LG Energy Solution, Honda To Establish Battery Plant In The U.S.

(RTTNews) - LG Energy Solution and Honda Motor Co., Ltd. (HMC) have reached an agreement to establish a joint venture company to produce lithium-ion batteries in the U.S. to power Honda and Acura EV models for the North American market. The companies will invest a total of $4.4 billion and establish a new JV plant in the U.S. The plant targets to have an annual production capacity of approximately 40GWh.

The joint venture is estimated to be established in 2022. The companies plan to begin construction in early 2023, in order to enable the start of mass production of advanced lithium-ion battery cells by the end of 2025.

LG Energy Solution, a split-off from LG Chem, is a global manufacturer of lithium-ion batteries for electric vehicles, mobility, IT, and energy storage systems.