LG Energy Solution and Toyota Motor North America, Toyota Motor Corp. 's (TM) North American arm, have signed an agreement to supply lithium-ion battery modules for Toyota battery electric vehicles assembled in the United States.
LG will invest 4 trillion won ($2.94 billion) in its Michigan plant to set up a new cell and module production line for Toyota to fulfill the supply agreement, which is expected to be completed in 2025.
Under the contract, LG will supply automotive battery components at an annual capacity of 20 gigawatt hours starting in 2025.