LG Energy Solution signs MoU with US startup Indigotech

LG Energy Solution has signed a non-binding memorandum of understanding with Indigotech, a US startup in the commercial electric vehicle sector. The collaboration aims to explore 46-Series cylindrical battery supply for commercial electric vans in the United States.

Image: LG Energy Solutions

Under the terms of the memorandum of understanding, LG Energy Solution and Indigotech will work toward a definitive agreement under which LG Energy Solution will supply 46-series cylindrical NCM battery cells for Indigotech’s upcoming “Flow Ride” and “Flow Cargo” electric vehicles from 2027 to 2030.

IndiGOtech is headquartered in Woburn, Massachusetts, a hot spot for electric mobility in the USA. The American startup specialises in electrifying commercial van platforms for the North American market and is developing an ecosystem that integrates vehicles, charging infrastructure, and digital services.The startup and the South Korean battery giant are targeting support for joint business development through vehicle-battery integration and performance verification efforts.

The two companies want to maximise vehicle performance by reviewing “opportunities to extend driving range and reduce charging times,” according to a statement from LG.

“Urban ride hail and delivery must electrify and automate at scale, but today’s electric vehicles are not designed for purpose, and are severely limited by the local charging infrastructure ― that’s why [the] vast majority of rides and deliveries are still driven by gas vehicles,” said Will Graylin, Chairman and CEO of indiGOtech. “Working toward a long-term relationship with LG Energy Solution brings together advanced battery technology for durable economic advantage for vehicles, drivers and fleet operators.”

For LG Energy Solution, the pending agreement is an opportunity to strengthen its competitiveness by securing additional customers for its 46-series cylindrical batteries in North America. According to the company, cylindrical battery shipments increased by 1.5 times year on year as of Q2. This was supported by what the company says was “stable mass production and expanded deliveries of its 46-series batteries.”

“Based on LG Energy Solution’s 46-series NCM cylindrical battery technology that boasts high energy density and rapid charging capabilities, we will closely collaborate with indiGOtech, which is successfully building the Transportation-as-a-Service (TaaS) ecosystem in the U.S.,” said Sunghwan Oh, Mobility & IT Battery Marketing Group Leader of LG Energy Solution. “Leveraging this partnership, we plan to enter the diverse commercial vehicle market in the U.S., including logistics, last-mile delivery, and ride-hailing.”