Magna and LG have a new JV to develop powertrains for the electric vehicles of the future.
Magna
Magna International and LG have created a joint venture to develop powertrains for electric vehicles.
Magna has been elevating its profile as electrification sweeps the auto industry, while LG also has a deal to build a battery factory with GM.
"The strategy has been a long time coming," Magna's new CEO, Swamy Kotagiri, said in an interview with Insider.
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Magna International is rapidly becoming a huge player in the auto industry. The $23-billion, Canada-based company was already big. Founded in 1957, it's long been known as a premier parts supplier, and through its Austrian Magna Steyr division,
it runs the world's largest contract manufacturing facility, building vehicles for the likes of BMW and Jaguar Land Rover.More recently, Magna has become a technology provider, and at the end of last year, it unveiled a deal with South Korea's LG Electronics to make all-electric powertrains - motors, chargers, and the tech they require to extract electricity from batteries. The joint venture, LG Magna e-Powertrain, should receive government regulatory approval and the okay from LG shareholders by the middle of 2021 and expects to employ 1,000 people.
