LG Energy Solution has begun significant investment to develop the Ochang Energy Plant as a global technology hub for battery production known as the ‘Mother Factory’.
In connection with this, LG Energy Solution announced on the 25th that it will invest 600 billion won in ‘Ochang Energy Plant 2’ in Cheongju, Chungcheongbuk-do, to establish the ‘Mother Line’.
The ‘Mother Line’ is characterized by its ability to conduct simple test production of products utilizing next-generation design and process technology, as well as mass production verification. Traditionally, pilot lines in the manufacturing industry could only conduct test production, necessitating separate subsequent operations for mass production testing.
LG Energy Solution plans to carry out pilot production and mass production verification work for ‘pouch long-cell batteries’ at the new Mother Line, with an aim to expand these processes to production lines worldwide. Completion is targeted for December 2024.
Through the establishment of the Mother Line, LG Energy Solution expects to respond more effectively to various customer demands and significantly reduce the time required for stabilizing the mass production of new models.
In fact, as the global electric vehicle market rapidly grows, particularly in North America, the demand for various prototype production and manufacturing by automakers is steadily increasing. The pouch long-cell battery, which will undergo pilot production and mass production verification at the new Mother Line, is one of the representative products with strong demand for mass prototype supply.
A representative from LG Energy Solution stated, “As global battery demand expands, the importance of ‘mass production leadership’, which can produce high-quality products on time, is growing. Through the establishment of the Mother Line, we will provide our customers with world-class QCD (Quality·Cost·Delivery) and enhance our differentiated competitiveness.”
The LG Energy Solution Ochang Energy Plant is the Mother Factory for battery production facilities operating across North America, Europe, and Asia. This investment is also a strategic decision to make the Ochang Energy Plant a center for research and development (R&D) and manufacturing.
In fact, since June of last year, LG Energy Solution has been investing 580 billion won to build a Mother Line for the new form factor (4680) of cylindrical batteries, which means that the validation of next-generation key products is being conducted entirely at Ochang.
Vice Chairman Kwon Young-soo of LG Energy Solution recently stated in an internal message that he will foster the Ochang Energy Plant into a hub for next-generation battery development and manufacturing, and he expressed his commitment to continuous investment in this endeavor.
Currently, LG Energy Solution is digitizing the appearance of the production lines around the world at the Ochang Energy Plant and building a Factory Monitoring Control Center (FMCC) based on an AI deep learning system.
Additionally, it is implementing a smart factory system, including remote support, manufacturing intelligence, and logistics automation, and concentrating on nurturing next-generation battery specialists through the world’s first battery-focused educational institution, the LG IBT (Institute of Battery Tech).
Last year, LG Energy Solution signed an MOU with Chungcheongbuk-do and Cheongju City to invest a total of 4 trillion won in production and R&D areas, including building a battery Mother Line and test research building at the Ochang Energy Plant by 2026.
Vice Chairman Kwon stated, “The Ochang Energy Plant is the control tower where new technologies are first applied at factories worldwide, making it the center of LG Energy Solution’s global production facilities. We will continue to make bold investments to become the ‘most trusted and beloved number one profitable company’ for our customers,” he said.
Lee Sang-jin daedusj@autodiary.kr