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LG Energy Solution Secures 2.06 Trillion-Won Mercedes-Benz Battery Deal for 2028–2035

The filing underscores Mercedes-Benz’s push to diversify battery sourcing in response to new EU carbon-footprint rules.

Overview

  • A regulatory filing shows supply to North American and European markets from March 1, 2028 through June 30, 2035.
  • Industry sources say the batteries are expected to support mid-priced and entry models in Mercedes-Benz’s EV lineup.
  • The agreement adds to a 50.5 GWh deal last year and two September contracts totaling about 107 GWh for premium models using 46 mm cylindrical cells.
  • Analysts view the sourcing shift as part of efforts to reduce reliance on Chinese suppliers as policy and geopolitical pressures reshape supply chains.
  • LG Energy Solution said terms may change, and the contract value equals roughly 8 percent of its 2024 sales.