LG Energy Solution Buys Out Stellantis for $100 as EV Reality Bites

$100. That's what it costs to buy a decent dinner these days. Or apparently, a stake in a global battery manufacturing joint venture.

LG Energy Solution is acquiring Stellantis' share of their Canadian battery joint venture for the symbolic price of $100, according to Reuters. But this isn't just a bargain basement deal—it's a telling sign of how quickly the EV landscape is shifting beneath everyone's feet.

When Partners Become Burdens

Just two years ago, LG Energy Solution and Stellantis were all smiles when they announced their Canadian battery plant partnership. The EV revolution was supposed to be unstoppable, and everyone wanted a piece of the action. Fast forward to 2026, and the reality looks quite different.

EV sales growth has slowed dramatically. Consumers remain hesitant about charging infrastructure, range anxiety persists, and the premium prices haven't come down as quickly as promised. For Stellantis—which owns brands like Jeep, Ram, and Chrysler—the North American EV market hasn't delivered the returns they'd hoped for.

The $100 price tag tells the whole story. Stellantis essentially wants out of the battery manufacturing business, preferring to focus on what they know best: making cars. They'll still buy batteries from LG Energy Solution, but they're done with the headaches of actually producing them.

The Great Battery Reshuffling

This move reflects a broader trend across the auto industry. Remember when every car company wanted to vertically integrate and control their battery supply? That was when EV demand looked like a hockey stick chart going straight up.

Now, as growth moderates and the complexities of battery manufacturing become clearer, automakers are reassessing their strategies. Some, like Tesla, remain committed to in-house production. Others, like Stellantis, are stepping back and letting the specialists handle it.

For LG Energy Solution, this represents both opportunity and risk. They gain full control of the Canadian facility, which gives them more flexibility in production planning and customer allocation. But they also shoulder all the financial risk if EV demand continues to disappoint.

What This Means for the EV Transition

The $100 buyout might seem like a steal, but it reflects deeper questions about the pace of EV adoption. Are we in a temporary slowdown before the next growth phase, or are we seeing a more fundamental recalibration of expectations?

For consumers, this could actually be positive news. As battery companies consolidate control and achieve better economies of scale, it might lead to lower costs and better technology. LG Energy Solution now has more incentive to innovate and optimize, since they can't rely on a captive customer base.

For investors, it's a reminder that the EV supply chain is still evolving rapidly. Today's partnerships might be tomorrow's buyouts, and companies need to stay nimble as market dynamics shift.