LG Energy Solution and Rivian's Battery Partnership Explained

LG Energy Solution Partners with Rivian for Cutting-Edge Batteries

In a significant development in the electric vehicle (EV) market, LG Energy Solution has announced a new partnership with Rivian to supply advanced battery technology. This agreement, which spans over five years, is set to provide a remarkable total of 67GWh of high-performance cylindrical batteries.

Details of the Supply Agreement

The agreement outlines the provision of LG's next-generation 4695 cylindrical batteries specifically designed for Rivian's innovative R2 model aimed at the North American market. These batteries boast a diameter of 46mm and height of 95mm, delivering exceptional range and safety characteristics. The new 4695 cells are engineered to offer more than six times the capacity of the earlier 2170 cylindrical batteries, marking a substantial leap in battery technology.

Production and Delivery Plans

Production of the 4695 batteries is expected to commence at LG Energy Solution's dedicated manufacturing facility in Arizona. Following production, the batteries will be shipped to Rivian's assembly facility in Normal, Illinois, where they will be integrated into the R2 model's design.

The Rise of Battery Technology

With a commitment spanning over two decades, LG Energy Solution has continually advanced its cylindrical battery technology. The company’s substantial experience, bolstered by an extensive patent portfolio, underscores its capability in leading the battery manufacturing sector. With this new agreement, the company aims to strengthen its foothold in the competitive U.S. market.

Impact on the U.S. Market and Industry Trends

This supply agreement represents a pivotal moment for LG Energy Solution as it seeks to align itself with the demands of the evolving EV landscape. The shift towards more diverse battery form factors among global automakers indicates a growing preference for innovative and high-capacity solutions. David Kim, CEO of LG Energy Solution, emphasized the significance of this partnership, recognizing it as a key milestone in expanding their client base within the cylindrical battery segment.

About LG Energy Solution

As a spin-off from LG Chem, LG Energy Solution stands as a premier manufacturer of lithium-ion batteries, catering to various sectors including electric vehicles, mobility, and energy storage systems. With three decades of pioneering developments, the company has amassed over 58,000 patents, establishing itself as a leader in battery technology. Its global operations span regions including North America, Europe, and Asia, supporting a robust manufacturing network built through collaborations with major automotive players.

Sustainability Goals for the Future

LG Energy Solution remains committed to fostering a sustainable battery ecosystem. The company aims to achieve carbon neutrality across its operations by 2050. This ambitious goal reflects their dedication to environmental stewardship and shared growth within the industry.

Frequently Asked Questions

What batteries will LG Energy Solution supply to Rivian?

LG Energy Solution will supply the advanced 4695 cylindrical batteries to Rivian, designed for their R2 model for the North American market.

How long will the supply agreement last?

The supply agreement between LG Energy Solution and Rivian is set to last for over five years.

Where will the batteries be produced?

The 4695 batteries will be manufactured at LG Energy Solution's standalone plant in Arizona.

What makes the 4695 batteries significant?

The 4695 batteries are notable for their long range and high safety, with a capacity over six times that of the previous 2170 batteries.

What are LG Energy Solution's sustainability goals?

LG Energy Solution aims to achieve carbon neutrality across its value chain by 2050, emphasizing a commitment to sustainability and shared growth.

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