LG Energy Solution announced recently that it has signed a long-term supply agreement with Ford, ensuring the delivery of a total of 109GWh of battery cells and modules for electric vehicles. The agreement comprises two parts: firstly, LG Energy Solution will deliver 34GWh of batteries to Ford from 2026 to 2030; secondly, it will deliver a cumulative total of 75GWh of batteries from 2027 to 2032.
The order involves high-performance ternary batteries, and based on the average price of battery cells in 2023, which is $89/kWh, the total value of the agreement exceeds 13 trillion Korean Won (approximately RMB 67.8 billion). Additionally, as LG Energy Solution will also provide complete battery modules, the total value of this contract is expected to increase further.
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