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LG Chem and China’s Zhejiang Huayou Cobalt will set up two Chinese joint ventures to produce cathode materials for batteries. One, 51% owned by Huayou, will be capitalized at $160 million and produce cobalt-based precursors for cathodes. The other, 51% owned by LG, will be capitalized at $285 million and produce cathode materials. Huayou supplies a range of basic materials made with cobalt. Amnesty International has accused Huayou of sourcing its cobalt raw materials from suppliers in the Democratic Republic of Congo that employ child labor.
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