COMPANY PROFILE / NEXT-GEN ENERGY STORAGE
LG Energy Solution
A battery maker that builds EV cells in North America, Europe and Korea while shifting capacity in North America toward LFP cells for energy storage
LG Energy Solution (LGES) is a South Korean battery maker producing lithium-ion batteries for electric vehicles (EVs), energy storage systems (ESS) and IT devices. Its 2025 revenue was KRW 23.7 trillion (under the earlier presentation that excludes the North America production incentive), and its first-half 2026 revenue was KRW 14.1 trillion (under the new presentation that includes the incentive). The company says ESS accounted for the high-20% range of first-half 2026 revenue, with ESS revenue up 4.6 times year on year. In North America it has been moving capacity from EV to ESS LFP (lithium iron phosphate) cells and targets more than 60 GWh of global ESS capacity by the end of 2026. At the same time, its operating result turns negative without the U.S. production incentive, so it depends on policy. This article is limited to LGES's EV and energy-storage cells, and sets out what it makes, where it invests, who it works with, and which parts are results and which are plans, using its earnings presentations, press releases and ESG report together with U.S. statutes and Internal Revenue Service material. Solid-state batteries are covered in a separate field of this series and are not discussed here. It is not investment advice.
- LG Energy Solution in 30 seconds, and where it stands in next-generation energy storage
- The logo and how the name is written
- Where the company sits in the field
- Scale (centered on battery and storage business)
- Resources committed to next-generation energy storage
- What it has done so far
- What comes next
- What the company is aiming for in next-generation energy storage
- Map of partnerships in next-generation energy storage
- Technologies, products and services
- The risks this company carries
- Glossary, references and claim-to-source audit
1. LG Energy Solution in 30 seconds, and where it stands in next-generation energy storage
Storage systems (secondary)NCM (pouch, cylindrical) and LFP (for ESS); LMR and sodium-ion at development stage. System integration via its subsidiary Vertech
LGES changed how it presents results from January 2026. Previously the U.S. production incentive (the company calls it the "North America production incentive") was handled on the operating-profit side and not counted in revenue; from 2026 it is included in revenue, and past figures were restated for comparison Sourced. 2025 revenue is KRW 23.7 trillion under the old presentation and KRW 25.3 trillion after restatement. Mixing the two presentations distorts changes and margins, so this article states which one it uses. Also, our calculation from the company's material shows that operating result excluding the incentive was negative in both 2025 and the first half of 2026 (chapter 4). LGES earns money by selling batteries, but it is also a company whose profit rests on a U.S. policy.
2. The logo and how the name is written
A note on names: the formal name is LG Energy Solution, Ltd. (LGES for short). LG Chem is the former parent and a separate company. Ultium Cells (joint venture with GM), L-H Battery (with Honda), HL-GA Battery (with Hyundai), NextStar Energy (Canada; moving from a joint venture with Stellantis to full ownership) and LG Energy Solution Vertech (the U.S. storage system division) are separate company or business names. The logo was taken from the company's official newsroom.
Official site: https://news.lgensol.com/3. Where the company sits in the field
The primary type is cell and materials maker. The table sorts the company's main products by chemistry and format from its own material Sourced.
| Area | Main use | What the company's material says | Type |
|---|---|---|---|
| Cylindrical (46-Series) | EVs, small mobility, robots | A range from 4680, 4695, 46100, 46110 to 46120 (shown as 5 to 8 times the energy of a 2170). Production started at Ochang (2025); Arizona is targeted to start by end-2026. Order backlog above 300 GWh (end-2025) and above 440 GWh (end-April 2026) | Sourced (company statement) |
| Pouch (NCM, mid-nickel) | EVs | Produced in North America and Europe. Mid-to-low price products exceeded the mid-30% range of first-half 2026 EV pouch sales volume (company statement) | Sourced (company statement) |
| LFP (pouch, prismatic) | ESS (grid, data centers, commercial) | LFP cell production started in North America, with plans to broaden from pouch to prismatic. Target of more than 60 GWh of global ESS capacity by end-2026 (over 80% in North America); ESS order backlog 140 GWh (end-2025) | Sourced (company statement) / Not yet confirmed |
| LMR (lithium manganese-rich) | Future EVs | A joint study with Seoul National University reports a 40 Ah-class large cell retaining 92.2% of initial energy after 883 cycles (a research-condition value). Commercialization of prismatic LMR cells with GM is planned (2025) | Sourced / Not yet confirmed |
| Sodium-ion | ESS | Product development and production-line preparation are under way, with sample shipments to ESS customers in 2027 (company plan) | Not yet confirmed |
Sources: Reference 1 https://www.lgensol.com/upload/file/irEvent/26_2Q_LGES_business_performance_F_EN.pdf Reference 3 https://www.lgensol.com/upload/file/irEvent/25_4Q_LGES_business_performance_F_EN.pdf Reference 16 https://news.lgensol.com/company-news/press-releases/5222/
4. Scale (centered on battery and storage business)
LGES is a battery pure-play, so company-wide figures are the battery business's scale. Read them with attention to how the North America production incentive is treated and the change in presentation Sourced. Amounts are kept in won and not converted.
