--- title: "BMW awards LG Energy Solution its first EV cell contract, US-built from 2028" description: "Deliveries run 2028 to 2029 from a US footprint whose Michigan lines are already pledged to Tesla's $4.31 billion Megapack grid-storage contract and a 160 GWh energy-storage order book. For holders of LG Energy Solution's Seoul-listed shares, 373220.KS, the bet is that the footprint grows as fast as the promises stacked on it." publisher: "The Inference" section: "Deals" published: 2026-11-10T22:09:51.255Z modified: 2026-11-10T22:09:51.255Z canonical: https://theinference.org/article/bmw-awards-lg-energy-solution-its-first-ev-cell-contract-us-built-from-2028 language: en keywords: "Batteries, EVs, Supply Chain, Energy Storage, Contracts" --- # BMW awards LG Energy Solution its first EV cell contract, US-built from 2028 > Deliveries run 2028 to 2029 from a US footprint whose Michigan lines are already pledged to Tesla's $4.31 billion Megapack grid-storage contract and a 160 GWh energy-storage order book. For holders of LG Energy Solution's Seoul-listed shares, 373220.KS, the bet is that the footprint grows as fast as the promises stacked on it. BMW [said on November 9](https://www.bmwblog.com/2026/11/09/bmw-adds-samsung-sdi-lg-battery-suppliers/) that [Korea's LG Energy Solution](https://theinference.org/markets/companies/lg-energy-solution) and rival cell maker Samsung SDI will supply its sixth-generation battery, the 46-millimetre cylindrical cells behind the Neue Klasse electric platform [1][2]. Samsung SDI serves Europe from Hungary; LG Energy Solution serves the United States from plants in Holland and Lansing, Michigan, with 46-series output being prepared in Arizona [1][2]. [Deliveries run 2028 to 2029, and volumes and prices were not disclosed](https://biz.heraldcorp.com/article/10931361) [1]. It is LG Energy Solution's first BMW contract for pure electric cars, after supplying only mild-hybrid models before [1]. In Europe, BMW's cell bench goes from two Chinese suppliers, CATL and EVE Energy, to three as Samsung SDI joins; in the United States, LG Energy Solution comes on as a new supplier [1][2]. ## The profit line is a tax credit The US slot matters because Washington pays for it, [as The Inference reported when the record quarter landed on November 3](https://theinference.org/article/lg-energy-solution-s-record-quarter-runs-on-us-tax-credits-and-lg-chem-is-selling-2-5-trillion-won-of-stock) [3][6]. Third-quarter operating profit was 756 billion won ($564 million) on record revenue of 9.64 trillion won, up 59 percent on the year [3][6]. Inside that sat 416.9 billion won of North American production incentives, chiefly the Inflation Reduction Act's 45X credit [3][5]. Without them, operating profit was 339.1 billion won, a 3.7 percent margin instead of 7.8 percent and roughly 7 percent below the Bloomberg consensus, and the quarter still closed with a 296.9 billion won net loss on currency-derivatives losses, interest costs and impairments [5][6]. Take the credit away and the record quarter was a miss. ## One footprint, three queues [Tesla's 5.94 trillion won ($4.31 billion) contract for Megapack](https://eastasiabrief.com/batteries-ev/lg-energy-solution-locks-4-3-billion-tesla-megapack-1185), its container-sized grid-storage battery, already holds dedicated lines at Lansing, a 50 GWh site, with deliveries from August 2027 to July 2030 [7]. The energy storage system (ESS) backlog stood near 160 GWh at end-September, mostly North American utility and AI data-center work, against a North American storage capacity plan of just over 50 GWh this year and 70 GWh by end-2027 [3][4][5]. BMW's cells come from the cylindrical side of the same footprint: [first US 46-series output is planned by end-2026](https://finance.yahoo.com/energy/articles/lg-energy-solution-releases-2026-014500903.html), and North American cylindrical capacity above 20 GWh by end-2027 [4]. Jung Jae-wook, the LG Energy Solution executive in charge of ESS battery planning, put it plainly: "Most of our planned production capacity through 2028 has already been committed to customers." [3] *Chart: **The 160 GWh storage backlog is more than double the end-2027 capacity target** Bar chart comparing LG Energy Solution's 160 GWh energy storage backlog with its North American ESS capacity targets of 50 GWh by end-2026 and 70 GWh by end-2027* *Backlog as reported at end-September 2026; capacity figures are LG Energy Solution company targets from its Q3 2026 disclosure. Units: GWh. [3][4][8]* ## The footprint has to grow first The bull case is real and already in the numbers: the company [walked out of Korea's 2 trillion won ($1.45 billion) grid-storage tender on November 5](https://eastasiabrief.com/batteries-ev/lg-energy-solution-exits-1-45b-korea-grid-storage-1173) rather than chase bids that had fallen to the 20-won range per kilowatt-hour, and lifted its 2026 revenue growth forecast to 35 to 40 percent [8][3]. For holders of the Seoul-listed shares, 373220.KS, the question is whether Arizona and the new Michigan lines are running before BMW's 2028 to 2029 window opens on plants that [Tesla](https://theinference.org/markets/companies/tesla) and the data-center backlog already occupy [7]. The first date that answers it is August 1, 2027, when Tesla's first contract cells are due out of Lansing [7]. ## Takeaway BMW's first EV cell award to LG Energy Solution runs 2028 to 2029 out of a US footprint already booked by Tesla and a 160 GWh storage backlog, so the bet is on new lines coming online in time. ## Sources 1. [The Business Herald (Herald Corporation), "Samsung SDI from Europe, LG Energy Solution from US", 10 November 2026](https://biz.heraldcorp.com/article/10931361) 2. [BMWBLOG, "BMW Expands Battery Supply Chain With Samsung SDI And LG", 9 November 2026](https://www.bmwblog.com/2026/11/09/bmw-adds-samsung-sdi-lg-battery-suppliers/) 3. [The Korea Herald, "LG Energy Solution Q3 profit climbs 26% on strong ESS demand", 3 November 2026](https://www.koreaherald.com/article/10924264) 4. [LG Energy Solution via PR Newswire (Yahoo Finance), "LG Energy Solution Releases 2026 Third-Quarter Financial Results", 2 November 2026](https://finance.yahoo.com/energy/articles/lg-energy-solution-releases-2026-014500903.html) 5. [New Era Korea Daily, "LG Energy Solution lifts 2026 sales target 35-40 percent as ESS demand surges", 8 November 2026](https://newerakorea.com/en/news/2026/11/373220-20261103800111) 6. [Investing.com via Yahoo Finance, "LG Energy Solution swings to Q3 loss despite beating operating profit estimates", 3 November 2026](https://finance.yahoo.com/energy/articles/lg-energy-solution-swings-q3-070924340.html) 7. [East Asia Brief, "LG Energy Solution locks in $4.3 billion Tesla Megapack battery supply", 10 November 2026](https://eastasiabrief.com/batteries-ev/lg-energy-solution-locks-4-3-billion-tesla-megapack-1185) 8. [East Asia Brief, "LG Energy Solution exits $1.45B Korea grid storage tender", 9 November 2026](https://eastasiabrief.com/batteries-ev/lg-energy-solution-exits-1-45b-korea-grid-storage-1173) --- BMW awards LG Energy Solution its first EV cell contract, US-built from 2028 — The Inference. Canonical: https://theinference.org/article/bmw-awards-lg-energy-solution-its-first-ev-cell-contract-us-built-from-2028