Exclusive: Tesla signs $4.3 billion battery deal with LGES, source says, reducing China reliance
The lithium iron phosphate (LFP) batteries will be supplied from LGES's U.S. factory in Michigan, the person said on condition of anonymity because the details were not public.
LGES said earlier on Wednesday that it had signed a $4.3 billion contract to supply LFP batteries over three years globally, without identifying the customer.
The announcement by the company, whose major customers include Tesla and General Motors (GM.N), opens new tab, did not say whether the LFP batteries would be used in vehicles or energy storage systems.
"In accordance with our agreement, we are unable to disclose the customer's identity due to confidentiality obligations," LGES told Reuters. Tesla did not immediately respond to a request for comment.
Tesla currently imports LFP batteries from China, "but higher tariffs have made it increasingly difficult for U.S. companies to import LFP batteries from China," said Cho Hyun-ryul, a senior analyst at Samsung Securities.
Tesla Chief Financial Officer Vaibhav Taneja said in April that the company was looking to secure non-Chinese battery suppliers for its energy storage business due to tariffs but it would take time.
The LFP deal comes amid a scramble by countries and companies globally to strike tariff agreements with Washington and after South Korea's Samsung Electronics (005930.KS), opens new tab and Tesla (TSLA.O), opens new tab this week announced a $16.5 billion chip supply deal.
LGES is one of the few U.S. producers of LFP batteries, a battery chemistry long dominated by Chinese rivals that have little presence in the U.S. market.
It started production of LFP batteries at its Michigan factory in May. The company said it was considering converting some electric vehicle battery production lines in the United States to cater to energy storage systems in response to slowing EV demand.
LGES said the contract would last from August 2027 to July 2030 and included an option to extend the deal period by up to seven years and to increase supply volumes depending on discussions with its customer.
The South Korean company warned this month of a further slowdown in EV battery demand by early next year due to U.S. tariffs and policy uncertainties as it posted a quarterly profit jump.
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Daily Mail
2 hours ago
- Daily Mail
Victims of killer self-driving Tesla on autopilot get a huge payout after four-year legal battle
A Miami jury has found Tesla was partly responsible for the 2019 crash of a self-driving vehicle that killed a woman and left her boyfriend badly injured to the tune of $242million in damages. Naibel Benavides Leon, 22, died after a Tesla Model S slammed in to her and boyfriend Dillon Angulo, then 27, in 2019. The couple had pulled over to look at the stars at the side of a road near Key Largo, Florida, when they were struck by the vehicle after driver George McGee took his eye off the road to reach for his phone. The federal jury held that Tesla bore significant responsibility because its technology failed and that not all the blame can be put on a reckless driver, even one who admitted he was distracted by his cellphone before hitting a young couple out gazing at the stars. The decision comes as Musk seeks to convince Americans his cars are safe enough to drive on their own as he plans to roll out a driverless taxi service in several cities in the coming months. Footage from the Tesla's front camera showed McGee blow through a red light as he speeds down the road at nearly 70mph. The car passes a stop sign and crashes through several other road signs before striking the couple's vehicle, which was parked 40 feet off Card Sound Road by County Road 905. Benavides Leon was thrown 75 feet and died at the scene, while Angulo suffered serious injuries, according to a wrongful death lawsuit filed against Tesla by the woman's estate. The decision ends a four-year long case remarkable not just in its outcome but that it even made it to trial. Many similar cases against Tesla have been dismissed and, when that didn't happen, settled by the company to avoid the spotlight of a trial. 'This will open the floodgates,' said Miguel Custodio, a car crash lawyer not involved in the Tesla case. 'It will embolden a lot of people to come to court.' The case also included startling charges by lawyers for the family of Leon and for her injured boyfriend Angulo. They claimed Tesla either hid or lost key evidence, including data and video recorded seconds before the accident. Tesla said it made a mistake after being shown the evidence and honestly hadn´t thought it was there. 'We finally learned what happened that night, that the car was actually defective,' said Benavides' sister, Neima Benavides. 