| Indicator (KRW billion) | 2025 | Jan-Mar 2026 | Apr-Jun 2026 | Note |
|---|---|---|---|---|
| Revenue (new presentation, incentive included) | 25,319 | 6,555 | 7,560 | First half of 2026 is 14,115 (12,779 a year earlier); 2025 is restated |
| Revenue (old presentation) | 23,671 | - | - | The company reports "KRW 23.7 trillion"; the exact figure is this article's subtraction (25,319 - 1,648) |
| Operating profit | 1,346 | -208 | 113 | Including the incentive. First-half 2026 total is -95 (our calculation) |
| North America production incentive | 1,648 | 190 | 241 | 2025 is the sum of quarters (458, 491, 366, 333; our calculation); first-half 2026 is 431 (our calculation) |
| Operating result excluding the incentive | -302 | -398 | -128 | Our calculation: operating profit minus incentive (first half of 2026: -526). The company's chart also shows -1.3% for 2025 |
| Capital expenditure | 10,417 | 1,648 | 1,041 | A cut of more than 40% year on year is planned for 2026 (company target) |
| Financial position (end of June 2026) | Value | Note |
|---|---|---|
| Assets / liabilities / equity | 77,878 / 47,591 / 30,287 | KRW billion |
| Debt / cash and equivalents | 29,123 / 7,170 | KRW billion; cash includes deposits held at financial institutions |
| Liabilities / debt / net debt to equity | 157% / 96% / 72% | End-2025: 129% / 77% / 64% |
Sources: Reference 1 https://www.lgensol.com/upload/file/irEvent/26_2Q_LGES_business_performance_F_EN.pdf Reference 2 https://www.lgensol.com/upload/file/irEvent/26_1Q_LGES_business_performance_F_EN.pdf Reference 3 https://www.lgensol.com/upload/file/irEvent/25_4Q_LGES_business_performance_F_EN.pdf Reference 4 https://news.lgensol.com/company-news/press-releases/5130/ Reference 5 https://news.lgensol.com/company-news/press-releases/4550/
The earnings decks state that the information is "prior to external audit". The company changed its presentation from 2026, so there are two sets of 2025 figures. The operating result excluding the incentive is our calculation from the company's figures, not an "operating loss" the company disclosed Our calculation. The company's material does not name the legal basis of the "North America production incentive"; this article reads it as the U.S. advanced manufacturing production credit (Internal Revenue Code Section 45X, chapter 11) Inference.
5. Resources committed to next-generation energy storage
| Resource | What primary sources confirm | Type |
|---|---|---|
| People | 32,760 employees (December 2025), about 20,000 (63%) at overseas sites. R&D staff 5,073 (2025; 4,527 a year earlier). R&D sites at Daejeon, Gwacheon and Magok (Korea) plus the U.S., Poland and China. Over 100,000 patents (company statement, citing DART) | Sourced |
| Money | R&D spending was KRW 1.3275 trillion in 2025 (+22%, 5.6% of revenue). Capex was KRW 10.4 trillion in 2025 and KRW 2.7 trillion in the first half of 2026 (about -40%). Arizona was planned at KRW 7.2 trillion (US$5.5 billion). The North America production incentive was KRW 1,648 billion in 2025 | Sourced |
| Stakes, acquisitions, joint ventures, divestments | Joint ventures: Ultium Cells (GM; Ohio and Tennessee), L-H Battery (Honda; Ohio), HL-GA Battery (Hyundai; Georgia), PT. HLI Green Power (Indonesia). Acquisitions: full ownership of the Lansing plant (2025); announced purchase of Stellantis' 49% of NextStar Energy (February 2026; closing subject to approvals). Divestment: sale of a building at a North American JV facility (2025, clearing non-core assets). Recycling JVs: Huayou (2023), Derichebourg (April 2025), Toyota Tsusho (June 2025). Resources: supply agreements with Liontown, WesCEF, Compass Minerals, Green Technology Metals (US$20 million strategic investment and offtake term sheet), Smackover Lithium (August 2026) and Elevra (October 2026) | Sourced |
| Universities, institutes and public funds | It runs joint research centers (FRL) with the University of California San Diego, KAIST and the University of Münster (MEET), among others, and lists Harvard, the Universities of California (San Diego, Berkeley), Michigan, Arizona State, Texas at Austin and GIST among Battery Innovation Contest (BIC) partners. A joint LMR study with Seoul National University was published in Nature Communications (September 2026). Public funding: the North America production incentive (a U.S. scheme; chapter 11) | Sourced |
Sources: Reference 1 https://www.lgensol.com/upload/file/irEvent/26_2Q_LGES_business_performance_F_EN.pdf Reference 3 https://www.lgensol.com/upload/file/irEvent/25_4Q_LGES_business_performance_F_EN.pdf Reference 5 https://news.lgensol.com/company-news/press-releases/4550/ Reference 7 https://news.lgensol.com/company-news/press-releases/4601/ Reference 15 https://news.lgensol.com/company-news/press-releases/3992/ Reference 16 https://news.lgensol.com/company-news/press-releases/5222/ Reference 17 https://news.lgensol.com/company-overview/fast-facts/ Reference 18 https://www.lgensol.com/upload/file/download/LG_Energy_Solution_2025_ESG_Report_EN%5B3%5D.pdf Reference 22 https://news.lgensol.com/company-news/press-releases/
