SEOUL, Sept. 5 (Korea Bizwire) — SK Enmove Co., the lubricant-making unit under South Korea’s SK Group, said Tuesday it will focus on the development and manufacturing of energy-efficient fluids for use in electric vehicles (EVs) and data centers as part of its next growth drivers.
SK Enmove unveiled its new brand for all e-fluid products, ZIC e-FLO, vowing to become a top company in the burgeoning energy efficiency market, estimated to be valued at 54 trillion won (US$40.9 billion) by 2040.
SK Enmove, a subsidiary of SK Innovation Co., has been pushing to reshape its business areas and product portfolios amid a rapid electrification trend across the automotive industry.
Formerly known as SK Lubricants, a manufacturer mainly engaged in making premium lubricant oil for conventional vehicles, the company changed its name to SK Enmove in December last year in an effort to promote the new identity as an energy saving-focused company.
“We will open a new market for the energy efficiency industry, as well as the engine oil market,” SK Enmove CEO Park Sang-kyu said during a media event.
“We will be transformed into a ‘future company,’ in the global lubricant market, beyond being the No. 1 company,” Park said.
EV lubricants are one of its primary focuses, Park said, dismissing the view that the demand for lubricant oil will falter in the EV era.
“That is a hasty judgment,” Park said.
“EVs also need a dedicated lubricant that cools motors and reduces the friction resistance of gears to enhance energy efficiency, and SK Enmove is leading the EV lubricant oil market with an edge in competitiveness in raw materials and technologies,” he said.
SK Enmove is also bolstering the thermal management segment as a future growth driver.
Thermal management involves installing a liquid cooling system in large energy-consuming devices to keep them under optimal conditions for operation.
SK Enmove’s liquid immersion cooling (LIC) technology comes with an engineered thermal fluid into which data servers are directly submerged, enhancing cooling efficiency by 30 percent compared with existing air-cooling methods, the company said.
In August, SK Enmove announced a partnership with Dell Technologies and GRC, a U.S.-based firm specializing in data centers for LIC businesses, to further develop the LIC technology and establish a channel for after-sale services.
SK Enmove said it will also continue to expand its foothold in the lubricant oil market for internal combustion engines, with India being a primary focus given the growth projection of as much as 6.6 percent annually for conventional vehicles.