LG Chem Opens New Battery Factory In China

2 years ago by Eric Loveday 12

LG Chairman Koo Bon-moo, center, pushes a button to mark the opening of the firm's new battery plant in Nanjing, China, Tuesday. On Koo's right is Korean Ambassador to China Kim Jang-soo.

LG Chairman Koo Bon-moo, center, pushes a button to mark the opening of the firm’s new battery plant in Nanjing, China, Tuesday. On Koo’s right is Korean Ambassador to China Kim Jang-soo.

LG Chem lithium-ion battery cell

LG Chem lithium-ion battery cell

LG Chem has completed construction of its newest battery factory in China.

According to Korea Times, LG Chem has an ambitious goal of generating “1.5 trillion won ($1.3 billion) from sales over the next five years in China.”

The opening of the factory in Nanjing, China is necessary to meet the nation’s booming demand for plug-in electric cars.

Quoting Korea Times:

“LG Chem has secured 16 carmakers for the company’s batteries for use in all types of electric vehicles (EVs), with all ‘top-tier’ Chinese carmakers being included in LG’s supply chain management,” C.S. Song, head of LG Chem’s public relations office, told The Korea Times.”

“The three-story LG factory could theoretically produce 50,000 batteries for advanced pure EVs a year, meaning the plant could also be used to supply up to 180,000 battery packs for plug-in hybrid EVs (PHEVs).”

Though already capable of churning out a significant amount of lithium-ion cells, LG Chem says that in the future, plants upgrades could “boost annual production capacity to 200,000 batteries by 2020 (700,000 units for PHEVs),” according to Korea Times.

LG Chem now has 3 battery plants, including one in South Korea and another in the U.S. in the state of Michigan. A fourth plant is planned for Europe.

Source: Korea Times

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12 responses to "LG Chem Opens New Battery Factory In China"

  1. sven says:

    From the Korea Times article:
    “The plant is the result of collaboration with two Chinese firms and construction began in October last year, the company said.”

    Does this mean that LG had to partner with a Chinese company and form a joint venture to build this factory in China?

    1. pk says:

      Isn’t that how you get anything done in China.

  2. Speculawyer says:

    So does this mean that a big chunk of the Chevy Bolt is going to be built in China?

    :-/

    1. Mikael says:

      The chinese factory is most likely to serve EVs that are going to be sold in China.

      The Bolt is most likely to be built mostly in Korea as planned.

      1. Mikael says:

        Well, mostly with Korean parts at least. The battery factory in the US will probably make it mostly built in the US, made by Korea.

        But in a global world it’s not hard to ship batteries to where they are needed at the moment.

        Hopefully they will continue to expand in China.

    2. Paul Stoller says:

      Looking at all of their plans in total it more appears to me that they are trying to produce batteries close to where they will be used. Which is a good thing on multiple levels.

    3. Mirco says:

      @Speculawyer,
      nope. The Battery for Chevy Bolt will be made in South Korea. The plant in China is for customer in China.

    4. jerryd says:

      No. That really isn’t a very big factory either, 150 packs/day.
      I bet they are just assembling them as 50k packs in China is just a rounding number.
      Remember EV’s are about the only car you can get plates for in China so it is build EV’s or not sell much.

  3. Rick Danger says:

    How does 200,000 batteries make 700,000 packs for PHEVs?

    1. Speculawyer says:

      200K battery packs if pure EVs built or 700K packs if PHEVs built

    2. Ambulator says:

      The writer’s lazy. He means 200k battery packs for BEVs. It’s all rather vague without the battery sizes, anyhow.

      1. JakeY says:

        They used to at least say cell count when talking about battery factories. Now it’s very vague when talking about “BEVs” or “PHEVs” as the capacity.