Main products and facilities
| Product / facility | Location and content | Scale | Stage | Date | Ref. |
|---|---|---|---|---|---|
| Lansing, Michigan | LFP cells for ESS and NMC cells for Toyota (the 2027 Highlander EV) | More than 35 GWh a year at full scale, with 1,700 employees expected | Production started (18 August 2026); full scale is a target Not yet confirmed. The April 2026 deck already lists it as "in operation" | Apr-Aug 2026 | 2, 6 |
| Holland, Michigan | LFP pouch (ESS) and EV pouch | Capacity not given individually | Operating | April 2026 | 2 |
| Windsor, Ontario (NextStar) | LFP pouch (ESS) and others; over one million cells to date (March 2026) | Facility of 4.23 million sq ft, over CAD 5 billion invested, 1,300 employees | Operating (production from November 2025; grand opening 5 March 2026). Purchase of Stellantis' 49% announced; closing subject to approvals | Nov 2025 - Mar 2026 | 2, 7, 8 |
| Ultium Cells (GM JV), Tennessee | LFP pouch (ESS), Phase 2 | Not given | ESS cell production started in the first half of 2026 | First half of 2026 | 2, 4 |
| L-H Battery (Honda JV), Ohio | LFP pouch (ESS); announced as EV cells for Honda | The 2022 plan was US$4.4 billion in total and about 40 GWh a year | ESS cell production started in the first half of 2026, a change from the initial EV plan | Aug 2022 - first half of 2026 | 2, 4, 11 |
| HL-GA Battery (Hyundai JV), Georgia | EV cells; 50:50 | The 2023 plan was 30 GWh a year and over US$4.3 billion | The ESG report's site list (June 2026 basis) says "operational"; the start date and current capacity could not be confirmed | May 2023 - Jun 2026 | 12, 18 |
| Arizona (Queen Creek) | A complex for cylindrical (46-Series) and LFP ESS cells | The original plan was 27 GWh cylindrical and 16 GWh LFP pouch (43 GWh in total) for KRW 7.2 trillion | Under construction. The cylindrical plant was about half complete in April 2025, with volume production targeted by end-2026 Not yet confirmed | Mar 2023 - Jul 2026 | 1, 3, 9, 10 |
| Ochang, Korea | 46-Series cylindrical | Capacity not given | Production started (2025) | 2025 | 3 |
| Recycling pre-processing (North Carolina) | Joint venture with Toyota Tsusho (Green Metals Battery Innovations) | Aims at 13,500 tons of scrap a year | Due to start in 2026 (plan) Not yet confirmed | June 2025 | 15 |
6. What it has done so far
| When | What happened | Why it matters |
|---|---|---|
| December 2020 | Established by splitting off LG Chem's battery business | Start as a battery pure-play |
| 2022 | Formed the NextStar joint venture with Stellantis in Canada, announced a U.S. joint venture with Honda (August) and listed in Korea | North American production widened through automaker joint ventures |
| 24 March 2023 | Announced a KRW 7.2 trillion complex in Arizona (cylindrical and LFP for ESS) | Described as its largest single investment in a stand-alone North American plant |
| 26 May 2023 | Announced a 50:50 joint venture with Hyundai Motor Group in Georgia | |
| 2025 | Took full ownership of the Lansing plant; reallocated North American EV capacity to ESS; sold non-core assets; started 46-Series production at Ochang | A response to slowing EV demand |
| 19 June 2025 | Established a U.S. battery recycling JV with Toyota Tsusho | Its first recycling JV in North America |
| 29 January 2026 | Announced 2025 results and 2026 strategy; presentation changed (incentive moved into revenue) | Focus on ESS and tighter capex |
| 6 February 2026 | Announced full ownership of NextStar Energy (Stellantis selling its 49%); grand opening on 5 March | Tidying a JV and using it for ESS |
| First half of 2026 | ESS cell production started at Ultium Cells Tennessee and L-H Battery | EV-built sites repurposed for ESS |
| 18 August 2026 | Production started at the new Lansing plant | LFP for ESS and NMC for Toyota |
| 8 October 2026 | Announced a multi-year supply of Canadian spodumene concentrate from Elevra | Securing raw materials |
Sources: Reference 3 https://www.lgensol.com/upload/file/irEvent/25_4Q_LGES_business_performance_F_EN.pdf Reference 5 https://news.lgensol.com/company-news/press-releases/4550/ Reference 7 https://news.lgensol.com/company-news/press-releases/4601/ Reference 8 https://news.lgensol.com/company-news/press-releases/4710/ Reference 9 https://news.lgensol.com/company-news/press-releases/1613/ Reference 15 https://news.lgensol.com/company-news/press-releases/3992/ Reference 17 https://news.lgensol.com/company-overview/fast-facts/
7. What comes next
Mid-single-digit marginJanuary 2026 company guidance (including the incentive). First-half 2026 operating profit was -95 billion won
Everything above is a company target, outlook or plan Not yet confirmed. The results are the financial figures in chapters 4 and 5 and the sites whose start of operation was announced.
