South Korea’s LG Chem Invests $612 Million to Build World's Largest Lithium–Silicon Battery Plant

LG Chem has announced a $612 million investment to build what it says will become the world’s largest lithium–silicon battery manufacturing plant, located in South Korea’s Chungcheong region. The facility will produce next-generation anode materials that promise longer battery life, faster charging, and higher energy density than current graphite-based cells.

The plant will supply LG Energy Solution, Tesla’s Asian supply chain, and Japanese manufacturers exploring silicon-rich chemistries for electric vehicles and aviation applications. Production is expected to begin in late 2027.

Silicon anodes are widely regarded as a breakthrough in battery technology, offering up to 40 percent higher capacity. The challenge has been expansion and durability issues, which LG Chem claims to have resolved using a proprietary nano-coating process.

The new facility will also supply Indonesian and Australian EV projects. Indonesia, which holds some of the world’s largest nickel reserves, has invited LG to participate in its integrated EV ecosystem. Australia’s mining companies are exploring joint ventures with LG for battery-material processing.

The announcement comes as competition intensifies among South Korea, Japan, and China in advanced battery materials. LG Chem’s move aims to secure supply-chain dominance in anode materials, long considered a weak link in non-Chinese battery production.