LG Energy Solution Inks Major LFP Battery Deal with Renault

Seoul, South Korea—LG Energy Solution (373220. KS) has agreed to supply lithium iron phosphate (LFP) batteries to Ampere, Renault Group's (RENA.PA) electric vehicle unit.

The five-year agreement, commencing in late 2025, encompasses the provision of approximately 39 gigawatt hours (GWh) of batteries, sufficient to energize approximately 590,000 electric vehicles.

Pouch-type batteries will be manufactured by LG Energy Solution at its facility in Poland. 

The batteries will incorporate Cell-to-Pack (CTP) technology, which the company asserts enhances cost competitiveness and safety.

This represents LG Energy Solution's inaugural large-scale supply agreement for LFP batteries in Europe, a pivotal electric vehicle market. 

LFP batteries are less expensive to produce than nickel-cobalt-manganese (NCM) batteries.

The agreement expands LG Energy Solution's product portfolio, enabling the company to serve premium and entry-level electric vehicle markets.

The financial terms of the agreement were not disclosed.