LG Energy Solution Partners with Ford for Electric Van Batteries
LG Energy Solution Partners with Ford for Electric Van Batteries
LG Energy Solution has taken a significant step in the electrification of commercial vehicles by entering into supply agreements with Ford Motor Company. This strategic partnership aims to supply battery modules from its facilities to power electric versions of Ford's commercial vans in the European market.
Supply Agreements and Battery Capacity
According to the agreements, LG Energy Solution is projected to provide an impressive total of 109 GWh of batteries for Ford's electric commercial vans, starting from 2026. The contracts will have a duration ranging from four to six years, signaling a long-term commitment to supporting Ford's electrification goals.
Production Shift for Efficiency
In a move aimed at enhancing operational efficiency, the two companies have also agreed that batteries for the Mustang Mach-E will be produced at LG Energy Solution's facility in Michigan in 2025, rather than in Poland. This shift is strategically timed to optimize benefits from current market conditions, including tax incentives.
Expertise in Advanced Battery Technologies
David Kim, the CEO of LG Energy Solution, expressed confidence in the collaboration, stating, "These agreements attest to our experience and expertise in powering commercial vehicles with innovative battery technologies designed to handle extreme user environments." This sentiment underscores LG's commitment to innovation and quality in battery production.
Leadership in the European Market
By leveraging local production capabilities, LG Energy Solution aims to secure a leading position in the European battery market. The company's focus on delivering high-performance battery solutions aligns with the growing demand for electric vehicles across various sectors.
About LG Energy Solution
LG Energy Solution, a prominent player in the battery manufacturing industry, specializes in lithium-ion batteries tailored for electric vehicles, mobility, IT solutions, and energy storage systems. As a company that has spent three decades advancing battery technology, LG holds the prestigious title of being the world's top patent holder in battery-related innovations, boasting over 58,000 patents.
With a sprawling global network that extends across North America, Europe, and Asia, LG Energy Solution collaborates with leading automakers to produce effective battery solutions. The firm's commitment to sustainability is evident in its ambitious goal of achieving carbon neutrality throughout its value chain by 2050. This dedication to eco-friendly practices is accompanied by a focus on shared growth and an inclusive corporate culture.
Frequently Asked Questions
What is the focus of the partnership between LG Energy Solution and Ford?
The partnership aims to supply electric vehicle batteries to power Ford's commercial vans in Europe.
How much battery capacity will LG Energy Solution provide Ford?
LG Energy Solution is expected to supply a total of 109 GWh of batteries over the length of the contracts.
Where will the Mustang Mach-E batteries be produced?
Batteries for the Mustang Mach-E will be produced in Michigan instead of Poland starting in 2025.
What experience does LG Energy Solution bring to the table?
LG Energy Solution has over 30 years of expertise in developing advanced battery technologies for various applications.
What sustainability goals does LG Energy Solution pursue?
LG Energy Solution aims to achieve carbon neutrality across its value chain by 2050, emphasizing sustainable practices.
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