LG Energy to invest USD 4.5 million in battery production plant in U.S.

LG Energy to invest USD 4.5 million in battery production plant in U.S.

by Pranali Mehta

South Korea-headquartered LG Energy Solution Ltd. has recently revealed its plans to invest around USD 4.5 million in its U.S. battery production business over the next four years. Reportedly, the investment is likely to create 4000 new jobs, with the company planning to establish at least two additional new plants in the U.S.

For the record, LG Energy Solution is an electric vehicle battery manufacturing subsidiary of LG Chem Ltd. The company focuses on producing next-generation lithium-ion batteries which are based on distinguished materials technology.

It is also worth mentioning that American multinational car manufacturer, General Motors Co. had set up a joint venture with LG Chem in December 2019, to expand its EV battery portfolio. This collaboration has committed to an investment of USD 2.3 billion to build batteries in a recently established Ohio-based manufacturing facility.

The two companies are planning on setting up a second manufacturing facility in Tennessee. This new plant will reportedly have a production capacity of around 35GWh.

If sources are to be believed, LG Energy Solution will leverage the recent strategic investment to enlarge its employee base by combining the workforce of General Motors and LG Chem. Moreover, the company would be selecting the locations of its new plants in the first half of 2021.

President of LG Energy’s Michigan unit, Denise Gray was reported saying that the organization’s apparent investment will increase the battery production capacity of the U.S. by 70GWh. Expressing his enthusiasm towards the move, he added that the company strives to cater to the needs of global automakers across Europe and the U.S.

In other developments, LG Energy has been engaged in a high-profile trade secret dispute with South Korean lithium-ion battery manufacturer SK Innovation Co. Ltd. Reportedly, the U.S. International Trade Commission issued a 10-year order on SK Innovation, banning the import of its batteries to the U.S.

Source credits –

https://www.reuters.com/article/us-lg-chem-sk-innovation/lg-energy-solution-to-invest-4-5-billion-in-u-s-battery-production-idUSKBN2B32FI

Pranali Mehta

A chemical engineer by qualification, Pranali Mehta dutifully walked down the slated path and worked in a chemical firm for a year. Her passion for writing however, pushed her into experimenting with the same as a career. With over three years of experience in content writRead more...