Hanwha and LG Energy Solution to invest in US battery production for UAM
Hanwha Group and LG Energy Solution are to invest in building battery production facilities in the US for UAM applications.
The firms hope the joint investment will boost battery supply resiliency for the US market amid a growing need for American-made energy storage systems following the Inflation Reduction Act.
Hanwha Solutions owns Qcells, the biggest silicon-based solar manufacturer in the US and the only to establish a complete solar supply chain in the country. “We have decided to collaborate with LG Energy Solution, which has several large-scale manufacturing facilities being constructed in US, to target the US ESS market boasting fast growth thanks to green energy policies,” said Hanwha Group in a statement. “Our aim is to maximise synergy at home and abroad by promoting partnerships in various fields, such as supplying battery manufacturing equipment and developing special-purpose batteries.”
In 2022, LG moved into the field of ESS System Integration by establishing a new corporation, LG Energy Solution Vertech.
A statement from LG Energy Solution read: “Our partnership with Hanwha Group is expected to take the competitiveness of each company’s battery-related businesses a step further. By signing this MoU with leading, like-minded energy companies, we put ourselves in the best possible position to successfully expand the influence of our solar and ESS businesses in the U.S., and we will do our very best to provide customers with comprehensive green energy solutions.”
Hanwha will aim to supply key battery manufacturing facilities for LGES, which is constructing joint battery factories with automotive giants such as GM, Stellantis and Honda — its existing factories in Korea, Poland and Michigan are also scheduled to expand. Hanwha is also planning to work with LG to develop special-purpose batteries for UAM, it said.