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The profit of LG Energy Solution doubled unexpectedly in the second quarter, as the world’s third largest electric vehicle battery producer benefited from the tax credit of Biden, which is set to sclerate back under his successor Donald Trump.

General Motors and Tesla’s South Korean supplier estimated their operational advantage from April to June on Monday, which was won by 152 per cent from the year earlier, 492BN ($ 360MN). This was much higher than the forecast of Win294BN profit by analysts in LSEG estimates. Sales estimated that there has been a decline of 9.7 percent.

Analysts said the company’s American plants produced more battery than expected as car manufacturers appeared to face orders on high tariffs on cars. Take advantage of this LegsBecause it continued to benefit from credit tax credit for clean energy under the reduction in inflation of biden.

Except for the so -called advanced manufacturing production credit, the operating benefits of the second quarter will be estimated only to 1.4BN, LGES, 0.03 percent with its operational benefit margin.

The world’s largest non-Chinese battery producers, LGES, were one of the main beneficiaries of the Biden-era Act, demanding reducing American dependence on Chinese clean energy technology and offered tax breaks for EV procurement and EV technology production.

Some of those subsidies will be scalled back Trump’s comprehensive budget billA $ 7,500 tax credit for buying or leasing consumers will end $ 4,000 credit for the purchase of a used EV. Kim Chul-Zong, an analyst at the Mirae Asset Securities, said, “Scraped tax credit will probably harm EV’s demand.”

However, tax incentives for companies producing and selling EV batteries in the US, such as LGES, will remain intact until 2032. The law also tightens the restrictions on access to the federal tax credit of Chinese and China-investment companies.

“We get relief that AMPC will be maintained and the section has been strengthened on foreign institutions of anxiety, making it more difficult for Chinese companies to take advantage of the tax plan, which is good for us,” said a spokesman of the legs.

According to SNE Research, the use of global EV batteries except China in the first five months of this year increased by 26 percent in the first five months of this year.

The use of LG battery increased by 13 percent at the time, while the use of battery produced by Chinese giant and global market leader Cattle increased by 36 percent.

Estimates of Monday’s encouraging profit increased the company’s shares by 2.4 percent to 318,000, while the benchmark Kospi index changed slightly.

This year, the company’s shares have fallen by more than 8 percent this year on a prolonged decline in EV demand. LGES is expected to release detailed quarterly results at the end of this month.