,330 per dollar in June. In contrast, in September, the outlook was more optimistic, with market expectations of the won strengthening toward the 1,200 level — a return to 2022 conditions, when the annual average exchange rate stood at 1,292.2 won per dollar. Expectations for the won to break below 1,300 have since moderated, as structural challenges continue to weigh on the currency, despite the easing of depreciation pressure triggered by political uncertainty. 'While the won may appreciate further in the short term, gains will likely be capped,' said Wi Jae-hyun, an analyst at NH Futures. 'Supplementary budget measures, the resolution of political uncertainty, and a rate cut-driven recovery in domestic demand are expected to provide a floor for the Korean economy. However, uncertainties in exports, stemming from US President Donald Trump's tariff policies, continue to pose a significant headwind to a growth rebound.' Another key factor limiting further appreciation is the widening interest rate gap between Korea and the United States. Following the Bank of Korea's 0.25 percentage point rate cut in May, the key interest rate differential between Korea and the US widened from 1.75 to 2 percentage points. This gap is expected to grow further, as the US Federal Reserve has signaled a continued hawkish stance to curb inflation — in part due to Trump's tariff measures — while the BOK has leaned toward a more dovish approach to support domestic growth. The divergence in monetary policy increases capital outflow pressures from Korea, as investors typically shift toward higher-yielding assets. This outflow puts downward pressure on the won. Experts caution against expecting a major rally in the local currency. 'The current level of the won reflects the country's economic fundamentals. It would not be reasonable to expect a sharp appreciation when the local economy is forecast to remain weak,' an official from the Bank of Korea said. The official added that a weaker won can play a constructive role in an economic slowdown. 'In times of economic downturn, a softer currency can help boost exports and attract foreign investment in undervalued won-denominated assets. While actively depreciating the won to spur growth should be avoided, a weak currency does serve a purpose under such conditions.'
Korea Herald
12 hours ago
- Korea Herald
Seoul uncorks brewery tours, liquor-making classes for foreigners
The city of Seoul will run a brewery tour as well as traditional liquor-making classes catered toward foreign nationals, according to the Seoul Metropolitan Government. The brewery tours, the city government said Friday, will be offered in partnership with Samhae Soju in Mapo-gu and Clown Brewery in Yeongdeungpo-gu, both in western Seoul. Participants can explore the breweries and sample a variety of traditional Korean rice-based alcoholic drinks, including takju — also known as makgeolli, yakju — also known as cheongju — as well as soju. The two breweries will operate tour programs slightly differently. At Samhae Soju, participants will be able to hear detailed explanations and stories behind the traditional liquor while also tasting more than 10 different types. At Clown Brewery, in addition to the explanations and taste tests, participants will be able to experience making makgeolli. The brewery tour will take place every Thursday and Friday, with a participation fee of up to 50,000 won ($37) per person. Traditional liquor classes, on the other hand, will allow visitors to taste, make and buy traditional Korean liquor, all in one place. With a participation fee of 25,000 won per person, this event will take place twice on June 11 and June 25 at the Sool Gallery in Jongno-gu, central Seoul. Those interested in purchasing tickets for the brewery tour must visit the Korea Guide Tour website and buy tickets in advance. Each session will take a maximum of 10 participants on a first come, first serve basis.
Korea Herald
13 hours ago
- Korea Herald
Why Korean won's rally hits wall at 1,300
Widening rate gap with US, trade tensions, weak fundamentals limit further gains The Korean won has been staging a sharp rally, reaching its strongest levels in seven months in June. However, further appreciation beyond the 1,300-per-dollar threshold appears limited as economic headwinds persist. Earlier this year, the won weakening past 1,400 per dollar was considered the 'new normal.' But the local currency has since gained ground, with its average exchange rate in May standing at 1,390.7 won per dollar, dipping below 1,400 for the first time since November. On Thursday, the won closed daytime trading at 1,358.4 per dollar — its strongest level since Oct. 14. The momentum continued in after-hours trading, with the currency quoted at 1,356.5 by the close. The local foreign exchange market was closed Friday in observance of a public holiday. The recent appreciation of the Korean won has been partly fueled by renewed interest from foreign investors in the stock market, who purchased local equities worth 2.2 trillion won ($1.6 billion) following President Lee Jae-myung's election victory on Tuesday. While some market observers expect the won to strengthen further against the greenback, forecasts generally cap gains in the low 1,300 range. For instance, KB Kookmin Bank projects the won could appreciate as much as 1,330 per dollar in June. In contrast, in September, the outlook was more optimistic, with market expectations of the won strengthening toward the 1,200 level — a return to 2022 conditions, when the annual average exchange rate stood at 1,292.2 won per dollar. Expectations for the won to break below 1,300 have since moderated, as structural challenges continue to weigh on the currency, despite the easing of depreciation pressure triggered by political uncertainty. 'While the won may appreciate further in the short term, gains will likely be capped,' said Wi Jae-hyun, an analyst at NH Futures. 'Supplementary budget measures, the resolution of political uncertainty, and a rate cut-driven recovery in domestic demand are expected to provide a floor for the Korean economy. However, uncertainties in exports, stemming from US President Donald Trump's tariff policies, continue to pose a significant headwind to a growth rebound.' Another key factor limiting further appreciation is the widening interest rate gap between Korea and the United States. Following the Bank of Korea's 0.25 percentage point rate cut in May, the key interest rate differential between Korea and the US widened from 1.75 to 2 percentage points. This gap is expected to grow further, as the US Federal Reserve has signaled a continued hawkish stance to curb inflation — in part due to Trump's tariff measures — while the BOK has leaned toward a more dovish approach to support domestic growth. The divergence in monetary policy increases capital outflow pressures from Korea, as investors typically shift toward higher-yielding assets. This outflow puts downward pressure on the won. Experts caution against expecting a major rally in the local currency. 'The current level of the won reflects the country's economic fundamentals. It would not be reasonable to expect a sharp appreciation when the local economy is forecast to remain weak,' an official from the Bank of Korea said. The official added that a weaker won can play a constructive role in an economic slowdown. 'In times of economic downturn, a softer currency can help boost exports and attract foreign investment in undervalued won-denominated assets. While actively depreciating the won to spur growth should be avoided, a weak currency does serve a purpose under such conditions.' silverstar@
