LG Energy Solution's Tennessee Plant to Produce Mass-Market LFP Batteries... Mass Production Set for 2027

Conversion of Existing Ternary Cathode Production Line to LFP

LG Energy Solution's plant in Tennessee, USA, will establish a new production line for mass-market lithium iron phosphate (LFP) batteries.

Ultium Cells factory in Spring Hill, Tennessee, USA. GM

On July 15, Ultium Cells, the battery joint venture between LG Energy Solution and General Motors (GM), announced that it will restructure its production line in Spring Hill, Tennessee, to establish a mass production system for low-cost LFP batteries.

Ultium Cells plans to begin the line conversion work at the end of this year and to start mass production of LFP batteries by the end of 2027.

This plant was originally built as a production facility for nickel cobalt manganese (NCM)-based ternary cathode batteries used in high-performance electric vehicles. However, as price competitiveness has become increasingly important in the mass-market electric vehicle segment and demand for LFP batteries has surged, the company appears to have revised its strategy.

GM has been considering the use of LFP batteries in electric pickup trucks and has made securing a domestic LFP supply chain in the United States one of its key strategies.

Previously, in June, LG Energy Solution began large-scale mass production of LFP batteries for energy storage systems (ESS) at its plant in Holland, Michigan. Among major global battery companies, LG Energy Solution is the first to establish a large-scale mass production system for LFP batteries in the United States.

With the conversion of the Tennessee plant, LG Energy Solution will secure an LFP supply base in North America that covers demand for both ESS and EV applications.

A representative from LG Energy Solution stated, "We are currently in discussions with GM and Ultium Cells to produce automotive LFP batteries," adding, "We will announce specific details once the final procedures are completed."