'Justice was achieved.' The decision comes as Elon Musk (pictured) seeks to convince Americans his cars are safe enough to drive on their own as he plans to roll out a driverless taxi service in several cities in the coming months Tesla has previously faced criticism that it is slow to cough up crucial data by relatives of other victims in Tesla crashes, accusations that the car company has denied. In this case, the plaintiffs showed Tesla had the evidence all along, despite its repeated denials, by hiring a forensic data expert who dug it up. 'Today´s verdict is wrong,' Tesla said in a statement, 'and only works to set back automotive safety and jeopardize Tesla´s and the entire industry´s efforts to develop and implement lifesaving technology,' They said the plaintiffs concocted a story 'blaming the car when the driver - from day one - admitted and accepted responsibility.' In addition to a punitive award of $200 million, the jury said Tesla must also pay $43 million of a total $129 million in compensatory damages for the crash, bringing the total borne by the company to $243 million. 'It's a big number that will send shock waves to others in the industry,' said financial analyst Dan Ives of Wedbush Securities. 'It's not a good day for Tesla.' Tesla said it will appeal. Even if that fails, the company says it will end up paying far less than what the jury decided because of a pre-trial agreement that limits punitive damages to three times Tesla´s compensatory damages. Translation: $172 million, not $243 million. 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Sky News
5 hours ago
- Sky News
Tesla ordered to pay $243m to victims of fatal Autopilot crash
A jury has ruled that Tesla is partly to blame for the death of a young woman who was hit by an electric car on Autopilot. Naibel Benavides was stargazing at the time of the collision, which sent her flying 22m (75ft) through the air in Florida. Her boyfriend was seriously injured in the 2019 incident, while her body was discovered in a wooded area. The company has now been ordered to pay $243m (£183m) in damages to Ms Benavides' family, and to her partner Dillon Angulo. Jurors concluded that not all of the blame could be put on a reckless driver who admitted he was distracted by his phone before he hit the young couple. The motorist, George McGee, reached a separate settlement with the victims' families in an earlier case. Brett Schreiber, who represented the victims, said: "Tesla designed Autopilot only for controlled-access highways yet deliberately chose not to restrict drivers from using it elsewhere, alongside Elon Musk telling the world Autopilot drove better than humans. "Today's verdict represents justice for Naibel's tragic death and Dillon's lifelong injuries." 3:33 Tesla - and Elon Musk - have said it will appeal the verdict, labelling it "wrong" and a setback for automotive safety. The verdict would also work to "jeopardise Tesla's and the entire industry's efforts to develop and implement life-saving technology", the company warmed. Tesla had claimed Mr McGee was solely to blame for the fatal crash because he had reached down to pick up a dropped mobile phone as his Model S sped through an intersection in Key Largo, Florida, at about 62mph. Mr McGee allegedly did not receive alerts as he ran a stop sign and a red light - and the plaintiffs' lawyer argued that the driver's assistance should have warned the driver and braked before the collision. The collision sent Ms Benavides Leon flying 22m (75ft) through the air, with her body later being discovered in a wooded area, while Mr Angulo suffered serious injuries. "To be clear, no car in 2019, and none today, would have prevented this crash," Tesla said. "This was never about Autopilot; it was a fiction concocted by plaintiffs' lawyers blaming the car when the driver - from day one - admitted and accepted responsibility." Lawyers for the plaintiffs also alleged that Tesla either hid or lost key evidence, including data and video recorded seconds before the collision. They showed the court that the company had the evidence all along, despite repeated denials, after hiring a forensic data expert who dug it up. After being shown the evidence, Tesla said it made a mistake and honestly hadn't thought it was there. Past cases against Tesla were dismissed or settled, so the verdict in this case could encourage more legal action. Miguel Custodio, a car crash lawyer not involved in this trial, added: "This will open the floodgates. It will embolden a lot of people to come to court." The verdict comes as Mr Musk plans to roll out a driverless taxi service, hoping to convince people his vehicles are safe enough to drive on their own. Improvements to the company's driver assistance and partial self-driving features have been made in recent years - but in 2023, 2.3 million Tesla vehicles were recalled amid fears Autopilot was failing to sufficiently alert drivers not paying attention to the road.
