This file photo, provided by LG Energy Solution Ltd., shows its plant in Poland. (Image courtesy of Yonhap)
SEOUL, Aug. 29 (Korea Bizwire) — LG Energy Solution said Thursday it has signed a memorandum of understanding with Kim Long Motors to supply cylindrical batteries for the Vietnamese automaker’s upcoming line of electric buses, marking a significant step into Southeast Asia’s fast-growing EV market.
Kim Long Motors, a subsidiary of transport giant Phu Thai Group, has been producing buses since completing its factory last February and is building a passenger car plant with a planned annual capacity of 50,000 units set to begin production early next year.
The agreement secures LG Energy Solution a new client in Vietnam while strengthening its foothold in Asia’s emerging EV sector. For Kim Long, it ensures a stable supply of high-quality battery cells at a time when competition in the global EV market is intensifying.
Although the companies did not disclose the battery type, industry officials expect LG to provide 46-series cylindrical cells — considered a next-generation standard with at least five times the energy and output of the widely used 2170 cells, as well as superior space efficiency and cost competitiveness.
Kim Long is also constructing a modern battery pack assembly plant in Hue, scheduled to begin operations early next year. The facility, built on a 27,000-pyeong (approximately 89,000 square meters) site, will produce packs for use in the company’s electric buses.
“This partnership with LG Energy Solution, the world’s leading battery company, allows us to secure a stable supply chain and rigorously manage quality,” said Le Quang Dat, vice chairman of Kim Long Motors. “It will not only enhance the competitiveness of Vietnam’s EV industry but also help position the country as a hub for Asia’s clean energy sector.”
The deal underscores LG Energy Solution’s ambition to deepen its presence in Southeast Asia, where governments are pushing for electrification and international automakers are racing to establish a foothold.
Kevin Lee (kevinlee@koreabizwire.com)
