So many times we hear "electric is the future”But we seldom question who makes it possible to have an electric car. Among the most well-known car brands of this kind we have Tesla, excellently carried out by the visionary Elon Musk. This brand, according to what we know, self-produces any component of its cars. LG instead, second as reported by the official website, has entered into a joint venture with Magna to produce different types of accessories that will be used in the construction of cars powered by renewable energy. Let's go see the details.
LG joins forces with Magna: together to create tools necessary for building electric cars such as gears and engines powered by clean energy
It is the same company that communicates the joint venture. But before seeing the details, it is necessary to clarify who is Magna. Magna International is one of the world's top six automotive component manufacturers in terms of sales, and owns several autonomous driving technologies and platforms. What will the new company do? LG Magna e-Powertrain (this is the name) will put all its technology into play for the production of electric motors, inverters, battery chargers and, for some car manufacturers, related electric drive systems for cars.
The joint venture combines Magna's strength in electric drive systems and automotive manufacturing with the Korean company's experience in developing components for electric motors and inverters. All this will lead to one accelerated growth of both partners in the electric powertrain market. LG has gained experience in developing components for electric vehicles, particularly with cars such as Chevrolet Bolt EV e Jaguar I PACE.
Manufacturers must be disruptive to maintain leadership positions in electrification, and through this agreement, LG is entering a new phase in its automotive components business - a growth opportunity with enormous potential. We believe the combination of our in-house skill and Magna's experience and history will transform the electric motor space faster than if we went it alone
Kim Jin-yong, president of LG Electronics Vehicle component Solutions
The agreement should end a July of the 2021 and will lead to the construction of plants with over 1.000 employees located at LG's offices in the United States, South Korea and China. According to Bloomberg the move will be worth a billion dollars, with the Korean company that will hold 51% of the shares and Magna 49%.