None of the following appears in the official material this article reviewed Not yet confirmed.
Revenue by chemistry and format (ESS appears only as a "high-20%" share); the actual capacity of each site; the start date of the Hyundai JV in Georgia; the closing date of the full acquisition of NextStar; the amount of impact of tariffs and export controls on revenue; and volumes by customer for the 46-Series.
8. What the company is aiming for in next-generation energy storage
This chapter separates what the company says directly from what we infer. Inference marks our reading of the primary sources.
| What can be read | Primary-source basis | Type |
|---|---|---|
| With slowing EV demand, it is reallocating EV capacity to ESS | The 2025 results describe reallocating capacity between EV and ESS to cut new investment and use idle lines; ESS cell production started at Ultium Cells Tennessee and L-H Battery in the first half of 2026 | Sourced |
| In EVs, differentiation is placed on 46-Series cylindrical cells | The order backlog grew from over 300 GWh (end-2025) to over 440 GWh (end-April 2026), and the Arizona cylindrical line is being prepared | Sourced |
| Local production and system integration in North America to meet U.S. sourcing requirements | The company says it will meet "non-PFE" (not a prohibited foreign entity) requirements on the strength of its large North American capacity, and stresses Michigan-made cells in Vertech's storage contracts (DTE 6 GWh, Qcells 5 GWh) | Sourced / Inference |
| Current profit depends heavily on the U.S. incentive | Excluding the incentive, operating result was negative in both 2025 and the first half of 2026 (our calculation, chapter 4). The incentive fell from 458 in Q1 2025 to 190 in Q1 2026 as EV cell volumes decreased | Our calculation Inference |
| It prepares for the next generation with two tracks, LMR and sodium-ion | LMR through the GM commercialization plan and the Seoul National University study; sodium-ion through sample shipments to ESS customers planned for 2027 | Sourced / Not yet confirmed |
The inference that current profit depends heavily on the U.S. incentive comes from subtracting the company's own figures. Operating profit for April to June 2026 was KRW 113.3 billion (113), while the incentive in the same quarter was KRW 241 billion (241) Sourced. Subtracting, the operating result excluding the incentive was about -128 (KRW billion), with -398 for January to March 2026 and -302 for full-year 2025 Our calculation. Put differently, as ESS cell output has grown in North America the incentive has come back and profit has turned positive. But the U.S. scheme behind the incentive (chapter 11) is set by the IRA to phase down for components sold after 31 December 2029, and a "prohibited foreign entity" restriction was added by the July 2025 law. If the scheme changes, the structure of profit changes, so the company's profitability should be read with and without the incentive Inference Not yet confirmed.
9. Map of partnerships in next-generation energy storage
10. Technologies, products and services
LGES's products span cells (pouch, cylindrical, prismatic) and system integration (Vertech) Sourced. Performance values are manufacturer's stated or research-condition values, and values under different conditions are not compared.
