Stellantis Repositions Its Battery Manufacturing Partnership as It Sells NextStar Energy Stake to LG Energy Solution

Stellantis Repositions Its Battery Manufacturing Partnership as It Sells NextStar Energy Stake to LG Energy Solution

(IN BRIEF) LG Energy Solution, Stellantis, and NextStar Energy confirmed a major ownership restructuring in which LG Energy Solution will acquire Stellantis’ 49 per cent stake in NextStar Energy, becoming the facility’s sole owner in a mutually agreed strategic move designed to strengthen long-term growth and operational flexibility. Established in 2022 as a joint venture to build Canada’s first commercial-scale battery plant in Windsor, Ontario, NextStar Energy has already attracted more than $5 billion CAD in investment and currently employs over 1,300 workers, with plans to scale up to 2,500 at full production. Under full LG Energy Solution ownership, NextStar Energy is expected to expand its reach beyond electric vehicles into the fast-growing Energy Storage Systems market while maintaining Stellantis as a key customer, reinforcing Canada’s role in North America’s battery supply chain and advanced manufacturing ecosystem as the transaction moves toward regulatory approval.

(PRESS RELEASE) WINDSOR, Ontario, Canada, 6-Feb-2026 — /EuropaWire/ — Stellantis, together with LG Energy Solution and NextStar Energy, announced a significant restructuring of ownership for Canada’s flagship battery manufacturing venture in Windsor, Ontario, marking a new strategic chapter for the facility and the broader North American battery ecosystem. Under the agreed terms, Stellantis will divest its 49 per cent equity stake in NextStar Energy to its founding joint venture partner, LG Energy Solution, which will assume full ownership of the company.

NextStar Energy was originally formed in 2022 as a strategic partnership between Stellantis and LG Energy Solution with the shared objective of establishing Canada’s first commercial-scale lithium-ion battery production facility. Since its inception, the Windsor plant has become a cornerstone of Canada’s clean-energy and advanced manufacturing sectors, reinforcing domestic battery capabilities and strengthening supply chain resilience across North America.

The ownership transition reflects a mutually agreed strategic decision reached after extensive collaboration between the two shareholders and NextStar Energy’s leadership team. The parties emphasized that the change is intended to ensure operational continuity, support long-term investment stability, and enhance the company’s ability to adapt to evolving market conditions.

With LG Energy Solution taking full control, NextStar Energy is expected to benefit from the company’s technological leadership, global manufacturing experience, and established customer network. This new structure will provide greater flexibility to expand beyond automotive battery production and more effectively serve the rapidly growing Energy Storage System (ESS) sector, while maintaining responsiveness to shifting demand dynamics.

Although Stellantis will no longer hold an ownership position in NextStar Energy, the automaker reaffirmed its commitment as a long-term customer and will continue to procure battery products from the Windsor facility to support its electrification strategy and electric vehicle lineup.

To date, more than $5 billion CAD has been invested in the NextStar Energy plant, making it one of the most significant industrial and clean-energy projects in Canadian history. The facility currently employs over 1,300 workers, with plans to increase staffing to approximately 2,500 employees as production ramps up to full capacity. The plant plays a vital role in advancing Canada’s position in the global battery value chain while delivering high-quality employment opportunities in Ontario.

Beyond its contributions to the automotive sector, NextStar Energy is positioned to support a range of industries that depend on advanced battery technology, including renewable energy storage, grid stabilization, and emerging mobility applications. The facility is designed to strengthen domestic manufacturing capabilities and reduce reliance on imported battery components.

The completion of the transaction remains subject to regulatory approvals and customary closing conditions.

Executive Perspectives

David Kim, Chief Executive Officer of LG Energy Solution, highlighted that full ownership of NextStar Energy will allow the company to accelerate its North American expansion, respond more effectively to rising ESS demand, and further solidify its presence in Canada’s electric vehicle ecosystem.

Antonio Filosa, Chief Executive Officer of Stellantis, stated that transferring full operational control to LG Energy Solution will enhance the long-term viability of the Windsor facility while securing a stable and reliable battery supply for Stellantis’ electric vehicle production.

Danies Lee, Chief Executive Officer of NextStar Energy, emphasized that the revised ownership structure strengthens Canada’s leadership in battery manufacturing, providing certainty for continued investment in workforce development and production capacity while delivering sustained economic benefits for both Ontario and the country as a whole.

LG Energy Solution’s North American Operations

LG Energy Solution operates the largest and most diversified battery manufacturing network in North America, serving multiple industries with a broad range of battery chemistries and formats. Following the acquisition, its regional footprint will include four wholly owned facilities—located in Michigan (Holland and Lansing), Arizona, and Windsor through NextStar Energy—alongside four additional joint venture plants.

As global battery demand expands beyond electric vehicles into sectors such as energy storage, robotics, urban aerial mobility, and maritime applications, LG Energy Solution is strategically rebalancing its production portfolio. The company is optimizing existing capacity rather than relying heavily on new investments, with plans to exceed 60 GWh of global ESS production this year, more than 50 GWh of which will be concentrated in North America.

LG Energy Solution

LG Energy Solution (KRX: 373220) is a leading global manufacturer of lithium-ion batteries for electric vehicles, mobility, IT, and energy storage systems. With more than 30 years of experience in revolutionary battery technology and extensive research and development (R&D), the company is the top battery-related patent holder in the world with over 90,000 patents. Its robust global network, which spans North America, Europe, and Asia, includes battery manufacturing facilities established through joint ventures with major automakers. Committed to building sustainable battery ecosystem, LG Energy Solution aims to achieve carbon neutrality across its value chain by 2050, while embodying the value of shared growth and promoting diverse and inclusive corporate culture. To learn more about LG Energy Solution’s ideas and innovations, visit https://news.lgensol.com. 

Stellantis

Stellantis N.V. (NYSE: STLA / Euronext Milan: STLAM / Euronext Paris: STLAP) is a leading global automaker, dedicated to giving its customers the freedom to choose the way they move, embracing the latest technologies and creating value for all its stakeholders. Its unique portfolio of iconic and innovative brands includes Abarth, Alfa Romeo, Chrysler, Citroën, Dodge, DS Automobiles, FIAT, Jeep_®, Lancia, Maserati, Opel, Peugeot, Ram, Vauxhall, Free2move and Leasys. For more information, visit www.stellantis.com 

NextStar Energy  

NextStar Energy is Canada’s first large-scale battery manufacturing facility. Located in Windsor, Ontario, NextStar Energy is dedicated to the development and innovation of sustainable and efficient energy solutions, empowering the future of mobility. For more information, visit nextstar-energy.com.

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SOURCE: Stellantis NV