Mercedes-Benz has agreed to source 107 gigawatt-hours (GWh) of batteries from South Korea’s LG Energy Solution (LGES), strengthening its long-term supply of advanced cylindrical cells. Deliveries will be split between the United States and Europe, according to an official LGES filing.
Under the agreement, LGES will supply 75 GWh of batteries to Mercedes-Benz in the U.S. between July 2029 and December 2037, and 32 GWh in Europe between August 2028 and December 2035.
The order value was not disclosed, but Korean media estimate it at about 15 trillion won ($11.3 billion), based on current prices for next-generation “46 series” cylindrical cells. If confirmed, it would be LGES’s largest order to date for this cell type.
LGES is expanding production of 46-mm cylindrical cells, currently made in South Korea, with a new U.S. plant in Arizona scheduled to open in 2026. Mercedes-Benz has already showcased the format in its Concept AMG GT XX, based on the AMG.EA platform, while prismatic cells are planned for other models.
The new deal follows an October 2024 contract between the two companies for 50.5 GWh, bringing their total commitments to over 150 GWh. Industry reports said LGES won the order after competition with Chinese suppliers CATL and Farasis.
