LG Energy Solution said it quadrupled the initial budget for its Queen Creek battery manufacturing plant and now plans to spend $5.5 billion on the project. This could create thousands of jobs and make it the largest independent battery complex in North America.

South Korean companies’ lithium-ion batteries power electric vehicles, mobility devices, information technology services, and energy storage services. The complex will consist of his two manufacturing facilities, one for cylindrical batteries for electric vehicles and one for lithium iron phosphate batteries for energy storage systems. Production is scheduled to start in 2025. (Lithium-ion and lithium iron phosphate are two different types of batteries.)

LG Energy Solution says battery demand is soaring and the company expects 25% to 30% revenue growth in 2023. The company credits federal tax credits to the Inflation Reduction Act passed by Congress last year as part of the increase in demand.