LG Energy Solution is expanding its operations in the United States to address potential trade challenges and leverage domestic production incentives. During a press briefing at the InterBattery 2025 exhibition in Gangnam, Seoul, Kim Dong-myung, CEO of LG Energy Solution and chairman of the Korea Battery Industry Association, highlighted the company’s strong position despite tariff threats from the U.S. administration.
Kim stated, “The tariff policies of the new US administration fundamentally encourage domestic production. We intend to capitalize on our US factories effectively to align with this initiative.” Currently, LG Energy Solution operates eight battery manufacturing facilities in the U.S., including joint ventures with global automakers. This number surpasses its Korean competitors, with SK On operating six facilities and Samsung SDI managing three plants through independent or collaborative efforts.
When questioned about the potential imposition of tariffs on electric vehicle batteries under the Trump administration, Kim expressed caution, noting, “We will have to wait and see, just as he has said.” He also provided an outlook on the company’s financial projections for the first quarter of 2025, anticipating that it may be the lowest point of the year, with gradual improvements expected in the second half. Kim emphasized the need for vigilance due to market volatility and reiterated the company’s strategy of pursuing efficient investments.
LG Energy Solution is preparing for possible market stabilization and a rebound in electric vehicle (EV) demand following a current industry slowdown. Addressing the increasing market share of Chinese battery manufacturers, Kim asserted the company’s leadership in the battery industry, supported by an extensive portfolio of battery-related intellectual properties and proven global operational capabilities.
The company plans to advance its next-generation technologies, including 46-series cylindrical batteries, lithium iron phosphate batteries, mid-nickel batteries, sodium batteries, and cell-to-pack technologies. Despite the growth of Chinese giants CATL and BYD, which held a combined global market share of 55.1 percent in 2024, LG Energy Solution aims to maintain its competitive edge through innovation and strategic expansion.
Additionally, aligning with LG Group’s strategic initiatives, LG Energy Solution is exploring emerging markets such as India to diversify its customer base and enhance its global footprint. This expansion into new regions is part of the company’s broader strategy to strengthen its market presence and respond to evolving industry dynamics.
Source: The Korea Herald
