Honda Motor and LG Energy to Build Electric Vehicle Battery Plant in Ohio – Nikkei

The Honda Motor logo is pictured at the 43rd Bangkok International Motor Show in Bangkok, Thailand March 22, 2022. REUTERS/Athit Perawongmetha

TOKYO, Aug 29 (Reuters) – Japanese automaker Honda Motor Co <7267.T> is planning to set up a new lithium-ion battery factory for electric vehicles in the United States with Korean battery supplier LG Energy Solution Ltd (373220 .KS), the Nikkei business daily reported on Monday.

Battery makers are looking to ramp up production in the United States, where a shift to electric vehicles (EVs) could increase as the country implements tougher regulations and tightens tax credit eligibility.

The investment is expected to amount to several hundred billion yen, the report adds.

Honda and LG Energy Solution declined to comment when contacted by Reuters.

The US government has pushed policies designed to bring more battery and electric vehicle manufacturing to the country.

President Joe Biden signed a $430 billion climate, healthcare and tax bill this month that would make electric vehicles assembled outside of North America ineligible for tax credits. . Read more

California last week announced a plan requiring all new vehicles sold in the state by 2035 to be electric or plug-in hybrid electric. Read more

Honda and LG Energy Solution will establish a joint venture to begin producing lithium-ion batteries in Ohio, where Honda’s main plant is located, the report said, adding that they aim to begin construction in 2023 and production. mass in 2025.

LG Energy Solution, which is mainly engaged in the development of lithium-ion battery materials and next-generation batteries, also provides batteries for electric vehicles and has signed joint venture agreements with General Motors, Hyundai Motor Co (005380.KS ) and Stellantis. Read more

In July, Panasonic Energy Co, a unit of technology conglomerate Panasonic Holdings Corp (6752.T) and a major supplier to Tesla Inc, said it had chosen Kansas as the site for a new battery factory with an investment of up to $4 billion. dollars. Read more

Earlier this year, Honda set a goal of rolling out 30 electric vehicle models globally and producing around 2 million electric vehicles per year by 2030. Read more

($1 = 138.8400 yen)

Reporting by Satoshi Sugiyama and Heekyong Yang in Seoul; Editing by Kim Coghill, Rashmi Aich and Krishna Chandra Eluri

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