Monday, December 5, 2022
News Honda and LG Energy Solution are working on a joint venture to...

Honda and LG Energy Solution are working on a joint venture to build Batteries in the US

Honda and LG are working on a joint venture to build electric vehicle batteries in the United States

  • Honda is late to the game in terms of electric vehicles

  • LG already supplies manufacturers such as Tesla, Volkswagen and GM

  • Honda will use GM’s Ultium batteries, which are also built by LG

Honda currently has no electric vehicle for sale in North America and only two hybrid models in Canada, making it late to the EV game in this part of the world.

In order to remedy this, the Japanese automaker is planning a joint venture with LG Energy Solution in order to build electric vehicle batteries in a new American factory.

LG has already committed to invest up to $4.7 billion in North America by 2024 in order to increase its production capacity on the continent up to 160 GWh. This investment includes three new factories, two built with GM and one built with Stellantis.

The battery manufacturer is already engaged in partnerships with other automakers, since it is a major supplier to many automakers such as Tesla, Volkswagen and General Motors and it accounts for more than 20 percent of the global EV battery market.

This last partnership is important because Honda will use General Motor’s Ultium platform and batteries in two jointly developed upcoming models. These batteries will be manufactured by LG for GM from 2024.

The Honda-LG joint venture will cost around US $3.4 billion and it will have an annual production capacity of 40 GWh, which is enough to power 600,000 electric vehicles.

Honda had previously said that it was looking for partners in order to facilitate its electrification and LG revealed they are open to create more joint ventures with automakers.

Honda didn’t comment on this project and there is no official timeline for the joint venture as of yet, so we don’t know when the factory will be built or when production of the batteries will begin

Trending Now

The Second Generation of the Volkswagen ID.3 will be Unveiled Next Spring.

Due to delivery delays, orders placed starting now will be for the updated model. This is likely only a refresh of the current...

Toyota to Launch All-New 2024 Grand Highlander in Early 2023

The new 2024 Toyota Grand Highlander will likely squeeze in between the Highlander and Sequoia. It will be revealed in full on February...

The degradation of batteries is concerning in the UK

When the battery capacity reaches 80 %, its life cycle is near its useful cycle. Battery degradation varies from car models. EV owners...

Honda will Make a Hydrogen-Powered SUV Based on the CR-V in 2024

This model will be built at the company’s Performance Manufacturing Center in Ohio. It will be the first hydrogen vehicle that can also...

Video: Hyundai shows the future of N

The motorsport division is trying to improve handling with its future N branded cars. The Hyundai Ioniq 5 N will be the brand's...


Please enter your comment!
Please enter your name here

This site uses Akismet to reduce spam. Learn how your comment data is processed.