The new Georgia-based plant aims to accelerate electric vehicle production in the North American market
Hyundai Motor Group and LG Energy Solution (LGES) have announced their joint venture. This partnership aims to establish a battery cell manufacturing facility in the United States, bolstering both firms’ commitment to advancing electrification efforts in North America.
Partnership for the EV future
“[This partnership] will create a strong foundation to lead the global EV transition,” said Jaehoon Chang, President and CEO of Hyundai Motor Company. True to his word, the joint venture will place a key focus on enhancing electric vehicle (EV) production in the U.S., while consolidating both companies’ global leadership in the auto and battery industries.
$4.3 billion state-of-the-art battery cell facility
Hyundai and LGES will equally share the stake in the joint venture, investing over $4.3 billion into the state-of-the-art battery cell facility. Located in Bryan County, Savannah, Georgia, the plant is set to commence construction in the second half of 2023. Battery production by the end of 2025. With an annual capacity of 30 GWh, the facility targets supporting the production of approximately 300,000 EVs, providing a major boost to the U.S.’s EV manufacturing landscape.
Step forward in response to soaring EV demand
A significant part of the joint venture’s plan is to cater to the growing demand for electric vehicles in the U.S. This will be achieved by the establishment of a stable supply of batteries in the region, enabling faster response to market needs and solidifying electrification efforts.
Continued partnership in electrification
Long-time partners, Hyundai and LGES, are no strangers to electrification efforts. The partners have previously collaborated on the supplies of EV batteries for vehicles like Elantra Hybrid, Kona Electric, and IONIQ 6. This new venture is set to strengthen these ties further, reasserting their commitment to EV battery cooperation.
More sustainable future
Through this venture, Hyundai and LGES exhibit a significant commitment to a future that not only embraces clean energy but actively works to ensure its sustainability and growth. As more organizations align their ambitions towards shaping an eco-friendly future, this initiative stands as an influential precedent to expedite the EV transition on a global scale. Such ambitious undertakings are not simply an investment in the present, but a strategic consideration of what the world could and should look like in years to come.