LG Energy Solution and Honda are establishing a joint venture (JV) to produce lithium-ion batteries for electric vehicles (EV) produced by Honda in North America.

The JV will begin construction of a new battery plant in the US state of Ohia early this year with the goal of completion by the end of 2024 and starting mass production of advanced lithium-ion battery cells by the end of 2025. The plant aims to have an annual production capacity of approximately 40GWh.

All batteries produced by the new JV will be supplied exclusively to Honda plants in North America to power battery-electric vehicles sold in North America.

LG Energy Solution and Honda have committed to investing $3.5 billion ($AU4.9 billion) and creating 2,200 jobs to establish the new production facility. The companies’ overall investment related to the JV is projected to reach $4.4 billion ($AU6.2 billion).

LG Energy Solution is one of the world’s largest providers of electric vehicle battery technology. The company produces the Ultium system in partnership with GM, which is the foundation for GMs EV products, and also has joint ventures with Stellantis and Hyundai amongst others.

Source: Motor Trader e-Magazine (February 2023)

26 February 2023