To Expand Presence in U.S. Battery Market
The three major Korean battery companies plan to build a total of 11 battery plants, mostly joint ventures with American automobile companies, in the United States by 2026.
LG Energy Solution plans to build a total of six battery production bases in the United States by 2026. Among the three Korean battery makers, it is the most active in expanding battery plants.
LG Energy Solution has established Ultium Cells, a joint venture for electric vehicle batteries with General Motors. Ultium Cells is currently building the first plant (35 GWh or more) in Ohio and the second plant (35 GWh or more) in Tennessee. The third plant (over 50 GWh) is scheduled to mass-produce batteries in Michigan in 2025. Discussion on the fourth plant is expected to begin in earnest this year.
In addition, the company is independently building a cylindrical battery plant in Arizona. It is also in the process of expanding its own plant in Michigan.
SK On plans to build a total of four battery plants in the United States. The company is building plants with a total capacity of 129 GWh in Kentucky and Tennessee through Blue Oval SK, a joint venture company with Ford. They are slated for operations in 2025.
Moreover, SK On is building the first and second plants of its own in Georgia. It is investing 3 trillion won in the two plants. In particular, Hyundai Motor Group plans to invest 6.3 trillion won to build electric vehicle production bases in Georgia, so synergies are expected between them.
Samsung SDI decided to build a battery plant by setting up a joint venture with Stellantis. It plans to start producing electric vehicle battery cells and modules in the United States in 2025. When completed, the plant will have annual production capacity of 23 GWh. Samsung SDI plans to expand it to 40 GWh in the future.