US government confirms Tesla and LG Energy Solution’s $4.3 billion battery deal

March 16, 2026

The U.S. government on Monday said electric vehicle maker Tesla and South Korea’s LG ​Energy Solution had signed a supply agreement to ‌build a $4.3 billion lithium iron phosphate (LFP) prismatic battery cell manufacturing facility in Lansing, Michigan, with an expected production launch in 2027.  

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