SEOUL — South Korean battery large LG Power Answer (LGES) mentioned on Wednesday it plans to take a position $1.5 billion to arrange a three way partnership with Stellantis in Canada.
LGES owns 51% of the three way partnership, tentatively named “LGES-STLA JV” and Stellantis owns 49%, LGES mentioned in a regulatory submitting.
In October, LGES and Stellantis NV struck an electrical automobile (EV) battery manufacturing three way partnership, concentrating on to begin manufacturing by the primary quarter of 2024 and aiming to have an annual manufacturing capability of 40 gigawatt hours of batteries.
In a separate regulatory submitting, LGES mentioned it plans to accumulate a stake price $542 million in ES America to reply to demand from EV startups in the USA.
LGES is contemplating constructing a manufacturing facility in Arizona to satisfy demand in the USA, two folks conversant in the matter informed Reuters, including that the plant is anticipated to primarily produce cylindrical battery cells. LGES has its personal manufacturing facility in Michigan and two battery joint ventures with Common Motors in Ohio and Tennessee.
“We’re contemplating a brand new manufacturing web site, however nothing has been determined but,” mentioned a spokesperson at LGES.
LGES, which counts Tesla, GM and Volkswagen amongst its clients, at present has battery manufacturing websites in the USA, China, Poland, Indonesia and South Korea.