Honda and LG Energy to Invest $4.4B in Ohio EV Battery Plant

Honda is building a joint venture Ohio battery plant with LG Energy Solution in which the overall investment is expected to be $4.4 billion as part of its Honda EV Hub in Ohio. Honda Motor also announced it will increase its investments by $300 million in three auto facilities in Ohio so that it can construct gas-powered cars, hybrid cars, and electric cars on the same assembly line.

According to Jennifer Thomas, a senior vice president of Honda's U.S. division, the Japanese manufacturer now aims to invest $1 billion in three plants instead of the $700 million it had previously promised in 2022. She also voiced concerns about the administration of President Donald Trump's plans to reduce EV subsidies.

"We are creating the flexibility to produce ICE, hybrid and battery-electric vehicles on the same production lines in Ohio. This enables us to quickly respond to changes in customer demand and market conditions," Thomas said.

The government of former President Joe Biden enacted a number of laws aimed at accelerating the rollout of electric vehicles. Trump has promised to undo those, and on Tuesday, the Transportation Department started the process.

She also mentioned the 2010 government loan from Tesla and Elon Musk's involvement in DOGE, a Trump initiative to simplify government operations.