Press Release, 23 December 2025
LG Innotek has introduced what it calls the world’s first next-generation smart IC (integrated circuit) substrate, a key component used in smart cards like credit cards, electronic passports, and USIMs. This new substrate stands out by significantly cutting the carbon emissions generated during production by about 50% compared with conventional versions thanks to a novel material that eliminates the need for precious metal plating, such as palladium and gold.
The environmental benefits are striking: the company says the reduction in emissions is equivalent to removing roughly 8,500 tons of CO₂ per year akin to planting about 1.3 million trees annually. By doing away with the traditional plating process, not only does the substrate become more sustainable, it also reduces reliance on expensive metals whose mining is greenhouse-gas intensive.
Beyond its green credentials, the new smart IC substrate also boasts around three times the durability of existing products. This means smart cards made with it should suffer fewer errors in information reading over long periods of frequent contact, improving reliability for users and downstream manufacturers alike. With tighter environmental regulations in regions like Europe, LG Innotek expects this innovation to give it an edge in global markets that increasingly value sustainability alongside performance.
LG Innotek began mass production in November, tailoring the product to meet the needs of major global smart card manufacturers, and is actively pursuing patents in the United States, Europe, and China. The company also says it holds about 20 domestic patents related to this substrate technology and plans further overseas promotional efforts to broaden its customer base.
According to company leadership, the product not only aligns with customer environmental, social, and governance (ESG) goals, but also delivers a competitive technological edge in a rapidly growing smart card market.
Compiled using AI
