Honda and LG Energy Solutions joint venture (JV) broke ground on their $3.5 billion EV battery plant in Fayette County, Ohio, Tuesday as the company aims to begin mass production in 2025.
Honda and LGES break ground on $3.5 billion Ohio EV plant
A few months ago, in October, Honda and LG Energy Solutions (LGES) formed a new joint venture while committing to invest $3.5 billion in a new electric vehicle battery factory in the state.
The announcement is part of automakers’ strategy to turn Ohio into Honda’s “EV hub,” including a separate $700 million investment to retool three plants in the state for EV production.
As part of the automaker’s commitment, the new battery production facility will manufacture pouch-type batteries, which will be supplied to Honda’s plants for future EVs. Honda said construction was planned for early 2023, and the company is sticking to its timeline.
According to Honda In America’s Twitter post, LGES and Honda JV kicked off construction on its $3.5 billion EV battery plant Tuesday.
Honda In America Twitter
Honda expects the new facility to be completed by the end of 2024, enabling them to start mass-producing EV battery modules using advanced pouch-type lithium-ion cells by the end of 2025.
Annual production capacity is expected to reach 40 GWh when the facility is fully operational.
Honda recently announced it was overhauling business operations, including creating a new Electrification Business Development Operations to consolidate and streamline development in order to accelerate its EV rollout.
The Japanese automaker revealed its first electric SUV, the Honda Prologue, co-developed with GM, in October. The Prologue will begin pre-sales this year, followed by deliveries in 2024 alongside Acura’s first fully electric vehicle, the ZDX.
2024 Honda Prologue (Source: Honda)
Electrek’s Take
Honda’s CEO, Toshihiro Mibe, who took over in 2021, is trying to get the company back on track to stay competitive. The Ohio battery plant will play a central role in Honda’s EV strategy in the US.
Despite having plans to build on its own e: Architecture EV platform, it won’t be until 2026, in line with when the battery plant is expected to become fully operational. Until then, the automaker will rely on GM’s technology.
The new plant and EV platform will help Honda streamline production and lower costs, but that won’t be until at least a few more years.
The competition is already achieving double-digit (or 100%) EV sales while expanding production capabilities. Honda may risk doing too little too late with a few years left before its plans come to fruition.
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Genesis is preparing to shake things up with its most luxurious SUV yet, the GV90. Thanks to a new patent filing, we are getting a detailed look at how its Rolls-Royce-style coach doors will work.
New patent reveals Genesis GV90 coach door system
When Genesis first unveiled the full-size SUV at the NY Auto Show last March, it wasn’t the stunning design or advanced tech that caught everyone’s attention. It was the coach doors.
Although we were worried it wouldn’t make it to the production model, like many concepts, the Genesis GV90 will be offered with coach doors.
The ultra-luxe electric SUV was first caught with coach doors earlier this year on a car carrier in South Korea. Just last month, the GV90 was spotted in California with a hinge at the rear to open the coach doors.
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After several new patents were filed with the United States Patent and Trademark Office for new door latching devices, we are getting a sneak peek at how they are expected to work.
The patents, titled “Cinching Device For Door Latches in Vehicle,” and “Door Latch Device for Vehicles,” give a pretty detailed explanation of how the Genesis GV90’s coach doors will operate. The “Door Latch Device” uses a door striker on the lower side of the door, which is opened or closed by a hinge unit.
Unlike traditional doors, which use the B-pillar for support, the device is attached directly to the door itself, allowing for hinge-like movement.
The cinching device works in a similar way. It’s also attached to the door and part of the vehicle. However, unlike most of its kind, Genesis found a way to use a single cinching device to control multiple units. Again, the device is used for B-pillarless doors that swing open.
Genesis already said that B-pillarless coach doors are now feasible in production vehicles. The patent reveals a glimpse into how the luxury automaker could make it a reality.
Genesis Neolun ultra-luxury electric SUV concept (Source: Genesis)
Although the Genesis GV90 is expected to be offered with coach doors, they will likely not be standard. Other variants, with traditional door handles, have also been spotted testing in the US and South Korea.
Genesis is expected to launch the GV90 in mid-2026. It will be built at Hyundai’s Ulsan plant in South Korea. The flagship Genesis SUV is scheduled to debut on Hyundai’s new eM platform, which the company said will “provide 50% improvement in driving range.” It will also be loaded with the latest technology, software, connectivity, and Level 3 or higher autonomous driving capabilities.
In the Electrek Podcast, we discuss the most popular news in the world of sustainable transport and energy. In this week’s episode, we discuss the launch of the Tesla Model YL, more Tesla probes and lawsuits, new Nissan Leaf pricing, and more.
As a reminder, we’ll have an accompanying post, like this one, on the site with an embedded link to the live stream. Head to the YouTube channel to get your questions and comments in.
After the show ends at around 5 p.m. ET, the video will be archived on YouTube and the audio on all your favorite podcast apps:
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The new electric Mercedes CLA (Source: Mercedes-Benz)
July EV sales looked strong on the surface, but the looming impact of tariffs and the end of EV tax credits reveal a more complicated picture, according to Cars.com’s new Industry Insights report.
New-vehicle sales jumped 6.6% year-over-year, even as dealer inventory fell for the first time since 2022. Much of the spike came from a “buy now” mindset as shoppers raced to lock in deals before tariffs and policy changes drive prices higher. For EVs in particular, the looming end of the federal $7,500 tax credit on September 30 added another layer of urgency.
EV inventory growth is slowing – for now
Shoppers technically have more EV options than ever, with 75 models on the market – a 27% jump from last year. But new EV inventory growth has slowed to just 9% year-over-year, the lowest since before the Inflation Reduction Act revived federal incentives. Analysts expect another wave of buying before the tax credit vanishes, but after that, higher prices could cool demand, especially with most new EVs still priced in the premium-to-luxury bracket.
Tariffs set to push prices higher
Automakers absorbed an estimated $12 billion in tariff costs in the second quarter alone to keep sticker prices steady. That’s not sustainable, and once those costs flow into 2026 models, EV buyers could be facing thousands more on the same car.
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At current 25% tariff levels, the average new-vehicle price could jump from $48,000 to $54,400 – about $6,400 more. Even if trade deals trim tariffs to 15%, buyers would still see increases of more than $4,000. That’s a huge gap compared to household incomes, which grew only 1% last year.
The used EV market is heating up
While new EV prices are bracing for impact, the used EV market is gaining momentum. Inventory is up 33% year-over-year, while average prices dipped 2% to $36,000. Affordable used EVs under $25,000 – including the Tesla Model 3, Nissan Leaf, and Chevy Bolt EV – are selling 20% faster than average. Many also qualify for the $4,000 used-EV tax credit, which, like the new EV credit, ends September 30.
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