LG Signs Tentative Agreement With Iran To Cooperate For EV & Infrastructure Development

Originally published on CleanTechnica.

The trading branch of the South Korean firm LG, LG International Corporation, has signed a new tentative agreement with the government of Iran that will see the two cooperate for the development of electric vehicles and associated infrastructure, according to recent reports.

The new project will be overseen jointly by LG International and the government of Iran, reportedly. Associated LG firms — LG Chem, LG Electronics, LG Innotek, etc — will work on specific technologies to be used by the partnership.

LG Chem logo

These include: the development of relevant electric vehicle (EV) batteries and motors as well as various other parts, according to LG International (as quoted by the Iranian Mehr News Agency).

As part of the new agreement (as reported in The Chosun Ilbo), LG International will develop at least 20 EVs for the Iranian auto manufacturer Khodro by the year 2018. The agreement will also see LG develop a number of EV charging stations in the country’s capital of Tehran — which is presumably where the developed EVs will primarily be sold (Tehran is currently home to very high levels of air pollution).

While not much else has been publicly revealed about the deal, it is known that the aim is for EV production of around 60,000 units a year by the year 2023.

The deal is expected to be finalized before the end of 2016.

The primary motivation behind the deal would presumably be as a means of dealing with the country’s growing air-pollution problems (which are at their worst in Tehran, which is surrounded by mountains), but reasons pertaining to oil consumption may factor in as well (the less that’s used internally, the more that can be exported, etc).

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