Canada’s Magna, South Korea’s LG to build first EV parts plant in Europe
- September 5, 2023
- Posted by: Quatro Strategies
- Categories: Europe, EVs & Battery Technology
LG Magna e-Powertrain Co., a joint venture between South Korea’s LG Electronics and Canada-based Magna International, is set to construct its first electric vehicle (EV) parts production plant in Europe. The plant will be located in Miskolc, northeastern Hungary, and is part of the company’s efforts to expand its presence in the global EV market.
The facility, expected to be completed by 2025, will encompass a gross floor area of 26,000 square meters and will mark the company’s first manufacturing site in Europe, which is considered a strategically significant market for EV components.
The Hungarian plant will focus on producing EV traction motors and other core components required for EV powertrains. Traction motors play a critical role in EVs by generating and transmitting power, serving as inverters and converters, and being integral to the vehicle’s powertrain system.
Once operational, the Hungarian plant will join LG Magna’s existing manufacturing facilities located in Incheon, South Korea; Nanjing, China; and Ramos Arispe, Mexico. This expansion reflects LG Magna’s commitment to meeting the rising demand for EV components in the European market, which is experiencing significant growth as the automotive industry shifts toward electric mobility.
LG Magna e-Powertrain Co. was established in July 2021 through a partnership between LG Electronics and Magna International. The construction of the new plant in Hungary is expected to enhance the company’s growth prospects while allowing it to better cater to the European EV market.
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