| Product | What the material says | Ref. |
|---|---|---|
| 46-Series cylindrical | From 4680 to 46120. Demand is said to grow with tighter thermal-safety rules and wider use of structural integration (CTx), in which cells are mounted directly in the vehicle structure. It aims to secure a 10-minute fast-charging specification | 1, 2 |
| LFP cells for ESS | High-capacity LFP cells (pouch, prismatic to follow). In the first quarter of 2026 it supplied "next-generation high-capacity LFP" with a landed cost more than 10% better, per the company (basis of comparison not given) | 2 |
| System integration (Vertech) | Turnkey ESS combining hardware and software. Eight projects and 1.5 GW (6 GWh) with DTE Energy, 5 GWh with Qcells (2028-2030), and UPS and BBU for data centers | 13, 14, 1 |
| High-power tabless 2170 | Full-scale mass production in 2026, widening uses to BBU (backup power for data centers) and robots | 1 |
| LMR and sodium-ion (development) | For LMR, gas evolution is the issue; lowering the upper charge voltage from 4.6 V to 4.3 V raised the reduction of oxidized oxygen from 86% to 97% (research report). Sodium-ion samples are planned for 2027 | 1, 16 |
Sources: Reference 1 https://www.lgensol.com/upload/file/irEvent/26_2Q_LGES_business_performance_F_EN.pdf Reference 2 https://www.lgensol.com/upload/file/irEvent/26_1Q_LGES_business_performance_F_EN.pdf Reference 13 https://news.lgensol.com/company-news/press-releases/4978/ Reference 14 https://news.lgensol.com/company-news/press-releases/4563/ Reference 16 https://news.lgensol.com/company-news/press-releases/5222/
The company's material shows where materials matter. (1) Splitting NCM and LFP: nickel-based (NCM) cells serve high-energy EV uses, while LFP, which is cheaper and favorable for safety, serves ESS Sourced. LFP uses no nickel or cobalt and suits ESS life and cost (a general property). (2) 46-Series cylindrical cells: the company cites high thermal safety and ease of building cells directly into the vehicle structure Sourced. In large cylindrical cells, how the electrodes are wound and the tab design (tabless) probably affect internal resistance and heating, but the material gives no detail Inference. (3) LMR: a cathode based on manganese, without cobalt, that also uses oxygen for charge storage. The company's study points to tuning the upper charge and lower discharge cutoff voltages to improve oxygen recovery and suppress gas Sourced. Durability in actual vehicles is still being demonstrated Not yet confirmed. For the basics, see our explainers on cathode materials, cell formats and cell-to-pack, and the chemistry comparison of next-generation batteries.
11. The risks this company carries
| Risk | Details | Type |
|---|---|---|
| Dependence on a U.S. scheme (Section 45X) | Section 13502 of the IRA (Public Law 117-169, enacted 16 August 2022) provides a tax credit of US$35 per kWh for U.S.-made battery cells and US$10 per kWh for modules, phasing down for components sold after 31 December 2029 (75% in 2030, 50% in 2031, 25% in 2032, 0% after 2032). The IRS points to an overview and final regulations (October 2024). LGES's results material does not name this scheme (this article reads the incentive as corresponding to it) | Sourced (stage: enacted, phase-down from 2030) / Inference |
| Prohibited foreign entity restrictions | Section 70514 of Public Law 119-21 (enacted 4 July 2025) adds to the Section 45X credit the exclusion of components receiving material assistance from a "prohibited foreign entity" and the ineligibility of taxpayers that are certain foreign entities (applying to taxable years beginning after enactment). LGES says it meets "non-PFE" requirements, but gives no amount of impact | Sourced (stage: enacted) |
| Profit structure | Operating result excluding the incentive was negative in both 2025 and the first half of 2026 (our calculation, chapter 4). First-half 2026 operating profit was -95 billion won including the incentive | Our calculation |
| Slowing EV demand and key customers | Revenue fell 7.6% in 2025, with the company citing a slowdown in a major customer's EV sales. For the fourth quarter it also cites the end of an EV subsidy and year-end inventory adjustments by automakers. Customer names are not disclosed in the decks | Sourced |
| Ramp-up burden | In the first quarter of 2026 it posted an operating loss on initial ramp-up costs for ESS lines and a worse product mix from lower EV pouch volume. Arizona volume production is targeted for end-2026 | Sourced / Not yet confirmed |
| Financial burden | Debt of KRW 29.1 trillion, liabilities to equity of 157% and net debt to equity of 72% at end-June 2026 (earnings deck). The company says it will improve financial soundness through capex cuts and sales of non-core assets | Sourced |
| Tariffs and export controls | LGES's North American manufacturing is mainly local production in the U.S. and Canada, but the amount by which tariffs and export controls affected revenue or costs was not found in the material reviewed | Not found |
| Delivery of plans | The 60 GWh-plus ESS capacity, 90 GWh-plus new orders, sodium-ion samples and the recycling plant start are all company targets or plans, and their achievement is not confirmed | Not yet confirmed |
Sources: Reference 1 https://www.lgensol.com/upload/file/irEvent/26_2Q_LGES_business_performance_F_EN.pdf Reference 3 https://www.lgensol.com/upload/file/irEvent/25_4Q_LGES_business_performance_F_EN.pdf Reference 4 https://news.lgensol.com/company-news/press-releases/5130/ Reference 19 https://www.govinfo.gov/content/pkg/PLAW-117publ169/html/PLAW-117publ169.htm Reference 20 https://www.govinfo.gov/content/pkg/PLAW-119publ21/html/PLAW-119publ21.htm Reference 21 https://www.irs.gov/credits-deductions/advanced-manufacturing-production-credit
12. Glossary
- ESS
- Energy storage system.
