Exclusive: GM, LG Chem to announce EV battery joint venture in Ohio – sources

SEOUL/WASHINGTON (Reuters) – General Motors (N:) and South Korea’s LG Chem (KS:) are set to announce on Thursday a 50:50 joint venture in Ohio to make electric vehicle batteries, sources familiar with the matter told Reuters.

The facility in Lordstown will see investment of more than $2 billion, with GM and LG Chem expected to invest more than $1 billion each, one of the sources said. The venture is likely to be signed on Thursday, the sources said.

A GM spokeswoman declined to comment on a venture with LG and said, “talks occur on a regular basis in the auto industry between a variety of partners on different topics, but as a matter of policy we don’t discuss who, where or when those discussions might occur.”

An LG Chem spokesman declined to comment, saying the company does not comment on matters related to customers.

The sources declined to be named because the investment had not been made public.

GM said in September it planned to bring battery cell production to the Lordstown area, which it said would create approximately 1,000 manufacturing jobs. Reuters reported in October it would be a joint venture.

Reuters first reported in July that LG Chem was considering its second U.S. factory with production slated to start in 2022.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.