Chinese automaker Chery has taken a significant step in battery supply and signed a large-scale collaboration with LG Energy Solution. Under the agreement, LGES will provide Chery with cylindrical cell batteries with a total capacity of 8 GWh. This amount is enough to meet the energy needs of approximately 120 thousand electric vehicles.

Chery is making a huge battery move

According to a statement made by South Korea-based LGES, cylindrical cells with a diameter of 46 mm will be used in Chery’s electric flagship models. It was shared that deliveries will start in 2026 and will continue for six years.

The agreement is based on LGES’s lithium-nickel-manganese-cobalt (NMC) chemical component battery technology. It is known that this technology is preferred in premium segment electric vehicles due to its high energy density and long life.

No official figure was announced regarding the cost of the agreement. However, according to news in the South Korean press, the estimated value of the cooperation in question is 1 trillion won, or approximately 640 million euros.

This stands out as one of the largest-scale battery supply contracts in terms of Chery’s electric vehicle production targets. It is stated that the parties plan to expand the cooperation for different models of the Chery Group.

LGES has been continuing the mass production of these 46 mm diameter battery cells at its facility in Ochang, South Korea, since last year. The company is establishing a new factory in Queen Creek, Arizona, USA, in order to further increase its production capacity.

It is estimated that Tesla will be the primary customer of this facility, which is expected to be operational in the first half of 2026. So what do you think about this? You can share your views with us in the comments section below.