- LFP
- Lithium iron phosphate; a cathode material without nickel or cobalt.
- NCM
- Batteries whose cathode uses a nickel-cobalt-manganese oxide.
- LMR
- Lithium manganese-rich; a manganese-based cathode material.
- 46-Series
- A family of cylindrical cells 46 mm in diameter (4680, 4695, 46100 and so on).
- North America production incentive
- LGES's term; this article reads it as corresponding to the U.S. advanced manufacturing production credit (45X).
- 45X
- Section 45X of the U.S. Internal Revenue Code: a tax credit for U.S.-made battery cells and other components.
- PFE
- Prohibited foreign entity.
- FTM / BTM
- FTM is front-of-the-meter (grid side) and BTM behind-the-meter (customer side) storage.
- UPS / BBU
- UPS is an uninterruptible power supply and BBU a battery backup unit for data centers.
- GWh
- A unit of energy; 1 GWh is one billion Wh.
13. References
- LG Energy Solution Q2 2026 Earnings Conference Call presentation (30 July 2026; in English). First-half 2026 revenue, operating profit, the North America production incentive, capex, leverage ratios, ESS sites in North America and the second-half plan. The deck states that figures are unaudited. https://www.lgensol.com/upload/file/irEvent/26_2Q_LGES_business_performance_F_EN.pdf
- LG Energy Solution Q1 2026 Earnings Conference Call presentation (30 April 2026; in English). Status of the five North American sites, the ESS capacity target, the 46-Series order backlog and the company's description of U.S. policy. https://www.lgensol.com/upload/file/irEvent/26_1Q_LGES_business_performance_F_EN.pdf
- LG Energy Solution Q4 2025 Earnings Conference Call presentation (29 January 2026; in English). Full-year 2025 results, ESS capacity and order targets, and the 2026 outlook and capex plan. https://www.lgensol.com/upload/file/irEvent/25_4Q_LGES_business_performance_F_EN.pdf
- LG Energy Solution Press release, "LG Energy Solution Releases 2026 Second-Quarter Financial Results": quarterly revenue, operating profit and first-half progress (30 July 2026) https://news.lgensol.com/company-news/press-releases/5130/
- LG Energy Solution Press release, "LG Energy Solution Releases 2025 Financial Results": revenue, operating profit, the 140 GWh ESS order backlog and the 46-Series backlog above 300 GWh (29 January 2026) https://news.lgensol.com/company-news/press-releases/4550/
- LG Energy Solution Press release, "Announces Start of Production at All-New Lansing Battery Plant": LFP cells for ESS and NMC cells for Toyota, with more than 35 GWh a year at full scale (19 August 2026) https://news.lgensol.com/company-news/press-releases/5163/
- LG Energy Solution Press release, "to Acquire Full Ownership of NextStar Energy in Joint Strategic Decision with Stellantis": purchase of Stellantis' 49% stake (6 February 2026) https://news.lgensol.com/company-news/press-releases/4601/
- LG Energy Solution Press release, "NextStar Energy Celebrates Grand Opening of Canada's First and Only Commercial-Scale Battery Manufacturing Facility": production since November 2025 and over one million cells (6 March 2026) https://news.lgensol.com/company-news/press-releases/4710/
- LG Energy Solution Press release, "to Invest KRW 7.2 Trillion to Build Battery Manufacturing Complex in Arizona": a plan of 27 GWh cylindrical and 16 GWh LFP pouch (24 March 2023) https://news.lgensol.com/company-news/press-releases/1613/
- LG Energy Solution Press release, "Makes Notable Progress in Construction and Hiring in Arizona": the cylindrical plant about half complete, with sample production targeted for mid-2026 and commercial production by year-end (9 April 2025) https://news.lgensol.com/company-news/press-releases/3784/
- LG Energy Solution Press release, "and Honda to Form Joint Venture for EV Battery Production in the U.S.": total investment of US$4.4 billion and about 40 GWh a year planned (29 August 2022) https://news.lgensol.com/company-news/press-releases/691/
- LG Energy Solution Press release, "and Hyundai Motor Group to Establish Battery Cell Manufacturing Joint Venture in the U.S.": 50:50, investment above US$4.3 billion and 30 GWh a year planned (26 May 2023) https://news.lgensol.com/company-news/press-releases/1780/
- LG Energy Solution Press release, "Vertech Announces Agreement with DTE Energy for 6GWh of Battery Energy Storage Systems": eight projects delivered over two years (28 May 2026) https://news.lgensol.com/company-news/press-releases/4978/
- LG Energy Solution Press release, "Vertech and Qcells Partner to Deliver 5GWh of U.S. Energy Storage Projects": for projects scheduled from 2028 to 2030 (4 February 2026) https://news.lgensol.com/company-news/press-releases/4563/
