LG is considering further US investments following a US$2.3 billion proposal to develop grid-scale batteries for storage in Arizona.
North America will account for up to 70% of LG’s ESS sales by 2030, helping triple its total revenue from the sector in the next five years, he said.The Korean manufacturer’s foray in the US underscores its effort to fend off Chinese producers and regain clout in the energy storage sector. The expansion plans come after a spate of fires between 2017 and 2019 at energy storage sites in South Korea sapped the sector’s growth in the country, and prompted stricter government regulations.As South Korean ESS battery manufacturers grappled with safety concerns, their biggest rivals in China seized more of the global market.
LG is looking to use its expertise in EV batteries — it’s a supplier to global automakers including Tesla Inc and General Motors Co — in the ESS market.