LG Energy to invest over 5 trillion won by 2025 in the US
Company aims to add 70GWh annual capacity
LG Energy Solution said on Friday that it will spend over 5 trillion won by 2025 in the US market.
The money will be spent on expanding its battery production capacity in the key market.
Its joint venture with General Motors will also decide on investing in their second factory within the first half of 2021, the company said.
The 5 trillion won will allow LG Energy Solution to secure, in total, an annual production capacity of 75GWh. Its Michigan factory currently has a capacity of 5GWh.
The batteries will be used in electric vehicles and energy storage systems, LG said. Besides pouch-type batteries, which is its current mainstay, the company will also begin manufacturing cylinder batteries, the South Korean battery maker said.
The company will choose over two candidates in the US where it will build the additional facilities.
LG said the added 70GWh capacity will create over 10,000 jobs __ 4,000 direct employment and 6,000 for subcontractors.
The company currently has 1,400 employees in its factory in Michigan. Its joint venture with General Motors in Ohio employees 1,100.
Combined with the production capacity of its joint venture with General Motors, LG will be able to have over 140GWh in annual production capacity.