LG Group stock rebound stalls as EV demand slows

LG Group is losing momentum for a potential stock rebound as its battery and petrochemical units face weak outlooks.

Shares of LG Energy Solution fell about 12% over the past three months through March 16 amid a prolonged slowdown in EV demand.

LG Chem slipped into an operating loss last year and has begun voluntary retirement programs; its shares have fallen about 17% in the past three months

HD Hyundai Group is nearing LG Group’s market value after gains by its affiliates.

🔗 Source: The Korea Times

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LG is reallocating capacity from EV batteries to energy storage to counter the slump

Slower electric vehicle demand pushed LG Energy Solution’s 2025 consolidated revenue down 7.6% year on year to KRW 23.7 trillion 1.
LG Energy Solution is shifting production lines between EV packs and energy storage systems (ESS) to curb fresh spending, raise plant usage, and move more global capacity into ESS battery output 1.
The company expects global ESS installations to grow more than 40% year on year in 2026, with North American demand tied to data-center spending and clean energy investment tax credits (ITC) 1.
LG Chem, the largest shareholder of LG Energy Solution, will sell its aesthetics business. LG Chem said the proceeds will support financial soundness, including paying down borrowings or funding investments 2.

U.S. pressure on China is boosting Korean shipbuilders

Washington’s plan to charge steep port fees on Chinese-built vessels entering the United States coincided with China’s shipbuilding orders falling 35% in 2025, while South Korea’s rose 8%, according to The Rio Times citing Clarksons Research (a shipping industry data firm) 3.
The shift helped HD Korea Shipbuilding & Offshore Engineering (a shipbuilding holding company within HD Hyundai) post record 2025 revenue of 29.9 trillion won and operating profit of 3.9 trillion won, almost triple the prior year, according to The Rio Times 3.
HD Hyundai Heavy Industries said it plans to merge with affiliate HD Hyundai Mipo as it aims for a larger share of the U.S. shipbuilding market tied to South Korea’s shipbuilding cooperation push called “Make American Shipbuilding Great Again (MASGA)” 4.