Hyundai Motor, LG Energy Solution to launch battery plant in Indonesia

By Akshay Kedari  Date: 2021-07-30

Hyundai Motor, LG Energy Solution to launch battery plant in Indonesia
  • This new battery production plant will be built in the Karwang Regency.
  • It will reportedly have a yearly output of around 10 gigawatt-hours of batteries.

South Korean multinational conglomerates Hyundai Motor Company and LG Energy Solution Ltd. are planning to invest approximately USD 1.1 billion to set up a Joint Venture in Indonesia to establish a battery cell production plant for electric vehicles.

This venture is likely to aid Hyundai Motor Company and its sister company, Kia Corporation, to secure a stable supply of lithium-ion batteries for their electric vehicles at a competitive price.

According to reliable sources, Hyundai and LG Energy Solution have recently signed a memorandum of understanding (MoU) with the Government of Indonesia to set up a battery manufacturing plant in the country.

The plant will have a yearly output of 10 around gigawatt-hours of batteries. The construction of this manufacturing plant, which will be set up in the Karwang Regency, will begin in the fourth quarter of 2021 and should be completed by June 2023.

The news comes as governments across the world have announced stricter regulations to reduce carbon emissions and boost sales of electric vehicles, which in turn has prompted carmakers to secure batteries. 

Meanwhile, LG Energy Solution Limited, which was founded in 2020 by its parent organization LG Chem, is planning to go public in South Korea later this year. The company has also announced a new investment plan worth USD 9 billion recently.

According to this plan, LG Energy Solution will invest a large part of this amount to improve its manufacturing capabilities. 

In other news, Hyundai Motor Company is likely to unveil a new multi-purpose vehicle called Custo soon. The new MPV is shorter than the Staria MPV which was launched earlier this year.

Source Credits:

https://money.usnews.com/investing/news/articles/2021-07-28/hyundai-motor-lgs-battery-unit-to-invest-1-billion-in-ev-partnership

About Author

Akshay Kedari     aeresearch.net

Akshay Kedari

A qualified computer engineering graduate, Akshay Kedari takes pride in having his way with words. Following his passion for content creation, he writes insightful pieces on aeresearch.net and a few other portals. Also endorsed with a short-term experience in web deve...

Read More

More News By Akshay Kedari

Fintech firm Xendit becomes a unicorn following USD 150 million funding

Fintech firm Xendit becomes a unicorn following USD 150 million funding

By Akshay Kedari

Indonesian financial technology company Xendit has reportedly secured USD 150 million during a Series C funding round which was led by Tiger Global. Other investors that participated in the latest fundraising included Justin Kan’s Goat Capital,...

Samsung Biologics to participate in 2050 carbon-neutral initiative

Samsung Biologics to participate in 2050 carbon-neutral initiative

By Akshay Kedari

South Korean biotechnology firm Samsung Biologics recently revealed the signing of a Memorandum of Understanding (MoU) to join the ‘Frontier 1.5D initiative’ to devise a climate risk management model. The company is set to join the 2050 C...

Ola’s highly anticipated e-scooter sale postponed over website glitch

Ola’s highly anticipated e-scooter sale postponed over website glitch

By Akshay Kedari

The sale date for the Ola S1 and S1 Pro e-scooters was previously scheduled for 8th September. Test rides for the Ola S1 and S1 Pro scooters will begin from October 2021. Ola Electric Mobility has postponed the sales of its first e-scooter from ...

SoftBank, Deutsche Telekom partner to expand portfolio, scale business

SoftBank, Deutsche Telekom partner to expand portfolio, scale business

By Akshay Kedari

Japan-based SoftBank Group Corp. recently announced a strategic alliance and an equity share swap deal with Deutsche Telekom AG (DT). As part of the partnership, SoftBank's more than 300 portfolio firms receive access to about 240 million DT con...

Google signs agreement with Engie for 140MW renewable energy supply

Google signs agreement with Engie for 140MW renewable energy supply

By Akshay Kedari

Google has recently signed a 140MW renewable energy supply agreement with Engie Deutschland. The utility company will build and manage an energy portfolio to deliver renewable electricity from solar and wind sources in Germany to Google. The solar p...