Toyota Motor North America and LG Energy Solutions has announced a long-term supply agreement for Lithium-ion/high-nickel NCMA battery modules starting with 20 GWh of production in 2025 for 2026 model year EVs.
These pouch type battery cells are a nickel, cobalt, manganese, aluminum cell design that will be produced at LG Energy Solutions Michigan facility and shipped to Toyota's Kentucky assembly site for all Toyota and Lexus EVs.
Tetsuo "Ted" Ogawa has stated this is the start of securing a long-term supply of lithium-ion pouch cells to help us reach our goal of contributing to Toyota's expected year sell of 3.5 million EVs globally by 2030.
LG Energy Solutions has committed to investing $3 billion U.S. dollars in their Michigan facility for a new production line that will produce these pouch cells for Toyota.
This agreement leaves open the opportunity for expanded production as Toyota needs down the road based on EV sales.