South Korea’s LG New Energy said that its joint venture with Honda, LH Battery, has begun construction of an electric vehicle battery plant in Ohio, with completion expected by the end of 2024 and production targeted for the end of 2025. The deal marks a new partnership between Honda and LG.
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Honda and LG New Energy established LH Battery in August last year, planning to build a new electric vehicle battery factory in the United States to provide batteries for Acura models assembled in the United States by Honda. According to the plan, the annual battery production capacity of the plant will reach 40 gigawatt-hours. The initial investment between the two companies was $3.5 billion, which was subsequently increased to $4.4 billion.
“To achieve our goal, we must start building this battery plant to supply batteries for our electric vehicles here in Ohio for mass production starting in 2025,” said Toshihiro Mibe, Honda President and Fuel Cell Electric Vehicles, ” Honda has a heritage of building quality where it’s needed. Because we want to provide American customers with high-quality vehicles, we naturally want to make the cars and batteries stateside.”
According to reports, the battery plant will create 2,200 jobs, which are expected to come from Dayton, Cincinnati, Columbus and parts of Appalachia, as well as Fayette County.
In addition to the battery plant, Honda is spending $700 million to restructure three plants in Ohio — Marysville Auto Works, East Liberty Auto Plant and Anna Engine Plant — to make and supply electric vehicles.
According to their goals: by 2040, all of its sales will come from electric and fuel cell vehicles, and by 2050, all products and corporate activities will be carbon neutral. (Honda’s first pure electric vehicle in China – Dongfeng Honda e: NS1 was launched last year)
“This is the first chapter in our shared history,” said LH Battery CEO Robert Lee as he unveiled renderings of the factory with COO Rick Riggle . “Our joint venture is special.”