The Korean firm LG Chem is joining with General Motors to open a joint venture in the U.S. state of Ohio to make battery cells for electric vehicles.
LG Chem said Friday that the two firms will invest 50-50 up to two.three billion U.S. dollars by 2023.
The plant will make battery cells for GM's upcoming range of all-electric vehicles.
Construction of the plant is set to begin in mid-2020 and the factory is expected to create more than 11-hundred jobs in the city of Lordstown, Ohio, which lost thousands of jobs when GM closed its assembly plant there earlier this year.
The new plant is expected to slash battery production costs and strengthen LG Chem's lead in the EV battery sector.
The Ohio plant will be LG Chem's second battery-making facility in the U.S. along with its Michigan plant built in 2012.