LG Energy Solution Agrees on Memorandum with Kim Long Motors of Vietnam for Delivery of Batteries
LG Energy Solution, a leading battery manufacturer, has signed a Memorandum of Understanding (MOU) with Kim Long Motors, a Vietnamese automotive company, to supply cylindrical battery cells. This strategic partnership aims to expand LG Energy Solution's supply chain to emerging markets in Asia and strengthen its global presence.
The batteries to be supplied are LG Energy Solution's 46-series, offering five times the output and more than six times the capacity compared to existing batteries. These high-performance batteries are believed to be suitable for long-distance bus routes, making them ideal for Kim Long Motors' expanding electric bus production.
Kim Long Motors, under the leadership of Vice Chairman Le Quang Dat, is constructing a passenger car plant with an annual capacity of 50,000 units, aiming to start production in the first quarter of next year. The company completed a 3.5 trillion won automotive plant in Hue Province, Vietnam last year, focusing primarily on bus production.
The supply scale for these batteries is approximately 1GWh (gigawatt-hour), a significant contribution to the growing global demand for LG Energy Solution's battery solutions. The company has also signed battery supply contracts with Poland's state-owned power company PGE and Taiwan's energy management company Delta Electronics, further expanding its global reach.
Interestingly, the batteries to be supplied to Kim Long Motors are presumed to be for Tesla, based on a recent 6 trillion won contract. However, this has not been officially confirmed.
The partnership with LG Energy Solution is expected to enhance the competitiveness of Vietnamese electric vehicles and position Vietnam as a center of clean energy industry in Asia and the world. This strategic move by LG Energy Solution underscores its commitment to driving the global transition towards sustainable mobility.
