US EditionTesla Signs $4.3 Billion LFP Battery Deal With LGES, $16.5 Billion Chip Deal With Samsung - CleanTechnica
UNITED STATES, JUL 31 – Tesla shifts battery supply to LG Energy Solution amid US-China tensions and secures a $16.5 billion contract with Samsung for AI chips powering self-driving vehicles.
- On Thursday, Tesla formalized a $4.3 billion deal with LG Energy Solution for LFP batteries and a $14.08 billion contract with Samsung Electronics for AI chips.
- Facing supplier concentration risks, Tesla shifted battery orders from CATL to LG Energy Solution as U.S. tariff chaos prompted U.S. battery production expansion.
- LGES factories in Michigan, Ohio and Tennessee will produce LFP batteries delivered from August 2027 through July 2030, with the contract effective on July 24, 2025, and ending in 2033.
- Meanwhile, the battery contract represents about 25 of LG Energy Solution’s 2024 sales, and Samsung expects to generate around $1.8 billion annually from the chip partnership.
- Broader context suggests industry observers note the chip deal may boost Samsung’s foundry credibility, while LFP batteries align with U.S. energy storage trends amid slower EV adoption.
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Tesla Signs $4.3 Billion LFP Battery Deal With LGES, $16.5 Billion Chip Deal With Samsung - CleanTechnica
Tesla this week has signed two major long tern contracts, one with LGES for LFP batteries, the other with Samsung for advanced chips. The post Tesla Signs $4.3 Billion LFP Battery Deal With LGES, $16.5 Billion Chip Deal With Samsung appeared first on CleanTechnica.
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