That same month, the company signed a deal with Chrysler parent Stellantis to build a cell factory in North America. LG Energy is also expected to invest in plants for cylinder-type batteries in North America or Europe, according to Rho Wooho, an analyst at Meriz Securities.
LG Energy’s IPO comes as EVs become more popular and widely accepted globally, and with the outlook brightening on more policy support and improvements in battery density and costs.
Passenger EV sales, including plug-in hybrids, are forecast to increase to 14 million in 2025 from 3.1 million in 2020 and represent about 16 percent of total passenger vehicle sales, according to BloombergNEF. The price of an average battery pack is expected to fall to $93/kWh in 2024, $58/kWh in 2030, and $45/kWh by 2035, BNEF said.
“LG seemed to try to reflect almost all of the cost related to the GM recall in the third quarter, and that means there would be probably no more cost next year,” said Changhyun Jeon, an analyst at IBK Securities.
