Stellantis and LG Energy Solution (LGES) have announced definitive agreements to establish the first large-scale, domestic, electric vehicle battery manufacturing facility in Canada. The joint venture company will produce lithium-ion battery cells and modules to meet a significant portion of Stellantis' vehicle production requirements in North America. The joint venture company will invest over $ 4.1 billion to establish operations, which will include an all-new battery manufacturing plant located in Windsor, Ontario, Canada. Plant construction activities are scheduled to begin later this year with production operations planned to launch in the first quarter of 2024. [1]

Figure 1. Stellantis, LG Energy Solution To Set-Up EV Battery Plant In Canada

Figure 1 shows Automaker Stellantis and LG Energy Solution will invest about $4.1 billion through a joint venture to establish the first large-scale, domestic, electric vehicle battery manufacturing facility in Canada, the companies announced Wednesday.

Construction of the plant in Windsor, Ontario is scheduled to begin later this year with operations planned to launch in the first quarter of 2024, according to the transatlantic automaker. Once fully operational, the plant is expected to have an annual production capacity of more than 45 gigawatt hours and will create an estimated 2,500 new jobs, Stellantis said. [2]

As part of the Dare Forward 2030 strategic plan, Stellantis announced plans to have global annual battery electric vehicle sales of five million vehicles by 2030, reaching 100% of passenger car BEV sales mix in Europe and 50% passenger car and light-duty truck BEV sales mix in North America. Stellantis also increased planned battery capacity by 140 GWh to approximately 400 GWh, to be supported by five battery manufacturing plants together with additional supply contracts.

LG Energy Solution, with this latest announcement, has now solidly secured production capacity of over 200 GWh in North America annually, translating into production of 2.5 million high performance electric vehicles. The battery manufacturer has previously announced plans to invest approximately USD 4.6 billion dollars into battery facilities in North America. Globally, LGES is on course to expand its international production network in multiple continents, including countries such as Canada, U.S., Poland, Indonesia, China and South Korea. [3]

References:

1. https://www.carandbike.com/news/stellantis-lg-energy-solution-to-set-up-ev-battery-plant-in-canada-2839975
2. https://www.cnbc.com/2022/03/23/stellantis-lg-to-invest-4point1-billion-in-canadian-ev-battery-plant.html
3. https://www.stellantis.com/en/news/press-releases/2022/march/stellantis-and-lg-energy-solution-to-invest-over-5-billion-cad-in-joint-venture-for-first-large-scale-lithium-Ion-battery-production-plant-in-canada

Cite this article:

Thanusri swetha J (2022), Stellantis, LG Energy Solution To Set-Up EV Battery Plant In Canada, Anatechmaz, pp. 205