Honda Motor Co. and LG Energy Solution on Monday announced plans to form a joint venture to manufacture lithium-ion batteries in the US to power “Honda and Acura EV models for the North American market”.
The joint venture plant will have a total investment of 4.4 billion USD and has a target of reaching a capacity of 40 GWh per year. It will make pocket cells, which will be supplied “exclusively to Honda facilities in North America,” a statement from the companies said.
Honda Prologue Trailer – May 2022
That point underscores an important difference as the company shifts its focus to electric vehicles in the future. Although coming Honda’s Prologue and Acura ZDX electric vehicles will be based on General Motors’ Ultium battery ecosystem and separate Joint Venture Ultium Cells LLC With LG, the next generation of Honda EVs will be built on Honda’s own EV architecture, which is supposed to appear on the first cars in 2026.
Looks like the venture would fit that timeline. The two companies plan to start construction – at an undisclosed location – in early 2023, with the start of mass production of the cells by the end of 2025.
Ultimately, the scale of the Honda platform could extend beyond Honda and Acura vehicles. Honda has yet to reveal whether EVs from a new joint venture with Sony will use the same building blocks, and details from the joint venture itself are few.
Honda President and CEO Toshihiro Mibe said the move is “in line with our long-standing commitment to building products that are close to the customer”. Honda assembles many of its vehicles for the United States in North America — including the engines.
2017 Honda Clarity Electric
The move is also in line with the much stricter material and supply chain requirements introduced as part of the qualify for the EV . tax credit and its restart was set up recently Inflation Reduction Act.
The companies have not confirmed any similarities or differences between Ultium Cells LLC products and future Honda-LG joint venture products. GM’s Ultium pocket cells are the largest umbrella type currently used in electric vehicles, so if Honda wants a format that can easily be translated into small cars or sports cars for other markets, they have it. may choose a smaller form factor.