Honda and LG Energy Solution have announced that their new joint venture battery plant will be located in Fayette County, Ohio, which will see the two companies investing $3.5 billion and create 2,200 jobs. The companies’ overall investment is projected to reach $4.4 billion.
The two companies plan to begin construction on the new plant in early 2023, with the plan to complete production by the end of 2024. The plant aims to have approximately 40GWh of annual production capacity as it starts mass production of pouch-type lithium-ion batteries by the end of 2025.
Honda plans to begin building EVs based on its new Honda e:Architecture in 2026.
“In another major step toward electrification, LG Energy Solution’s innovative battery technologies will not only power Honda’s brand-new EV models but support Ohio’s green economy. We extend our gratitude to everyone who played a role in making this happen,” said Dong-Myung Kim, Executive Vice President of Advanced Automotive Battery Division at LG Energy Solution. “With our commitment to building the world-best quality products, together with Honda, we look forward to not only creating thousands of quality jobs here in Ohio, but growing together with the community.”
“Honda is proud of our history in Ohio, where our U.S. manufacturing operations began more than four decades ago. Now, as we expand Honda’s partnership with Ohio, we are investing in a workforce that will create the power source for our future Honda and Acura electric vehicles,” said Bob Nelson, executive vice president of American Honda Motor Co., Inc.
Although the new EVs won’t arrive until 2026, Honda is already working on an electric crossover, called the Prologue that will arrive in 2024.