EU approves $105 million for expansion of EV battery plant in Poland
The aid will contribute to job creation and to the economic development of a disadvantaged region
The investment aid will support the expansion of LG Chem’s battery cell production facility for electric vehicles in the Polish Dolnośląskie region. The aid will also contribute to the development of the Dolnośląskie region, whilst preserving competition.
LG Chem Ltd. is a South Korean chemical company operating in Poland through its subsidiary LG Energy Solution Wrocław. In 2017, LG Chem decided to invest €1 billion to expand its production capacity of lithium-ion cells, battery modules and battery packs for electric vehicles in its existing plant in the Polish Dolnośląskie region.
The new plant is expected to supply batteries for more than 295,000 EV each year in the European Economic Area.
The Commission concluded that the positive effects of the project on regional development clearly outweigh any possible distortion of competition brought about by the State aid.