Under a newly signed memorandum of understanding, LG Energy Solution (LGES) and Hyundai Motor Group will manufacture batteries for installation into electric vehicles in Bryan County, Georgia, USA. The JV is estimated to have an annual production capacity of 30GWh – capable of supporting the production of 300,000 EVs each year.
The battery manufacturing facility will be located next to Hyundai Motor Group Metaplant America, which is currently under construction. Following a combined investment of more than U$4.3 billion, each company will hold a 50% stake in the JV, with construction of the battery plant scheduled to begin in the latter months of 2023, and battery production set to begin as early as 2025.
Cells produced at the plant will be assembled into battery packs by Hyundai Mobis, prior to being supplied to the OEM’s USA-based manufacturing facilities which produce Hyundai, Kia and Genesis EV models.
With the addition of the JV, LGES will have seven battery plants currently operating or being constructed in the country. By ramping up local production, the company aims to provide products efficiently and at scale to better contribute to a clean energy transition in the USA.
The signing ceremony for the MoU took place in LGES’s headquarters in Seoul on May 26 with Young Soo Kwon, CEO of LG Energy Solution and Jaehoon Chang, president and CEO of Hyundai Motor Company, in attendance.
“Two strong leaders in the auto and battery industries have joined hands, and together we are ready to drive the EV transition in America,” said Youngs Soo Kwon, CEO of LG Energy Solution. “By further advancing our product competitiveness and global operational expertise, LG Energy Solution will commit our best efforts to offering the ultimate sustainable energy solutions to our customers.”
“Hyundai Motor Group is focusing on its electrification efforts to secure a leadership position in the global auto industry. We will create a strong foundation to lead the global EV transition through establishing a new EV battery cell plant with LG Energy Solution, a leading global battery producer and long-time partner,” said Jaehoon Chang, President and CEO of Hyundai Motor Company.
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