-Whole funding quantity in extra of USD 4.3 billion; LGES and HMG to take a 50 p.c stake respectively – JV’s battery manufacturing that goals to begin on the finish of 2025 with an annual manufacturing capability of 30 GWh, capable of assist the manufacturing of 300,000 EVs
LG Power Answer (LGES) and Hyundai Motor Group introduced an EV battery cell manufacturing three way partnership within the US at present.
LGES and Hyundai Motor Group signed a memorandum of understanding to provide EV batteries within the US and additional speed up the Group’s electrification efforts in North America. The signing ceremony happened on the LGES headquarters in Seoul on Might 26 attended by Youngsoo Kwon, CEO of LG Power Answer and Jaehoon Chang, President and CEO of Hyundai Motor Firm.
LGES and Hyundai Motor Group every have a 50 p.c stake within the JV, which includes an funding of over USD 4.3 billion (KRW 5.7 trillion).
“Two sturdy leaders within the automotive and battery industries are coming collectively, and we’re poised to drive America’s EV transition,” stated Youngsoo Kwon, CEO of LG Power Answer. “By additional creating our product competitiveness and international operational experience, LG Power Answer will decide to our greatest efforts to supply essentially the most sustainable power options to our prospects.”
“Hyundai Motor Group is focusing its electrification efforts to safe a management place within the international auto business. We’ll construct a robust basis to steer the worldwide EV transition by establishing the a brand new EV battery cell plant with LG Power Answer, a number one international battery producer and long-time associate,” stated Jaehoon Chang, President and CEO of Hyundai Motor Firm.
The annual manufacturing capability of the brand new three way partnership is 30 GWh, which might assist the manufacturing of 300,000 models of EVs per 12 months. The power is in Bryan County, Savannah, Georgia adjoining to the Hyundai Motor Group Metaplant America, which is at the moment below development.
Beginning development within the second half of 2023, the three way partnership plans to begin battery manufacturing by the tip of 2025 on the earliest.
Hyundai Mobis will assemble battery packs utilizing cells from the plant, then provide them to the Group’s US manufacturing amenities for the manufacturing of Hyundai, Kia and Genesis EV fashions. The brand new facility will assist create a secure provide of batteries within the area and permit the Group to rapidly reply to elevated EV demand within the US market.
With this JV, LGES now has seven battery vegetation at the moment working or below development within the US, the place the corporate is concentrating most of its sources to broaden manufacturing capability. By rising its home manufacturing, LGES goals to offer progressive merchandise at scale and velocity, thereby accelerating the clear power transition within the US
LGES and Hyundai Motor Group have lengthy been companions within the area of electrification engaged on the provision of EV batteries for automobiles, together with the Elantra Hybrid, Kona Electrical, and IONIQ 6 devoted EV. Hyundai Elantra Hybrid, LPi hybrid car launched in 2009, is the primary electrified mannequin of the Group. In 2021, the 2 began constructing the Indonesia battery cell JV which is scheduled to begin manufacturing within the first half of 2024.
LGES and Hyundai Motor Group intend to additional strengthen relations going ahead with EV battery cooperation.
About LG Power Answer
LG Power Answer (KRX: 373220), a split-off from LG Chem, is a number one international producer of lithium-ion batteries for electrical automobiles, mobility, IT, and programs to save lots of power. With 30 years of expertise in revolutionary battery know-how and in depth analysis and improvement (R&D), the corporate is the main battery-related patent holder on the planet with over 25,000 patents. Its sturdy international community, masking North America, Europe, Asia, and Australia, contains battery manufacturing amenities established by way of joint ventures with main automakers akin to Basic Motors, Stellantis NV, Hyundai Motor Group, and Honda Motor Co., Ltd. prioritizing inexperienced enterprise and sustainability, LG Power Answer goals to realize carbon impartial operations by 2050, whereas embodying the worth of shared development and selling a various and inclusive company tradition. To be taught extra about LG Power Answer concepts and improvements, go to https://information.lgensol.com.
About Hyundai Motor Group
Hyundai Motor Group is a world enterprise that has created a price chain primarily based on mobility, metal, and development, in addition to logistics, finance, IT, and companies. With about 250,000 staff worldwide, the Group’s mobility manufacturers embrace Hyundai, Kia, and Genesis. Armed with artistic pondering, cooperative communication and the desire to face any challenges, we are attempting to create a greater future for everybody. For extra details about Hyundai Motor Group, please go to: www.hyundaimotorgroup.com