April 20, 2022

LG Magna E-Powertrain Celebrates Groundbreaking of New Facility in Mexico

New Manufacturing Plant to Produce Electric Powertrain Components for
General Motors from 2023, Create an Estimated 400 New Jobs

The front of LG-Magna's new facility in Mexico

SEOUL, April 20, 2022 โ€” LG Magna e-Powertrain, a joint venture (JV) between LG Electronics (LG) and Magna International Inc. (Magna), celebrated the groundbreaking of its new plant in Ramos Arizpe, Mexico. Scheduled for completion in 2023, the new facility will produce inverters, motors and on-board chargers to support General Motorsโ€™ new electric vehicle (EV) platform. The 260,000 square foot plant will be LG Magna e-Powertrainโ€™s first production base in North America and is expected to create around 400 new jobs.

โ€œStrengthening our JVโ€™s ability to develop and produce advanced EV sub-assemblies, the Ramos site represents one of the key pillars of LGโ€™s long-term strategy to become the auto industryโ€™s go-to innovation partner,โ€ said Eun Seok-hyun, president of the LG Vehicle component Solutions Company.

โ€œThis new facility demonstrates the continuing growth of LG Magna e-Powertrain,โ€ said Cheong Won-suk, chief executive officer of LG Magna e-Powertrain. โ€œThe JVโ€™s ongoing success will enable us to better support our customers with best-in-class components for the next generation of electric vehicles, and help us to expand our presence in the fast-growing global EV market.โ€

The groundbreaking event, which took place on April 19, was attended by executives from LG Magna e-Powertrain, LG Electronics, Magna, General Motors and local government officials.

โ€œIn the space of just over one year, weโ€™ve added an expansion agreement, identified a strategic location to support our customer, and are now in the process of realizing our plans,โ€ said Tom Rucker, president of Magna Powertrain. โ€œThe building of a new facility is a true testament to the strength of this collaboration and commitment in delivering innovative solutions to customers to meet their challenges. It also reinforces our active participation in the electrification transformation whether by eDrive sub systems or full systems.โ€

General Motors is the foundational customer for the new facility, and it will play a key role in GMโ€™s journey to build a strong, scalable, sustainable and North America-focused EV supply chain.

First announced in late 2020, LG Magna e-Powertrain combines LGโ€™s expertise in developing components for motors, inverters, and on-board chargers with Magnaโ€™s prowess in electric powertrain systems and automotive manufacturing. The joint venture is expected to fuel both companiesโ€™ growth in the highly competitive EV industry.

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