LGES to launch 4680 series production in August

CEO Kim Dong-myeong said this to Korean media. Series production of the 4680 cells in the USA is scheduled to start as soon as the plant under construction in Arizona is completed, which is planned for the end of 2025 according to the official announcement.

It has been known since 2022 that the plant in Ochang is to be expanded. At that time, there was talk of a capacity of nine GWh/year to be built for the large-volume cylindrical battery cells. This figure is not mentioned in the current announcement, but no other plans are mentioned either.

Tesla has so far been confirmed as the customer for the 4680 cells from Energy Solutions. LGES is also considering mass production of 4680 cells at its plant in Nanjing, China, and is negotiating with other potential customers. “We are considering various options,” LGES CEO Kim is quoted as saying. “We are also discussing with customers other than Tesla.”

Tesla uses the 4680 cells in a version of the Model Y built in the USA, the Semi electric truck and the Cybertruck pickup. Just a few weeks ago, Tesla announced that it was making good progress with its own production of 4680 cells. This means that the production ramp-up for the Cybertruck is not jeopardised by the supply of cells. As soon as LGES is able to supply additional cells, even more cells will be available – which could then possibly be used in other models.

Kim also told South Korean journalists that he had recently met with GM CEO Mary Barra when she was in South Korea. They reportedly discussed ways to strengthen cooperation. LGES is GM’s joint venture partner in Ultium Cells. The first joint battery factory in Ohio is already producing pouch cells. “Mass production at Plant 2 in Tennessee will begin soon,” Kim stated. A third plant is being built in Michigan and is scheduled to go into operation in 2025. However, plans for a fourth joint factory in Indiana have been cancelled.

LG Energy Solution is also working hard on the supply of raw materials for the planned production projects in North America. The South Korean company secured additional lithium from WesCEF in Western Australia for this purpose. LGES is very active in North America: the company is a joint venture partner of GM in Ultium Cells and of Stellantis in NextStar Energy with a battery factory under construction in Canada, the South Korean company is building a cell factory in Georgia together with Hyundai, with Honda in Ohio and on their own in Arizona.

Update 25 June 2024

LG Energy Solution is reportedly on schedule for the series production of 4680 cells. Informants from industry circles have now told Business Korea that volume production at the Ochang plant is due to start in August. LGES CEO Kim Dong-myeong had already mentioned this month in February. Since then, however, there has been no update from the company itself.

Should LGES start series production in the summer, the company would be the first global battery manufacturer to go into series production with 4680 volume production. So far, only Tesla itself has been building round cells in this format in large quantities, while battery manufacturers have only been using pilot production so far.

news1.kr (in Korean), businesskorea.co.kr (update)