LG Energy Solution is partnering with U.S. commercial electric vehicle startup indiGOTech to target the North American commercial EV market.

LG Energy Solution announced on the 1st that it has signed a strategic memorandum of understanding (MOU) with indiGOTech for the supply of 46-series cylindrical batteries and technology cooperation.

Under the agreement, the two companies will discuss plans to give priority to applying LG Energy Solution’s 46-series cylindrical battery cells to indiGOTech’s next-generation commercial electric vehicles “Flow Ride” and “Flow Cargo,” which are currently under development. The supply discussion period runs from 2027 to 2030.

The companies also plan to pursue technology cooperation not only for future battery supply contracts but also to enhance vehicle and battery performance, including extending driving range and shortening charging time.

indiGOTech is a U.S. commercial electric vehicle startup founded in 2010. Based on its “SmartWheels” technology, which integrates drive and suspension systems into the vehicle wheels, it is developing commercial EVs for use in logistics and delivery, as well as ride-hailing services.

The company is also pushing forward a TaaS (Transportation as a Service) business that combines vehicles, charging infrastructure, and digital mobility services.

Through this agreement, LG Energy Solution plans to expand its 46-series cylindrical battery customer base in the North American market. The company places particular significance on extending applications of the 46-series beyond passenger EVs to commercial EVs used in logistics and delivery.

The commercial EV market is also growing. According to market research firm Global Market Insights, the global electric van market is expected to grow from about USD 16.3 billion in 2024 at a compound annual growth rate of 15.5% to reach about USD 65.6 billion by 2034.

Will Graylin, CEO of indiGOTech, said, “Through a long-term partnership with LG Energy Solution, we will deliver better economics to vehicles, drivers, and fleet operators.”

Oh Sung-hwan, Head of Marketing Group at LG Energy Solution’s Small-sized Battery Business Division, said, “We have secured a new U.S. customer through our NCM-based 46-series, which features high energy density and fast-charging performance,” adding, “We will expand our business scope into various commercial EV markets.”

LG Energy Solution is also expanding its local U.S. production base for 46-series batteries. The company plans to commence operation of its cylindrical battery plant in Queen Creek, Arizona, within the year, and aims to use this as a base to increase new orders.

Mass production and shipments of the 46-series are also increasing. According to LG Energy Solution, shipments of cylindrical batteries in the second quarter of this year rose 1.5 times compared with the same period a year earlier.

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