LG Chem will supply next-generation electric vehicle (EV) batteries to Lucid Motors, an American EV startup that competes with Tesla.
LG Chem announced on Feb. 25 that it will exclusively supply next-generation cylindrical batteries to the automaker’s luxury model, the Lucid Air, which will be launched later this year. The contract will run until 2023.
LG Chem will supply its next-generation cylindrical battery, the 21700 model, to Lucid Motors. The product features 50 percent more capacity and improved performance compared to the current cylindrical battery model 18650. The 21700 model is safer than the current model. Producers of electric cars equipped with cylindrical batteries have been looking for companies that can supply 21700 batteries stably, and Lucid Motors has chosen LG Chem as it has rich know-how.
LG Chem has secured a full business portfolio in the EV battery market, which is divided into large pouch batteries and small cylindrical batteries. It supplies large pouch batteries to 13 brands including Volkswagen, Renault, Volvo, General Motors and Hyundai. The company announced the establishment of a battery joint venture with GM at the end of last year and has secured 150 trillion won worth of orders so far. It has also signed a series of large-scale supply contracts for cylindrical batteries with automakers including Lucid Motors.