Why is LG Energy Solution taking full control of NextStar Energy?

LG Energy Solution wants unified control to align production with near-term demand. Storage orders from utilities can offer clearer contracts than some EV timelines. Owning all of the Windsor site lets LG match product mix, pricing, and capacity to real orders while keeping Stellantis as a customer and protecting local jobs.

Will jobs be affected at the Windsor battery plant?

Local reports indicate no layoffs are expected. With storage prioritized, the plant has a clearer product pipeline to keep lines busy while EV demand normalizes. Stellantis remaining a customer also supports continuity. We will watch official updates as commissioning milestones and purchase agreements are finalized.

What does this mean for Canada’s energy storage market?

It likely accelerates storage deployment. A large domestic plant can supply utilities and commercial projects with shorter lead times. That supports grid reliability, peak shaving, and renewable integration. As tenders and tax credits progress, we expect more bankable contracts that can anchor steady production in Windsor and across Canada.

Does Stellantis still benefit from the Windsor battery plant?

Yes. Stellantis exited ownership but remains a customer, which should help secure supply for future models. This arrangement reduces disruption risk for their platforms while LG Energy Solution focuses the plant on storage-first output, then flexes to mobility packs as model launches and volumes improve.

Global Market Insights

February 06: LG Energy Solution Takes Full Control of Windsor Battery Plant

ByHuzaifa Zahoor February 7, 2026February 7, 2026

LG Energy Solution will take full control of the Windsor battery plant by acquiring Stellantis’s 49% stake in NextStar Energy. The facility will prioritize grid energy storage systems rather than only EV batteries. For Canadian investors, this move signals where demand is growing and how subsidy-backed capacity will be used. No layoffs are expected, and Stellantis will remain a customer. We explain what this means for Ontario’s industrial base, energy transition goals, and procurement for utilities across Canada.