LG Energy Solution announced on its Q2 2025 earnings call that it would boost its annual manufacturing capacity at its battery plant in Holland, Michigan, due to market demand.
LGES opened its Michigan LFP battery cell/module manufacturing site earlier this summer and expected to reach a capacity of 16 GWh at the plant formerly tooled to make batteries for electric vehicles. The company said on the earnings call that it will now reach 17 GWh by the end of the year and then 30 GWh by year-end 2026.
The company is expecting a slowdown in EV demand but increased demand in the ESS market. With energy storage systems still receiving the investment tax credit (ITC) in the United States, there will be more opportunities for non-Chinese battery suppliers in the market.
“The company expects recent policy changes to strengthen barriers against prohibited foreign entities entering the U.S. battery market, thereby reinforcing the advantage for battery companies that have already secured local production capabilities and stable operational competencies,” LGES said in the earnings call.