Honda, LG Energy Solution Join Forces To Setup $4.4B Battery Plant In Ohio

Honda, LG Energy Solution Join Forces To Setup $4.4B Battery Plant In Ohio
  • Honda Motor Co Ltd HMC and LG Energy Solution have selected Ohio to build their battery plant with an investment of $4.4 billion.
  • The two companies announced the plan in August but did not announce the location. They said they are committing to investing $3.5 billion and creating 2,200 jobs but said the overall investment is projected to reach $4.4 billion.
  • Honda plans to begin production and sales of Honda EVs in North America in 2026, based on its new Honda e-Architecture. The EV batteries produced at the new JV plant will be provided to Honda auto plants to produce EVs to be sold in North America.
  • The two companies plan to begin construction in early 2023 and aim to complete the new facility by the end of 2024.
  • The plant aims to have approximately 40GWh of annual capacity as it starts mass production of lithium-ion batteries by the end of 2025.
  • Honda aims to make EVs and fuel cell represent 100% of its vehicle sales by 2040.
  • In April, Honda and General Motors Co GM said they would develop a series of lower-priced electric vehicles based on a new joint platform, producing potentially millions of cars from 2027 to beat Tesla Inc TSLA in sales.
  • Price Action: HMC shares are up 0.29% at $22.14 on the last check Tuesday.

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