LGES cements position as No.2 battery maker in N. America: SNE Research

LGES plant in Ohio, U.S. [Photo provided by LGES]

South Korean electric vehicle (EV) battery majors have accelerated their advance into the North American market in the face of U.S. Inflation Reduction Act (IRA) that favors locally produced EVs and EV materials and components.

According to energy market tracker SNE Research on Sunday, a total 56.4-gigawatt hour (GWh) EV batteries and cathode materials were supplied in North America from January to October, up 61 percent from the same period a year ago.

Japan’s Panasonic accounted for nearly half (48 percent) - or 27.1 GWh - power capacity in the market on the back of high demand from its major customer Tesla. Korea’s LG Energy Solution (LGES) came in next with 18 percent.

LGES has been upping investment in the United States to cope with U.S. IRA that grants tax benefits to Made in America EVs and components. According to foreign media outlets on Friday, Ultium Cells LLC, a joint venture of U.S. General Motors and LGES, will invest additional $275 million in its lithium battery plant in Spring Hill, Tennessee, to boost battery cell output by 40 percent.

Chinese battery firm CATL came in third in power capacity in North America, followed by Korea’s SK on with 10 percent and Samsung SDI with 8 percent. SK on’s battery capacity surged 646 percent on year, moving up three notches from No. 7 in 2021.