Overview

• LG Energy Solution filed that it has signed a 5.9 trillion-won (US$4.26 billion) contract to supply lithium iron phosphate batteries from August 1, 2027 to July 31, 2030.
• The deal represents 23.2 percent of LGES’s 2024 revenue, marking its largest energy storage system contract to date.
• All batteries will be produced at LGES’s Michigan facility, which is currently the only U.S. plant manufacturing LFP cells at commercial scale.
• Although filings kept the client unnamed, multiple outlets report it is Tesla, seeking to diversify away from Chinese imports under higher U.S. tariffs.
• LGES cautioned that the contract’s duration and value could change pending further consultations with its customer.