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    Home » Planning & Development » LGES Solidifies, Expands Queen Creek Plant Plans
    Planning & Development

    LGES Solidifies, Expands Queen Creek Plant Plans

    BEX StaffBy BEX StaffMarch 28, 2023No Comments3 Mins Read
    Credit: Gansam Architects + Partners/Ware Malcomb/Town of Queen Creek
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    By Arizona Commerce Authority

    LG Energy Solution has announced it will invest a total of $5.5B to build a battery manufacturing complex in Queen Creek.

    The complex will consist of two manufacturing facilities – one for cylindrical batteries for electric vehicles and another for lithium iron phosphate pouch-type batteries for energy storage systems. The investment represents the largest single investment ever for a stand-alone battery manufacturing facility in North America.

    “With this historic investment from LGES, Arizona has become the battery manufacturing capital of the country,” said Governor Katie Hobbs. “These Arizona-made batteries will power green, sustainable technologies around the world, cementing Arizona’s reputation as an innovation hub for renewable energy. We’re grateful to LGES for their legacy investment and for committing to making thousands of good-paying jobs for Arizonans.”

    The $5.5B is nearly four times the initially announced investment of $1.4B. The company plans to invest $3.2B to build a cylindrical battery manufacturing facility for EV with a capacity of 27 GWh. LGES also plans to invest $2.3B in a LFP pouch-type battery facility for ESS with a capacity of 16 GWh. Both facilities, totaling 43 GWh, are expected to break ground this year and lead to the creation of thousands of new jobs.

    “We couldn’t be more excited that LGES has chosen to expand their initial investment four-fold with plans to construct another high-tech manufacturing facility,” said Sandra Watson, President and CEO, Arizona Commerce Authority. “We are immensely grateful to CEO Youngsoo Kwon and the entire team at LG Energy Solution for their continued commitment to Arizona. My thanks also to all our partners who played a special role in this project, especially Governor Hobbs, Pinal County, Town of Queen Creek, Senator Kelly, Arizona Chamber of Commerce and Industry, GPEC and SRP. This has been a tremendous team effort and we look forward to this transformational project breaking ground.”

    The new cylindrical battery manufacturing facility aims to start mass production of 2170 cells in 2025, mainly for EV makers in North America. It is the first-ever U.S. cylindrical battery manufacturing facility solely invested by a Korean battery manufacturer.

    The company’s new manufacturing facilities will utilize a state-of-the-art smart factory system that carries out all decision making on machine-produced data. By implementing this key measure to enhance product quality, the Arizona facilities will aim to increase yield, improve manufacturing processes, and boost productivity to respond better to the ever-rising battery demands in the region. (Source)

    Arizona Chamber of Commerce and Industry Arizona Commerce Authority battery manufacturing Electric Vehicles EV GPEC Industrial Katie Hobbs LG Energy Solution LGES Pinal County Private Sandra Watson Town of Queen Creek warehouse/manufacturing Youngsoo Kwon
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