LG Energy in talks with Toyota (TM) to supply EV batteries

March 24, 2023 2:16 PM EDT

Get instant alerts when news breaks on your stocks. Claim your 1-week free trial to StreetInsider Premium here.

LG Energy CEO Kwon Young Soo announced Friday that the South Korean battery giant has entered into talks with Toyota Motors (NYSE: TM) in the hopes of supplying the automaker with EV batteries.

When asked about the negotiation progress with Toyota, the CEO said that it has been going well. "We are discussing the way of cooperation," Kwon told reporters after an annual shareholders meeting.

LG also announced Friday that the company would resume a stalled U.S battery project with a $5.6 billion investment in Arizona to qualify for U.S. federal incentives rolled out under the Inflation Reduction Act.

The company currently has joint battery plants with General Motors (NYSE: GM), Stellantis (NYSE: STLA) and Honda (NYSE: HMC) in North America, with production sites in South Korea, China, Poland and Indonesia.

In October, LG, which supplies batteries to Tesla Inc (NASDAQ: TSLA), General Motors and other automakers, announced it was building a joint venture $4.4 billion battery plant with Honda in Ohio.

Shares of GM, STLA, HMC and TSLA are down 0.56%, 0.95%, 0.15% and 1.46% respectively in afternoon trading on Friday While shares of TM are up 0.20%.

By Michael Elkins | [email protected]

Serious News for Serious Traders! Try Premium Free!

You May Also Be Interested In

Related Categories

Corporate News, Hot List, Management Comments

Related Entities

Tesla, Michael Elkins