- LG Energy Solution Press release, "and Toyota Tsusho Establish a Battery Recycling Joint Venture in the U.S.": a pre-processing plant in North Carolina, 13,500 tons a year, due to start in 2026 (19 June 2025) https://news.lgensol.com/company-news/press-releases/3992/
- LG Energy Solution Press release, "and Seoul National University Open the Door to Commercializing Next-Generation LMR Batteries": suppressing gas evolution, published in Nature Communications (7 September 2026) https://news.lgensol.com/company-news/press-releases/5222/
- LG Energy Solution Company overview page "Fast Facts": founding, headcount (December 2025), patent count, list of university collaborations and company history. https://news.lgensol.com/company-overview/fast-facts/
- LG Energy Solution LG Energy Solution 2025 ESG Report (in English; includes a list of sites as of June 2026). R&D spending and staff, headcount and operating status of sites. https://www.lgensol.com/upload/file/download/LG_Energy_Solution_2025_ESG_Report_EN%5B3%5D.pdf
- U.S. Congress (Public Law 117-169) Inflation Reduction Act of 2022 (enacted 16 August 2022), Section 13502. Creation of the advanced manufacturing production credit (Internal Revenue Code Section 45X): US$35 per kWh for a battery cell and US$10 per kWh for a module, phasing down for components sold after 31 December 2029. https://www.govinfo.gov/content/pkg/PLAW-117publ169/html/PLAW-117publ169.htm
- U.S. Congress (Public Law 119-21) Public Law 119-21 (enacted 4 July 2025), Section 70514. Amendments to the Section 45X credit, including restrictions relating to prohibited foreign entities. https://www.govinfo.gov/content/pkg/PLAW-119publ21/html/PLAW-119publ21.htm
- U.S. Internal Revenue Service (IRS) Official page "Advanced Manufacturing Production Credit": an overview of the credit, with pointers to the December 2023 proposed regulations and the October 2024 final regulations. https://www.irs.gov/credits-deductions/advanced-manufacturing-production-credit
- LG Energy Solution List of press releases (2022 to 2026), used to confirm the titles and dates of announcements on recycling joint ventures (Huayou, Derichebourg) and resource supply agreements (Liontown, WesCEF, Compass Minerals, Green Technology Metals, Smackover Lithium, Elevra). https://news.lgensol.com/company-news/press-releases/
- LG Energy Solution Official newsroom (source of the logo; used to confirm the company profile). https://news.lgensol.com/
14. Claim-to-source audit
| Claim in the text | Type | Source |
|---|---|---|
| Founding, listing, headcount and patent count (company statements) | Sourced | Reference 17 https://news.lgensol.com/company-overview/fast-facts/ |
| 2025 revenue of KRW 23.7 trillion, operating profit of KRW 1.3 trillion, ESS backlog of 140 GWh and 46-Series backlog above 300 GWh | Sourced | References 5, 3 https://news.lgensol.com/company-news/press-releases/4550/ https://www.lgensol.com/upload/file/irEvent/25_4Q_LGES_business_performance_F_EN.pdf |
| The presentation change (incentive in revenue from 2026) and restated 2025 revenue | Sourced | References 1, 2 https://www.lgensol.com/upload/file/irEvent/26_2Q_LGES_business_performance_F_EN.pdf https://www.lgensol.com/upload/file/irEvent/26_1Q_LGES_business_performance_F_EN.pdf |
| First-half 2026 revenue of KRW 14.1 trillion, second-quarter operating profit of KRW 113.3 billion and the ESS share (high-20%) | Sourced | References 4, 1 https://news.lgensol.com/company-news/press-releases/5130/ https://www.lgensol.com/upload/file/irEvent/26_2Q_LGES_business_performance_F_EN.pdf |
| The quarterly amounts of the North America production incentive and the totals for 2025 and the first half of 2026 | Our calculation | References 1, 2, 3 Totals are this article's calculation. https://www.lgensol.com/upload/file/irEvent/26_2Q_LGES_business_performance_F_EN.pdf https://www.lgensol.com/upload/file/irEvent/26_1Q_LGES_business_performance_F_EN.pdf https://www.lgensol.com/upload/file/irEvent/25_4Q_LGES_business_performance_F_EN.pdf |
| Operating result excluding the incentive (-302 in 2025 and -526 in the first half of 2026, KRW billion) | Our calculation | References 1, 2, 3 This article's calculation. https://www.lgensol.com/upload/file/irEvent/26_2Q_LGES_business_performance_F_EN.pdf https://www.lgensol.com/upload/file/irEvent/26_1Q_LGES_business_performance_F_EN.pdf https://www.lgensol.com/upload/file/irEvent/25_4Q_LGES_business_performance_F_EN.pdf |
| Capex (KRW 10.4 trillion in 2025 and KRW 2.7 trillion in the first half of 2026) and the 2026 cut | Sourced | References 3, 1 https://www.lgensol.com/upload/file/irEvent/25_4Q_LGES_business_performance_F_EN.pdf https://www.lgensol.com/upload/file/irEvent/26_2Q_LGES_business_performance_F_EN.pdf |
