LG Energy starts operations at 7th North American battery plant

By Choi Kyong-ae

SEOUL, Aug. 19 (Yonhap) — LG Energy Solution Ltd. (LGES), South Korea’s leading battery maker, said Wednesday it has started operations at its seventh battery plant in North America to meet growing demand for energy storage batteries.

LG Energy Solution Michigan-Lansing will manufacture batteries for both energy storage systems (ESSs) and electric vehicles (EVs), with the company aiming to secure more than 350 gigawatt-hours (GWh) of annual output when the facility reaches full-scale production capacity, LGES said in a press release.

As U.S. power demand grows, ESS batteries produced at the Lansing facility will help utilities store and dispatch energy more reliably across the power grid, it said.

“Lansing will produce advanced batteries that support not only the future of mobility, but also America’s growing energy infrastructure and digital economy,” LGES Chief Executive Kim Dong-myung said in the release.

U.S. Interior Secretary Doug Burgum said domestic battery production is foundational to America’s energy future, reducing dependence on foreign adversaries, creating good-paying American jobs and advancing the American Energy Dominance Agenda.

“Michigan is uniquely positioned to help lead this effort with its skilled workforce, manufacturing expertise and the industrial capabilities needed to strengthen America’s domestic battery supply chain,” he said.

With the addition of the Lansing plant, the company now has seven battery plants in North America — six in the United States and one in Canada. Five of them produce batteries for both ESSs and EVs, while the other two manufacture EV batteries only.

Amid growing demand for ESS batteries, the company plans to have more than 50 GWh of lithium iron phosphate (LFP) cell production capacity in North America by December at three wholly owned plants — LG Energy Solution Michigan-Lansing, LG Energy Solution Michigan-Holland and NextStar Energy in Ontario, Canada — and two joint venture facilities — one with Honda Motor Co. in Ohio and the other with General Motors Co. in Tennessee.

Battery companies have stepped up efforts to secure more ESS battery deals to offset lackluster demand for EV batteries amid a prolonged downturn in the EV market.

The U.S. ESS market is expected to grow fourfold by 2031, reaching 499 GWh in capacity, according to market research firm Wood Mackenzie.

 

In this photo taken Aug. 18, 2026, and provided by LG Energy Solution Ltd., (from L) Hong Sang-woo, consul general of the Republic of Korea in Chicago; Doug Burgum, U.S. secretary of the Interior; LGES CEO Kim Dong-myung; and LGES President Choi Dae-sik pose for a photo after an opening ceremony for the company's battery plant in Michigan. (PHOTO NOT FOR SALE) (Yonhap)

In this photo taken Aug. 18, 2026, and provided by LG Energy Solution Ltd., (from L) Hong Sang-woo, consul general of the Republic of Korea in Chicago; Doug Burgum, U.S. secretary of the Interior; LGES CEO Kim Dong-myung; and LGES President Choi Dae-sik pose for a photo after an opening ceremony for the company’s battery plant in Michigan. (PHOTO NOT FOR SALE) (Yonhap)

kyongae.choi@yna.co.kr

YONHAP NEWS

how can we help you?

Contact us at the our Seoul office or submit a business inquiry online.

Looking for a First-Class Business Plan Consultant?