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LG Chem will decide within the month if it will take over Nissan’s factory in Barcelona and turn it into a battery plant.
Since LG Chem is expected to employ 1,500 in the plant, the deal would allow all Nissan factory workers to keep their jobs.
The Spanish government has proposed direct aid of $711 million out of the $1.88 billion required for the acquisition of the plant, which is scheduled for closure in December 2021.
LG Chem is set to notify the Spanish government about its decision within this month.
If the deal pushes through, Spain will become LG Chem’s second electric vehicle (EV) battery production in Europe, after Poland.
Spain is the No. 2 EV manufacturing country in Europe after Germany.
An LG Chem official said their company is one of two candidates for the acquisition.
