South Korean battery manufacturer LG Energy Solution will invest approximately $5.5 billion to construct a battery manufacturing complex in Queen Creek, Arizona. The complex will consist of two manufacturing facilities—one for cylindrical batteries for EVs and another for lithium iron phosphate (LFP) pouch-type batteries for energy storage systems (ESS).
The company plans to invest $3.2 billion in building the EV battery manufacturing facility, which will have a capacity of 27 GWh and $2.3 billion in the LFP pouch-type battery facility which will have a capacity of 16 GWh. LG plans to break ground on both plants this year.
LG aims to begin mass production at the cylindrical battery plant in 2025 with an initial capacity of 2,170 cells per year, mainly for EV makers in North America. The ESS facility, meanwhile, is slated to start production in 2026.
“Our decision to invest in Arizona demonstrates our strategic initiative to continue expanding our global production network to further advance our products in scale and with speed,” said Youngsoo Kwon, CEO of LG Energy Solution.
Source: LG Energy Solution