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Electronics Production | April 03, 2008

Factory fire causes battery shortage

A fire at LG Chem’s battery factory last month has caused a shortage of lithium-ion batteries.
The fire caused the temporary closure of the facility in Ochang, South Korea. This resulted in a shortage of batteries used in laptop computers, which consequently resulted in higher battery pack prices. Company officials stated that the plant could be shut down for at least two or three months.

LG Chem has two rechargeable battery plants in South Korea. The production capacity of the Ochang plant lies at 13.5 million cells each month – around 50% of the company’s total production capacity of 23.5 million rechargeable battery cells.

LG Electronics however said that their production of laptop computers won’t be affected by this. Dell Computer says that the company experiences the shortage of laptop batteries and is working with other suppliers to limit price increases.
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