LG Energy Solution Ltd. launched battery module production at its Canadian joint venture with Stellantis NV, marking the South Korean company’s latest push to capture the North American electric vehicle market.
The Windsor, Ontario plant, operated by NextStar Energy Inc., will reach an annual capacity of 49.5 gigawatt hours when fully operational. Cell production is scheduled to begin in the first half of 2025, supplying power units for Stellantis brands including Jeep and Chrysler.
LG Energy, which holds a 51% stake in the venture, is expanding its footprint across North America with eight battery facilities. Two are wholly owned, while six are partnerships with automakers including General Motors Co., Hyundai Motor Co., and Honda Motor Co.
The move comes as battery makers race to qualify for tax benefits under the U.S. Inflation Reduction Act, which requires EV batteries to be manufactured in North America. The law has sparked a wave of new factory announcements from Asian manufacturers seeking to establish production bases in the region.
NextStar CEO Danies Lee said the partners aim to lead North America’s battery sector, though the venture faces stiff competition from rivals including Panasonic Holdings Corp. and Contemporary Amperex Technology Co.
