Thursday, June 4

South Korean battery manufacturer LG Energy Solution has inaugurated the NextStar Energy battery cell factory in Windsor after acquiring full ownership of the project following the exit of former partner Stellantis.

The facility, originally developed through the NextStar Energy joint venture established in 2022, represents an investment of about CAD 5 billion (approximately €3.15 billion). The plant covers nearly 400,000 square meters and currently employs around 1,300 workers, with plans to expand the workforce to as many as 2,500 in the coming years.

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Production at the plant began in November 2025, making it the first battery cell facility in Canada to start series manufacturing. Since then, more than one million battery cells have been produced, although the official inauguration ceremony took place only recently.

For now, the factory is focused on producing cells for stationary energy storage systems rather than electric vehicles. The shift follows LG Energy Solution’s decision in early February 2026 to acquire Stellantis’ stake in the joint venture.

“When LG Energy Solution decided to become the sole owner of NextStar Energy, we did so with absolute confidence. As Canada’s first large-scale battery manufacturing facility, NextStar Energy will play a critical role in powering the nation’s next chapter of electrification,” said David Kim, chief executive of LG Energy Solution.

See also: LG Energy Solution Cancels Battery Supply Deal With Freudenberg as Contract Losses Mount

Stellantis had originally joined the partnership to secure battery supply for its North American electric vehicle production. However, the automaker announced a strategic restructuring of its electric vehicle and battery strategy, writing off €22.2 billion as part of the process.

Officials attending the inauguration highlighted the plant’s role in strengthening Canada’s position in the automotive and battery manufacturing sectors.

“The official opening of NextStar Energy’s Windsor facility marks a major milestone for Canada’s auto industry,” said Mélanie Joly, Canada’s minister of industry. “This new centre of advance battery manufacturing will accelerate our leadership in next-generation vehicles by powering the cars we build, reinforce the strength of our energy grids, and develop the strategic technologies our partners and allies rely on.”

See also: LG Energy Solution to Sell Ohio Battery Plant Assets to Honda in $2.86 Billion Deal

While the facility currently focuses on energy storage batteries, the plant could eventually produce battery cells for electric vehicles if demand for EVs in North America increases.

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Andrew Holloway is a battery industry journalist at EVMagz.com, covering global developments in battery manufacturing, investment activity, supply chain strategy, pricing trends, and gigafactory expansion.

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