LG Energy Solution has officially launched its Lansing battery plant in Michigan, strengthening its North American manufacturing footprint as it shifts greater focus toward the rapidly growing energy storage system (ESS) market.
The company held an opening ceremony at the Lansing facility on Aug. 18 local time, attended by Michigan Gov. Gretchen Whitmer, U.S. Interior Secretary Doug Burgum, Rep. Tom Barrett and LG Energy Solution CEO Kim Dong-myung.
The plant has an annual production capacity of more than 35 GWh and will manufacture both lithium iron phosphate (LFP) batteries for ESS applications and nickel-cobalt-manganese (NCM) batteries for electric vehicles.
LFP batteries produced at Lansing will be supplied to power infrastructure and AI data center customers in North America through Vertech, LG Energy Solution’s ESS system integration subsidiary. The company had secured an ESS order backlog of about 140 GWh in North America as of the end of last year and added more than 3 trillion won in new orders during the first half of this year.
EV batteries produced at the plant will be supplied for vehicles including the 2027 model-year Toyota Highlander, which will be manufactured at Toyota’s Kentucky plant.
With Lansing now operational, LG Energy Solution has established a North American ESS manufacturing network spanning its standalone facilities in Michigan and Ontario, as well as joint ventures with Honda in Ohio and General Motors in Tennessee.
Industry observers view the Lansing launch as a key step in LG Energy Solution’s ongoing portfolio restructuring. As EV demand growth has slowed temporarily, the company has been reallocating production capacity toward ESS batteries, where demand is rising rapidly due to the expansion of renewable power and AI data centers.
The U.S. ESS market is expected to grow sharply in the coming years. Wood Mackenzie forecasts that cumulative new ESS installations in the United States will reach 499 GWh by 2031, roughly four times the current market size.
LG Energy Solution plans to secure more than 50 GWh of annual ESS LFP production capacity in North America by the end of this year.
“Launching the Lansing plant marks an important milestone in accelerating our growth in North America,” Kim Dong-myung, CEO of LG Energy Solution, said. “We will continue strengthening our advanced battery manufacturing network and expanding local production capabilities to contribute to the development of the U.S. battery ecosystem.”
