# LG Energy Solution profit rebound and LFP shift > Live situation record from CLSTR: https://clstr.news/situations/lg-energy-solution-q2-2026-results > Updated: 2026-08-31T13:09:20.000Z. Sources: 42. Developments: 9. In early July 2026, LG Energy Solution warned that quarterly profit could fall 77% as EV demand weakened in North America. By late July, the company reported Q2 consolidated revenue of 7.56 trillion won and operating profit of 113.3 billion won, reversing the prior-quarter loss. This turnaround was driven by a 4.6-fold year-on-year surge in energy-storage-system (ESS) sales, strong European pouch-cell orders, and a 241 billion won U.S. Inflation Reduction Act tax credit. On 5 August, the firm began converting five U.S. EV-battery plants from high-nickel NCM pouch-cell lines to lithium-iron-phosphate (LFP) cells for stationary storage. By mid-August, LG officially commenced production at its $2 billion facility in Lansing, Michigan. The 226-acre site serves as a dual-purpose hub, producing NCM cells for customers like Toyota and dedicated LFP prismatic cells for Tesla’s Megapack 3 units starting in 2027, as well as cells for DTE Energy and Consumers Energy. At full capacity, the Lansing plant is expected to produce up to 35 GWh of cells annually and employ approximately 1,700 people. This launch completes LG’s network of five major ESS production hubs in North America. To support its production of lithium-ion batteries for EVs and ESS, LG signed a 10-year binding offtake agreement on 31 August with Smackover Lithium, a partnership between Standard Lithium Ltd. and Equinor ASA. The deal, estimated to be worth $1.5 billion, will see the South West Arkansas (SWA) Project supply 8,000 metric tonnes of battery-quality lithium carbonate annually using direct lithium extraction (DLE) and purification processes. LG intends to establish more than 50 GWh of LFP production capacity across five North American sites by the end of 2026. ## Claims - LG Energy Solution's second‑quarter 2026 consolidated revenue was 7.56 trillion won and operating profit was 113.3 billion won. (corroborated by 7 sources) ## Timeline ### 2026-08-31: LG Energy Solution signs $1.5 billion lithium supply deal in Arkansas LG Energy Solution signed a 10-year, $1.5 billion deal with Smackover Lithium to secure 8,000 metric tons of US-produced lithium carbonate annually starting in 2029. 13 sources. https://clstr.news/cluster/lg-energy-solution-signs-15b-lithium-supply-deal-with-smackover-lithium ### 2026-08-24: LG Energy Solution begins production at new Michigan battery plant LG Energy Solution has started production at its new Lansing, Michigan facility, aiming for 35GWh annual capacity for electric vehicle and energy storage system batteries. 2 sources. https://clstr.news/cluster/lg-energy-solution-begins-production-at-new-michigan-battery-plant ### 2026-08-22: U.S. battery industry shifts focus toward AI energy storage and defense The U.S. battery industry is shifting focus from electric vehicles toward energy storage for AI and defense, supported by LG Energy Solution's plant pivot and a $500 million U.S. Department of Energy program. 5 sources. https://clstr.news/cluster/us-battery-industry-shifts-focus-toward-ai-energy-storage-and-defense ### 2026-08-20: Energy storage battery sector sees rapid growth and strategic shifts Energy storage battery companies EVE Energy and Samsung SDI report significant growth and strategic shifts, including EVE's surging profits and Samsung's conversion of a US factory to a wholly-owned base. 3 sources. https://clstr.news/cluster/energy-storage-battery-sector-sees-rapid-growth-and-strategic-shifts ### 2026-08-18: LG Energy Solution begins production at Michigan battery plant LG Energy Solution has started production at its $2 billion Lansing, Michigan plant, creating a dual-purpose hub for EV and energy storage batteries to serve clients like Toyota and Tesla. 11 sources. https://clstr.news/cluster/lg-energy-solution-opens-michigan-plant-to-complete-north-american-ess-network ### 2026-08-05: LG Energy Solution Shifts US Plants to LFP Batteries, Ganfeng Launches Fund LG Energy Solution converts five U.S. plants to LFP batteries for storage, while Ganfeng LiEnergy invests 100 million yuan in a new battery‑industry fund targeting lithium‑battery projects. 2 sources. https://clstr.news/cluster/lg-energy-solution-shifts-us-plants-to-lfp-batteries-ganfeng-launches-fund ### 2026-07-30: LG Energy Solution Leads South Korean Battery Makers to Q2 Profit Turnaround LG Energy Solution, Samsung SDI and SK On posted Q2 profit, driven by booming ESS and AI data‑center battery demand, offsetting a weak EV market. 13 sources. https://clstr.news/cluster/lg-energy-solution-posts-q2-loss-as-ev-demand-slows-ess-revenue-surges ### 2026-07-29: FlexGen and LG Energy Solution boost global battery storage market FlexGen launches European battery‑storage operations while LG Energy Solution posts Q2 profit on strong ESS sales, underscoring rapid growth in the global battery‑storage market. 2 sources. https://clstr.news/cluster/flexgen-and-lg-energy-solution-boost-global-battery-storage-market ### 2026-07-07: LG Energy Solution Q2 profit drops 77% amid EV slowdown, ESS sales aid recovery LG Energy Solution’s Q2 operating profit fell 77% to 113.3 bn won as EV demand slumped, but revenue rose 24.8% to 7.56 tn won and ESS sales helped offset losses. 4 sources. https://clstr.news/cluster/lg-energy-solution-q2-profit-drops-77-as-ev-demand-slows --- Cite as: LG Energy Solution profit rebound and LFP shift. CLSTR, https://clstr.news/situations/lg-energy-solution-q2-2026-results