Auto Blog
6 hours ago
- Auto Blog
Battle of the 2025 Chevrolet Blazer: Gas Versus Electric
By signing up I agree to the Terms of Use and acknowledge that I have read the Privacy Policy . You may unsubscribe from email communication at anytime. Looking for a lease on the new 2026 Hyundai Santa Fe? Find out the August lease special, including monthly payment, term length, and down payment for this popular SUV. The Blue Oval will reveal a new EV and strategy on August 11, which is aimed at competing against China's best. Siblings by nameplate We've seen a couple of automakers sharing nameplates across gas and electric vehicles now, with the Chevrolet Blazer and Blazer EV serving as a shining example. While sharing a nameplate helps in name recognition, it can also be confusing, especially if you're not a car person. Both the Chevy Blazer and Blazer EV offer sharp styling, spacious seating, and an excellent driving range. In terms of performance and price, however, they couldn't be more different. 2023 Chevrolet Blazer RS — Source: Chevrolet Combustion and electrification collide The 2025 Chevrolet Blazer comes equipped with two engine options: a 2.0-liter turbocharged four-cylinder and a naturally aspirated 3.6-liter V6. Both engine options come paired with a nine-speed automatic transmission and front-wheel drive. All-wheel drive is available as an upgrade for another $2,700. The turbocharged powertrain generates 228 horsepower and 258 lb-ft of torque. It's the more efficient of the two engine options, earning up to 25 mpg in combined city/highway driving for an estimated 485-mile range. The naturally aspirated V6 engine is optional on most trim levels and produces 308 horsepower and 270 lb-ft of torque. Fuel efficiency takes a hit, though, with V6-equipped models earning up to 21 mpg in combined city/highway driving for an estimated 456-mile range. 2023 Chevrolet Blazer RS — Source: Chevrolet Thanks to the electric motor's instant torque, every rendition of the Chevy Blazer EV is quick off the line. That's where the simplicity ends, though. The entry-level LT is available with front- or all-wheel drive, while the RS comes in front-, rear-, or all-wheel drive configurations. The top-tier SS trim is only available with all-wheel drive. Autoblog Newsletter Autoblog brings you car news; expert reviews and exciting pictures and video. Research and compare vehicles, too. Sign up or sign in with Google Facebook Microsoft Apple By signing up I agree to the Terms of Use and acknowledge that I have read the Privacy Policy . You may unsubscribe from email communication at anytime. Blazer EV LT and RS models with front-wheel drive feature a single electric motor that produces 220 horsepower and 243 lb-ft of torque, with a 312-mile range. RS models equipped with rear-wheel drive can travel up to 334 miles on a single charge while the electric motor generates 365 horsepower and 325 lb-ft of torque. LT and RS trims with all-wheel drive boast 300 horsepower and 355 lb-ft of torque, and can go as far as 283 miles. 2025 Chevrolet Blazer EV SS — Source: James Ochoa/Autoblog The SS trim features a performance version of the dual-motor AWD system tuned to produce up to 615 horsepower and 650 lb-ft of torque. Even with that kind of power, the SS model can go up to 303 miles on a single charge. According to GM estimates, the Blazer EV SS can go from zero to 60 mph in just 3.4 seconds. Blazer's shared nameplate extends to trim levels When it comes to the initial price, the gas-powered Blazer is the better choice. Starting at $35,600, the Blazer 2LT comes with heated front seats, a 10.2-inch touchscreen display, and wireless Apple CarPlay and Android Auto compatibility. The 3LT, available from $39,500, builds on the entry-level trim with a power liftgate, heated side mirrors, and leather-appointed seats. 2023 Chevrolet Blazer RS — Source: Chevrolet The RS and Premier trims top the range, and each comes priced from $43,000. Both models feature their own unique design elements and share several amenities. An eight-speaker Bose premium sound system, 10.2-inch touchscreen display, and Apple CarPlay and Android Auto compatibility come standard on both Blazer trims. The RS trim features black exterior accents, including black bowties and roof rails. The dual exhaust highlights the model's performance-driven aesthetic. Inside, the RS model includes black perforated leather-appointed seats with red accents. The Premier trim presents a more refined package, with a chrome horizontal grille, silver roof rails, and chrome accents. 2023 Chevrolet Blazer RS — Source: Chevrolet The electrified Blazer EV comes in three trim levels, all of which put an emphasis on technology and futuristic design elements. Starting at $44,600, the Blazer EV LT rides on 19-inch wheels accented by LED headlights and a body-color grille. Inside, the entry-level model features a 17.7-inch touchscreen and an 11-inch driver information display. The RS trim builds on the LT, with black elements similar to those found on the gas-powered Blazer RS. 21-inch black wheels create an athletic aesthetic from the ground up, and an illuminated front light bar and bowtie add a futuristic look. Inside, the RS trim includes heated and ventilated front bucket seats wrapped in perforated suede and Evotex upholstery. The mid-tier Blazer EV RS starts at $49,900. 2025 Chevrolet Blazer EV SS — Source: James Ochoa The top-spec SS trim starts at $60,600 and brings the sport-inspired styling that the moniker is known for. Aggressive design elements, including a standard black roof and functional aerodynamic enhancements, make the Blazer EV SS stand out from the rest of the range. An informational G-force screen plays into the performance model's aesthetic, and Z-Mode allows the driver to customize aspects of the Blazer EV's driving, including steering and throttle, for a more engaged experience. Final thoughts The 2025 Chevrolet Blazer and Blazer EV may share a nameplate, but they're far from being identical models. Despite sharing a badge, these crossovers differ in powertrain, technology, and styling. If price is the primary concern, the gas-powered Blazer is the clear pick, while the electrified model is the better option for long-term fuel savings. Even so, if you're in need of a family crossover, the Blazer and Blazer EV are solid choices in their respective segments. About the Author Joseph Pudlewski View Profile
