LG Elec opens its first overseas EV charger plant in Texas

South Korea’s LG Electronics Inc. has opened its first overseas EV charger factory in Fort Worth, Texas. The move comes as the global home appliance maker, eyeing new growth engines in the future mobility sector, targets North America, the world’s No. 2 EV market by sales.

LG said on Saturday that the factory spanning 5,500 square meters (59,200 square feet) can produce more than 10,000 chargers annually.

The facility has already started manufacturing a slow-speed charger with an 11 kilowatt (kW) capacity, according to the company.

The electronics giant plans to produce fast chargers at the plant with 175 kW and 350 kW capacities. In the first half of the year, it intends to churn out 175 kW models, which support the major EV charging standards: the North American Charging Standard (NACS) and the Combined Charging System Combo 1 (CCS1).

“With the establishment of the EV charger production base, we aim to meet the rapidly growing demand for US EV infrastructure,” said Jang Ik-hwan, head of LG’s business solution division.

TO BENEFIT FROM US POLICY TO BOLSTER CHARGING INFRASTRUCTURE

LG is expected to benefit from the US government’s National Electric Vehicle Infrastructure program, which is allocating funding to charging station operators to build a nationwide network of public EV chargers. US President Joe Biden wants at least 500,000 public chargers on roadways by 2030 after unveiling a goal of making 67% of new US cars electric by 2032 last year.

The company last month said its 11 kW charger has been certified to UL 2594, the UL Standard for Electric Vehicle Supply Equipment, and to the EVSE Program Requirements for ENERGY STAR, the US Environmental Protection Agency (EPA)’s energy and performance standard.

Another Korean maker of EV chargers, SK Signet Inc., opened a factory in Texas in June last year. It secured an order to supply at least 1,000 ultra-fast chargers from Oklahoma-based Francis Energy.

The global EV charger market is forecast to reach $186 billion by 2030, according to the consulting firm Roland Burger.


TO JOIN HANDS WITH US CHARGING STATION OPERATORS

Tapping its US business-to-business sales network, LG is targeting a range of charging infrastructure demands at hotels, shopping malls, highway gas stations and garages. The company plans to sell chargers produced at the Texas plant in cooperation with station operators around the country.

The firm, whose sister company LG Chem Ltd. is the parent of the world’s No. 2 EV battery maker LG Energy Solution Ltd., aims to expand its charger business into other overseas markets such as Europe and Asia.

Last year, LG CEO Cho Joo-wan said the company planned to invest billions of dollars to nurture its EV charger business.

The company launched EV charger production in Korea last year through its subsidiary HiEV Charger, which it acquired in 2022.

Write to Chae-Yeon Kim at why29@hankyung.com
 

Jongwoo Cheon edited this article.