Honda has agreed to fully buy its joint EV battery plant in Ohio from partner LG Energy Solution for about $2.9 billion (4.2 trillion Korean won). This gives Honda complete control over the factory as it gets ready for a fresh lineup of electric vehicles starting next year.
The plant, called L-H Battery Company, sits near Jeffersonville in Fayette County. Honda and LG started it in 2022 with a $4.4 billion plan to make batteries for Honda and Acura EVs sold in North America. Production should start in 2026 with 40 GWh yearly output. The deal covers buildings and assets but not the land or equipment – the joint venture will lease back space to keep running.
Honda says owning it fully helps plan long-term for batteries in EVs and hybrids. LG calls the sale a way to free up money and focus elsewhere as US EV sales slow down. The deal should close by February 2026.
Batteries from this plant will power Honda’s new dedicated EVs on its own platform, not GM’s like the current Prologue. First up is the Acura RSX SUV in late 2026, followed by a Honda SUV and sedan from the 0 Series shown at CES 2025.
This move comes as EV demand cools in the US, with some makers cutting plans. Honda keeps pushing its “EV Hub” in Ohio, retooling factories for electric models.
If you’re watching EV news, this secures Honda’s supply for upcoming cars. More details on the lineup should come soon.