Friday, June 14, 2024

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LG Energy Solution Wroclaw to supply batteries for e-buses in Europe

Over the next three years, LG Energy Solution will deliver around 200,000 units of battery modules produced at its plant near Wroclaw to GigafactoryX in Pruszkow, where they will be assembled into battery packs and systems. The delivered batteries will support the production of nearly 3,000 large commercial electric vehicles.

LG Energy Solution Wroclaw. Largest battery factory in Europe

The entire process, from battery manufacturing to the production of electric buses, will take place in Poland, marking an important milestone for both companies in the further development of sustainable electric propulsion in the demanding commercial vehicle sector and contributing to the creation of a new supply chain for Europe’s electric public transport system. The partnership also sends a clear signal that both companies are committed to accelerating the electrification of Europe, reports LG Energy Solution.

“Our partnership with ICPT, a trusted supplier of battery systems for public transport, gives us the opportunity to bring unique battery technology to the rapidly growing European commercial vehicle market. Utilizing our facility near Wroclaw, which is the largest EV battery manufacturing plant in Europe, we are committed to establishing a robust supply chain in Europe and accelerating the Old Continent’s transition to sustainable mobility,” said Seungtaek Hong, Head of Advanced Automotive Battery Marketing Department at LG Energy Solution.

The agreement also marks an important milestone for both companies in the highly demanding commercial vehicle industry. Batteries – for vehicles such as electric buses – need to withstand a much higher energy flow, up to 11 times that of passenger cars, so LG Energy Solution will apply NCM chemistry to its batteries to increase their life and driving range.

“The partnership with LG Energy Solution will strengthen our leading battery offering in the bus market. Together, we are able to offer our customers unparalleled solutions, specifically tailored to the demanding conditions of this market. Given the strong growth in demand worldwide, this is a significant plus in the market. In this way, we can offer both our existing and new customers the highest quality and reliable deliveries,” said Bartek Kras, Vice President of Impact.

LG Energy Solution Wroclaw is the largest manufacturer of lithium-ion batteries in Europe for the automotive industry. It is located in Biskupice Podgorne (Kobierzyce commune), with a current capacity of 70 GWh and covers an area of approximately 100 hectares.

The plant manufactures all battery components up to the product ready for assembly in the car. LG Energy Solution Wroclaw contributes to strengthening Poland’s position as a leader in the EV industry in Europe.

Impact Clean Power Technology is a Polish company from Pruszkow, which has been on the market since 2007. It sells its battery systems in Europe, Australia, New Zealand and the United States. Impact’s laboratory develops innovative battery systems with parameters that provide a market advantage in every segment of the company’s business.

The company is constantly working on the next generation of its batteries. It is ready to support global efforts towards a zero-carbon economy and related to the coming hydrogen revolution.It has delivered more than 20,000 reliable battery systems. Impact’s battery vehicles have already covered more than 150 million kilometers worldwide. The company has more than 290 employees, including more than 100 engineers in various specialities.

LG Solution – Korean giant in Wroclaw

LG Energy Solution Wroclaw was established in 2016 in Biskupice Podgórne near Wroclaw. It is the first and largest battery factory for electric cars in Europe. Batteries are made there to power cars from global brands including: Audi, BMW, Fiat, Ford, Porsche and Volkswagen.

“Such a rapid development of the LG Energy Solution Wrocław factory in Biskupice Podgórne, which took only five years, was of course possible thanks to the presence of experienced engineers who came from South Korea, but also, or maybe above all, thanks to the efforts and enormous commitment of Polish engineers who finally implemented our technology in the factory near Wroclaw,” said Jangha Lee, president of LG Energy Solution Wroclaw.

President Jangha Lee added that many cooperating engineers from Poland have been recognised and are today expanding LG Energy Solution’s manufacturing facilities in the United States. “Our factory near Wroclaw covers half of the global sales of the LG Energy Solution brand. Which means that this factory has a really big potential, not only in terms of production capacity, but also in terms of the potential of our employees and know-how,” added Lee. 

Korean companies choose Lower Silesia

It is worth mentioning that Korea is one of Poland’s most important economic partners outside of Europe, as evidenced by the numerous investments of Korean companies in Poland. Nearly 600 entities with Korean capital are currently operating here, and almost half are based in and around the Wroclaw agglomeration. In addition, Poland has been strengthening its economic cooperation with the Republic of South Korea for a long time.

On 13 April 2023, Wroclaw signed a partnership agreement with Cheongju, the city where LG originated. The Republic of South Korea is a very important economic partner for Poland. A very dynamic growth in trade has been recorded in recent years. In 2022, they reached their highest value ever at over $10 billion.

The involvement of Korean capital in Lower Silesia has also driven growth in the global business services sector and air traffic. Several years of growth in travelers from Wroclaw via Warsaw to the Republic of Korea has also contributed to the launch of a direct connection from the Lower Silesian capital to the South Korean capital in November this year.

Erol Dzhelik
Erol Dzhelik
I think we can overcome global challenges with mutual understanding, international cooperation and diplomacy. We offer you this insight at Poland Weekly.