Energy · Profile from Energy Research Companion
LG Energy Solution
The Seoul-based battery maker, spun out of LG Chem in December 2020, that supplied the cells for the first mass-market US plug-in (the Chevrolet Volt, 2010), co-owns General Motors' Ultium Cells plants in Ohio and Tennessee, and built the largest Korean manufacturing footprint in the United States on the strength of the IRA's Section 45X credit (which Korean companies call the "AMPC"). It is the clearest case in this companion of a non-Chinese cell maker caught between China's cost and US policy: too expensive to win the open market against CATL and BYD, too dependent on US EV demand when that demand fell after the consumer credit ended on 30 Sep 2025. Its answer in 2025–26 was to turn US EV lines into lithium-iron-phosphate (LFP) lines for grid storage, led by a reported ~$4.3bn supply contract with Tesla (filed 30 Jul 2025). In 2025 it reported revenue of ~KRW 23.7tn (~−7.6% y/y) and operating profit of ~KRW 1.35tn, a figure that would have been far smaller without US production credits (company).
At a glance
- Founded
- Battery research inside LG Chem from 1992; first lithium-ion cells mass-produced ~1999 (reported, verify); battery division spun off as LG Energy Solution, Ltd., effective 1 Dec 2020
- Headquarters
- Seoul (Yeouido), South Korea; main Korean plant at Ochang; US subsidiary LG Energy Solution Michigan (Holland) and a North American office in Michigan
- Ownership / structure
- Listed on the Korea Exchange (KRX: 373220) since 27 Jan 2022; LG Chem the controlling shareholder (~81–82% after the IPO, reported, verify current stake); part of the LG Group
- Leadership (2026)
- Kim Dong-myung (CEO since Dec 2023, reported); predecessor Kwon Young-soo (CEO 2021–23); Koo Kwang-mo chairs LG Group
- Technology
- Pouch NMC/NCMA cells (its historical strength), cylindrical cells (2170 and 46-series, incl. 4695 from late 2025 at Ochang), LFP pouch and prismatic cells for energy storage (US production from May 2025), high-voltage mid-nickel and dry-electrode programmes (company claims)
- Factories (2026)
- Korea (Ochang); China (Nanjing); Poland (Wrocław, Europe's largest cell plant when built, reported); Indonesia (with Hyundai); US: Holland, Michigan (own); Lansing, Michigan (bought GM's share, being retooled for LFP ESS); Queen Creek, Arizona (46-series and ESS LFP, under construction/ramp); Ultium Cells with GM (Warren, Ohio; Spring Hill, Tennessee); Honda JV (Jeffersonville, Ohio); Hyundai JV (Ellabell, Georgia); Canada: NextStar Energy (Windsor, Ontario, formerly with Stellantis)
- Scale
- 2025: revenue ~KRW 23.7tn, operating profit ~KRW 1.35tn (+~134% y/y) (company); ESS order backlog ~140 GWh at end-2025 and a target of ~90 GWh of new ESS orders in 2026; total order backlog >~440 GWh (EV + ESS) at end-April 2026; >~50 GWh of North American ESS cell capacity targeted by end-2026 (company, via Energy-Storage.News). Q3 2026 preliminary: revenue ~KRW 9.64tn, operating profit ~KRW 756bn, of which ~KRW 417bn was US production credits (reported, 8 Oct 2026)
- Signature moves (incl. failures)
- The Chevy Volt and the Holland plant (2009); Wrocław and Europe (2016–18); GM Ultium Cells JVs (2019–24); the Chevy Bolt recalls (2020–21); the spin-off from LG Chem (2020); the IPO (2022); the IRA US build-out (2022–26); the Georgia immigration raid (2025); the ESS and LFP pivot and the Tesla deal (2025–26)
9 strategic moves analysed
Each one gets a full strategy file in the companion: context, the decision, the financing, what happened, and the lesson.
2009
Chevy Volt and the Holland Plant
Offtake or supply contract / construction (state support)
2016
Wroclaw and Europe
Construction / market entry
2019
GM Ultium Cells JVs
Joint venture / construction (with state support)
2020
Chevy Bolt Recalls
Accident / recall (failure)
2020
Spin Off from LG Chem
Spin-off (physical split)
2022
IPO Koreas Largest
IPO / financing
2022
IRA US Build Out
Construction / policy-driven expansion (partly reversed)
2025
ESS and LFP Pivot and Tesla Deal
Strategy pivot / offtake or supply contract
2025
Georgia Immigration Raid
Regulatory or legal action (setback)