Samsung SDI America signed the multi-year contract with an undisclosed U.S. energy infrastructure developer and operator to supply LFP batteries for energy storage systems over three years starting in 2027. The deal represents about 15 percent of Samsung SDI's projected annual revenue of 13 trillion won.
The batteries will be produced at Samsung SDI's Indiana plant, a joint venture with Stellantis that began operations in December 2024. The company said it is converting some electric vehicle battery production lines to ESS manufacturing in response to shifting market demand.
The LFP cells will be installed in Samsung Battery Box 2.0, a 20-foot container integrating batteries with fire safety systems.
"This large-scale, long-term ESS contract for LFP batteries is significant as it has enabled the company to secure a new market," a Samsung SDI spokesperson said. "We plan to expand supplies of ESS products with strong fire safety, performance and price competitiveness to global customers."
The firm added that it is in talks with multiple global customers over additional LFP and nickel-cobalt-aluminum battery deals.
U.S. demand for energy storage systems is projected to more than double to 142 gigawatt-hours in 2030 from 59 GWh this year, according to market research firm SNE Research, with growing preference for LFP chemistry due to its cost efficiency and safety.
The deal comes two days after LG Energy Solution announced its contract with Mercedes-Benz to supply what industry analysts widely believe to be LFP cells, positioning the Korean battery makers to capitalize on American and U.S. efforts to reduce reliance on Chinese battery suppliers.
reporter
Kim Dong-young
davekim0807@ajupress.com
Copyright ⓒ Aju Press All rights reserved.