| Leverage ratios (end-June 2026) | Sourced | Reference 1 https://www.lgensol.com/upload/file/irEvent/26_2Q_LGES_business_performance_F_EN.pdf |
| R&D spending of KRW 1.3275 trillion, 5,073 R&D staff and about 63% of employees overseas | Sourced | Reference 18 https://www.lgensol.com/upload/file/download/LG_Energy_Solution_2025_ESG_Report_EN%5B3%5D.pdf |
| Production start at Lansing (18 August 2026) and the expectation of more than 35 GWh a year and 1,700 people at full scale | Sourced | Reference 6 Full scale is a company target. https://news.lgensol.com/company-news/press-releases/5163/ |
| NextStar production start (November 2025), grand opening (5 March 2026) and the full-ownership announcement (closing conditional) | Sourced | References 7, 8 https://news.lgensol.com/company-news/press-releases/4601/ https://news.lgensol.com/company-news/press-releases/4710/ |
| The status of five North American sites and the start of ESS cell production (Ultium Cells Tennessee, L-H Battery) | Sourced | References 2, 4 https://www.lgensol.com/upload/file/irEvent/26_1Q_LGES_business_performance_F_EN.pdf https://news.lgensol.com/company-news/press-releases/5130/ |
| The Arizona plan (27 GWh cylindrical and 16 GWh LFP, KRW 7.2 trillion), construction progress and the end-2026 production target | Not yet confirmed | References 9, 10, 3 Volume production is a company target. https://news.lgensol.com/company-news/press-releases/1613/ https://news.lgensol.com/company-news/press-releases/3784/ https://www.lgensol.com/upload/file/irEvent/25_4Q_LGES_business_performance_F_EN.pdf |
| The announcement-stage plans of the Honda and Hyundai joint ventures | Not yet confirmed | References 11, 12 Plans at announcement, not current capacity. https://news.lgensol.com/company-news/press-releases/691/ https://news.lgensol.com/company-news/press-releases/1780/ |
| The "operational" listing of the Hyundai JV (ESG report) | Sourced | Reference 18 The start date and capacity could not be confirmed. https://www.lgensol.com/upload/file/download/LG_Energy_Solution_2025_ESG_Report_EN%5B3%5D.pdf |
| The DTE Energy (6 GWh) and Qcells (5 GWh) storage agreements | Sourced | References 13, 14 https://news.lgensol.com/company-news/press-releases/4978/ https://news.lgensol.com/company-news/press-releases/4563/ |
| The recycling JV with Toyota Tsusho (due to start in 2026) | Not yet confirmed | Reference 15 Start-up is a company plan. https://news.lgensol.com/company-news/press-releases/3992/ |
| The LMR study with Seoul National University (92.2% after 883 cycles, 4.6 V to 4.3 V and so on) | Sourced | Reference 16 Research-condition values. https://news.lgensol.com/company-news/press-releases/5222/ |
| The list of university research centers and contests, and the universities' names | Sourced | Reference 17 https://news.lgensol.com/company-overview/fast-facts/ |
| The credit amounts and phase-down timing in IRA Section 13502 | Sourced | References 19, 21 https://www.govinfo.gov/content/pkg/PLAW-117publ169/html/PLAW-117publ169.htm https://www.irs.gov/credits-deductions/advanced-manufacturing-production-credit |
| The restrictions added by Section 70514 of Public Law 119-21 | Sourced | Reference 20 https://www.govinfo.gov/content/pkg/PLAW-119publ21/html/PLAW-119publ21.htm |
| The reading that the "North America production incentive" corresponds to Section 45X | Inference | This article's interpretation, since the company's material gives no legal basis. |
| The reading that current profit depends heavily on the U.S. incentive | Inference | This article's interpretation from subtracting the company's figures. |
| The reading that local North American production serves as the response to sourcing requirements | Inference | This article's interpretation of the company's statements. |
| The materials readings (NCM versus LFP, 46-Series, LMR) | Inference | This article's commentary. |
| Revenue by chemistry, actual capacity by site, and the impact of tariffs and export controls | Not yet confirmed | None appears in the material reviewed, and this article does not estimate them. |
Last updated: 10 October 2026 / Troy Technical
The figures in this article are based on LG Energy Solution's earnings presentations, press releases and ESG report, U.S. statutes (Public Laws 117-169 and 119-21) and the IRS's official page. The earnings decks show figures before external audit. Research-firm estimates and press-only figures are not used. Passages marked "Inference" are our reading of primary sources, not statements by the company.