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LG Energy Solution Ltd. (LGES) has joined Ford Motor Co. and Turkey’s Koc Holding A.S. in a joint venture to build an electric vehicle (EV) battery plant in Baskent, Turkey.
LGES, South Korea’s top battery maker signed a non-binding agreement with the two entities two weeks after it was revealed that Koc Holding A.S.’s with Ford and another South Korean battery maker, SK On Co., had ended.
Industry sources have speculated that SK On opted out of the venture over rising costs.
The factory, scheduled to commercially operate by 2026, will initially be able to produce 25-gigawatt hours (GWh) per year before increasing that to 45 GWh per year.
Ford will use the output from the plant to make its commercial vehicles, namely the electric Transit vans.
The majority of the 450,000 commercial vehicles produced by Ford and Koc's joint venture in Turkey are marketed in Europe.
