Overview
- The three-year contract runs from Aug. 1, 2027 to July 31, 2030, with options reported to extend up to seven years.
- LG will make prismatic LFP cells in Lansing for stationary storage, destined for Tesla’s Megapack 3 rather than vehicles.
- The arrangement advances a domestic supply chain that reduces exposure to tariffs on Chinese LFP imports and enables U.S.-content incentives.
- LG took full control of the former Ultium Lansing site in 2025, targeting roughly 50 GWh capacity, though converting EV-focused lines to LFP prismatic cells presents timing risk.
- Related moves underscore an industry pivot to energy storage, with GM–LG’s Tennessee JV converting to LFP ESS production and recalling about 700 workers.