– More eco-friendly and more economically feasible than the existing recycling system.
– It plans to continuously promote the new eco-friendly recycling business.

▲ Hyundai Corporation’s 578kW Solar Power Plant II in Mimasaka, Okayama Prefecture, Japan
(Photo = Hyundai Corporation)

 

Hyundai Corporation (HC) has gained a stake in German PV (photovoltaic) recycling company Flaxres. Building on its accumulated experiences in the solar module business and solar farm development, it has made inroads into the recycling market. Promoting the recycling sector as a new industry, it plans to break away from its trading-centered business structure.

According to worldwide news sources, including PV Magazine, Hyundai Corporation bought a minority stake worth several hundred million dollars in Flaxres on January 24.

Flaxres, which was founded in 2017, is a solar module recycling specialist. It has developed and patented a high-temperature short-time thermal decomposition technology. The new technology is more eco-friendly and more cost-effective than the existing mechanical fracturing or pyrolysis system, garnering focused attention from the recycling industry. Recognizing its potential for commercialization at the phase of testing, Flaxres has been widely known to foster collaboration with globally renowned recycling firms.

Backed by its investment in Flaxres, HC will expand its business scope to include not only solar module sales and business development but also PV recycling, taking the lead in achieving a circular economy.

Based on its global networks, HC has sold solar modules manufactured by HD Hyundai Energy Solutions. It has also constructed solar power plants. Specifically, in 2017, it established Renewable Lab in Korea, building plants in Wanju, Jeonbuk, and in Nonsan, Chungnam. In Japan, it has built and operated a total of six solar farms to enlarge its global solar business since constructing Hyundai Renewable Lab Japan I (1166kW) in 2019. Both in Korea and Japan, it has operated solar power plants with a combined capacity of 8.5MW and is building a 713kW plant.

Expanding its solar power plant business, it has also advanced into the recycling market. Since it was renamed “Hyundai Corporation” in 2021, HC has actively promoted business diversification. It added energy infrastructure establishment and eco-friendly recycling to its new business portfolio in 2021 and 2022, respectively.

HC has already made inroads into the waste battery market via indirect investment. In November 2021, it invested KRW 5 billion in acquiring a 45% stake in KCA New Growth Sector 2, a private equity fund (PEF). The PEF succeeded in securing funds valued at KRW 11.1 billion to acquire 280,000 redeemable convertible preference shares (RCPS) (a 3.06% stake) from SungEel HiTech.

Solar panel recycling has also attracted HC’s attention. Investments in solar power plants are expected to jump globally, thereby increasing the number of waste panels. Starting in 2027, the number of waste panels is projected to soar. The International Energy Agency (IEA) and the International Renewable Energy Agency (IRENA) forecast that the waste solar panel recycling market will grow to USD 450 million (KRW 600 billion) by 2030.

 

January 25, 2024
The Guru