Recently, LG Chem has been taking frequent action in the new energy sector. On one front, it is collaborating with Sinopec to jointly develop key materials for sodium-ion batteries (SIB), accelerating the technology's commercialization. On the other, it is restructuring its battery production capacity by converting its Canadian automotive battery plant to energy storage system (ESS) battery production, comprehensively strengthening its global competitiveness in the ESS market.
Joint Development of Key SIB Materials with Sinopec
Sinopec and LG Chem recently signed an agreement in South Korea regarding the joint development of key materials for sodium-ion batteries.
According to the agreement, the two parties will jointly develop key SIB materials, including cathode and anode materials, targeting the energy storage system and low-speed electric vehicle markets in China and globally. This partnership aims to accelerate the commercialization process, expand the SIB business model, and potentially broaden future cooperation in new energy and high-value-added materials.
Canadian Battery Line Shifts to Energy Storage Batteries
Concurrently, NextStar Energy, the joint venture between LG Energy Solution (LGES) and Stellantis, announced that the battery production lines at its Windsor, Canada, plant will be converted to produce Lithium Iron Phosphate (LFP) batteries required for energy storage products, starting this month.
The joint venture factory project was officially announced in March 2022, with a planned total investment exceeding $4.1 billion and an original scheduled commencement of production in Q1 2024, designed for an annual capacity of over 45 GWh.
Following this production adjustment, LG Energy Solution will further enhance its supply capability for the rapidly growing North American Energy Storage System (ESS) market.
Furthermore, in February 2025, LG Energy Solution converted its Holland, Michigan, plant in the U.S. into a production base for LFP ESS batteries, achieving mass production in June. The annual capacity for ESS batteries is expected to increase to 17 GWh by the end of this year, with a potential to exceed 30 GWh by the end of 2026.
Source：EnergyTrend
