LG Energy's third-quarter profit significantly exceeded expectations, with the US tax credit policy playing a key role.

South Korean battery manufacturer LG Energy Solution Ltd. announced its preliminary financial report for the third quarter, showing that its profits exceeded market expectations thanks to the American tax incentives policy. The company stated in regulatory filings on Monday that the operating profit for the three months ending September 30 was 601.3 billion Korean won (approximately 4.213 billion USD), higher than analysts' estimate of 509.7 billion won. LG Energy Solution stated that excluding the impact of American tax incentives, the operating profit would be 235.8 billion won. In addition, the company's quarterly revenue decreased by 17% year-on-year to 57 trillion won. The final financial report is expected to be released later this month. In response to this news, LG Energy's stock price rose by 1.3% in early trading, while the South Korean composite stock price index (Kospi) fell by as much as 2.4%. At this time of performance announcement, LG Energy's accelerated expansion plans in the US face challenges - whether they can obtain enough work visas to support the construction of new electric vehicle battery factories remains uncertain. In September, US immigration authorities conducted a surprise inspection at LG Energy and Hyundai Motor's joint venture factory in Georgia, USA, detaining over 300 South Korean employees. This incident, occurring as the US and South Korea were finalizing a trade agreement reached in July, has sparked diplomatic tensions between the two countries.