A US$1.1 Bil. Project
LG Energy Solution and Hyundai Motor Group announced on Sept. 15 that they held a groundbreaking ceremony for a joint venture battery cell plant in the Karawang New Industry City (KNIC) in Karawang, Indonesia.
They will complete the joint venture plant in the first half of 2023 and start production of battery cells in the first half of 2024. The plant's production capacity will be 10 gigawatt hours (GWh) per year, a volume enough to make 150,000 electric vehicle (EV) battery units. They will be used for EVs based on Hyundai Motor-Kia EV platform (E-GMP). The joint venture plans to scale up its production capacity to 30 GWh in the future.
The three parties of LG Energy Solution, Hyundai Motor Group and the Indonesian government signed an investment agreement in July.
LG Energy Solution and Hyundai Motor Group will invest US$1.1 billion. The two companies each hold a 50 percent stake in the joint venture. They finished the establishment of the corporation in August.