Samsung SDI Wins ESS LFP Battery Order Worth Over 2 Trillion KRW in the U.S.; Full-Scale Entry into LFP Market

Samsung SDI announced on the 10th that it has signed a large-scale supply contract for ESS-use LFP batteries worth over 2 trillion KRW with a major energy company in the United States of America (U.S.A.).
With this contract, Samsung SDI is expanding its product portfolio with LFP batteries, and the global reach of prismatic batteries for ESS applications is expected to grow further.
Under the agreement signed by Samsung SDI America, Inc, Samsung SDI’s North American subsidiary, LFP batteries for ESS will be supplied to an energy infrastructure development and operation company in the U.S.A. for about three years starting in 2027, with production planned through the conversion of local factory lines.
Samsung SDI, which has been operating a prismatic battery plant for electric vehicles in partnership with Stellantis to target the U.S.A. EV market, is now converting some production lines to ESS use in response to changing local demand.
Currently, the company manufactures Lithium Nickel Cobalt Aluminium Oxide Battery (NCA battery) for ESS, but plans to secure LFP battery production lines to meet local demand. This contract is expected to further expand its ESS portfolio.
The LFP battery cells supplied by Samsung SDI under this contract will be installed in the all-in-one ESS battery solution, Samsung Battery Box 2.0 (SBB 2.0).
SBB is an integrated ESS solution that combines batteries and fire safety devices in a 20-foot container. SBB 2.0 is the first model to feature prismatic LFP batteries.
A Samsung SDI official stated, "Through ongoing research and development, we have maximized the cost competitiveness of LFP materials while enhancing energy density with differentiated materials and electrode plate processing technology." The official emphasized, "With the rapid expansion of renewable energy projects and the explosive growth of the artificial intelligence (AI) industry, demand for ESS is surging in the U.S.A., and we are strengthening our position in this market."
Industry experts note that the durability advantages of prismatic batteries over pouch-type batteries, along with advanced safety technologies recognized in the global market, were key factors in Samsung SDI’s successful LFP battery supply contract.
Furthermore, Samsung SDI is currently known as the only non-Chinese manufacturer of prismatic batteries in the U.S.A., giving it a competitive edge in the local market.
In addition to this order, Samsung SDI is in discussions with several global clients regarding the supply of both LFP and NCA batteries, raising expectations for additional contracts in the future.
A Samsung SDI representative commented, "Securing a large-scale, long-term contract for ESS-use LFP batteries is highly significant in terms of entering a new market." The representative added, "Starting with this contract, we will expand the supply of ESS products to global customers that offer not only excellent fire safety but also outstanding performance and price competitiveness."

hjkim01@fnnews.com Kim Hak-jae Reporter