LG Chem has started construction of a cathode plant in the United States. The plant is being built in Montgomery County, Clarksville, Tennessee, and will produce cathode materials for use in electric vehicles for the North American market.
Production volume halved since initial announcement
LG Chem is investing approximately US$1.6 billion in the first phase of the project. The plant is expected to reach an annual capacity of 60,000 tons of cathode material, making it the largest of its kind in the US. It should be noted that these figures have been halved compared to the original announcement of the plant in November 2022. At that time, a capacity of 120,000 tons and an investment of $3.2 billion were planned.
Production to start in 2026, customers already secured
The plant is scheduled to start mass production of NCMA cathode material in 2026. LG Chem plans to diversify its product portfolio with future generations of cathode materials and expand its production capacity. According to the company, it has already secured major contracts for the supply of cathode materials in North America, including a 950,000-ton contract with General Motors and a contract worth approximately $2.5 billion with Toyota.