Tesla demand rises, LG Chem plans to more than double my country’s battery production

With the increase in sales of Tesla electric vehicles, its demand for power lithium batteries has soared. On December 1, Reuters quoted people familiar with the matter as saying that LG Chem plans to more than double its power lithium battery production in my country next year to meet the rising demand for Tesla's business in the Chinese market. The above-mentioned people familiar with the matter said that LG Chem has added a new processing line in South Korea this year, mainly to meet the needs of Tesla's US plant. In addition, LG Chem will also ship the increased production of batteries in my country and South Korea to Tesla's plants in the United States and Germany, which shows that the company's position in Tesla's global supply chain has improved. It said, “Tesla does not have enough batteries at all, so LG Chem will more than double its production in my country.” At present, Tesla’s battery suppliers include Japan’s Panasonic, LG Chem and CATL. In July 2014, Tesla signed a 'Super Factory' agreement with Panasonic Corporation of Japan and established a joint venture in Nevada, USA. In January of this year, the company announced that it had reached a cooperation with LG Chem and CATL on battery supply for the processing of Model 3 models at the Shanghai Super Factory. A LG Chem spokesperson said, 'In order to meet the rising demand from automakers, the company is continuing to expand the production of cylindrical batteries,' but it did not comment on specific customers. The company said in October that it would triple the output of cylindrical batteries to 60 gigawatt-hours by 2023. In October 2018, LG Chem’s power lithium battery project started construction in Nanjing. It will mainly process power lithium batteries, energy storage batteries and small batteries, with a total investment of 2 billion US dollars. In November this year, LG Chem signed an agreement with Nanjing Economic and Technological Development Zone to invest another US$500 million in the processing of cylindrical power lithium batteries in Nanjing Economic and Technological Development Zone. In addition to Tesla, it is also expected to be supplied to BMW. Reuters reported that the agreement includes adding processing lines from 8 to at least 17, and it is calculated that about 323,000 cars can be assembled each year. It is worth mentioning that LG Energy Solutions, an independent company spun off from LG Chem’s battery business, was formally established on December 1. The new company is wholly-owned by LG Chem. The shareholder structure of the original company remains unchanged, and the original three battery divisions of car batteries, energy storage systems and small IT u0026 new application batteries are retained. Disclaimer: Some pictures and content of articles published on this site are from the Internet. If there is any infringement, please contact to delete.