

News
LG Energy Solution and Honda announce U.S. EV battery plant, incentives take focus
Korea’s LG Energy Solution and Japan’s Honda Motor Co. have announced they will build a lithium-ion battery manufacturing plant in the United States. The collaboration between LG Energy Solution and Honda brings yet another large-scale EV battery manufacturing project to the United States, following CATL and Panasonic, as President Biden’s Inflation Act will now focus on domestically-produced electric vehicles and components.
LG Energy Solution and Honda’s joint venture will see a total investment of $4.4 billion to establish a battery plant with an annual capacity of approximately 40 GWh. For comparison purposes, Tesla’s Gigafactory Nevada, which jointly produces battery cells and packs with Panasonic in Sparks, Nevada, had an annual output of 37 GWh in 2020.
LG Energy Solution and Honda will build pouch-type batteries at the joint venture facility, which could land in Ohio near Honda’s vehicle manufacturing plant. Pouch-type batteries differ from the traditional cylindrical design and are usually lighter weight and more flexible. They are also extremely safe and stable, but due to their design, there is a high possibility of leaking due to puncturing the cell or overheating. The development of pouch cells is usually more expensive than cylindrical cells.
The joint venture will begin to take shape after it is officially established later this year. Meanwhile, the plant’s construction is planned to begin in early 2023. Mass production is set to begin by the end of 2025.
LG Energy’s CEO, Youngsoo Kwon, said:
“Our joint venture with Honda, which has significant brand reputation, is yet another milestone in our mid-to-long-term strategy of promoting electrification in the fast-growing North American market. Since our ultimate goal is to earn our valued customers’ trust and respect, we aspire to position ourselves as a leading battery innovator, working with Honda in achieving its core initiatives for electrification, as well as providing sustainable energy solutions to discerning end consumers.”
Additionally, President, CEO, and Representative Director of Honda, Toshihiro Mibe, said:
“Honda is working toward our target to realize carbon neutrality for all products and corporate activities the company is involved in by 2050. Aligned with our longstanding commitment to build products close to the customer, Honda is committed to the local procurement of EV batteries which is a critical component of EVs. This initiative in the U.S. with LGES, the leading global battery manufacturer, will be part of such a Honda approach.”
LG Energy Solution also has joint venture agreements with General Motors, and Hyundai, among others.
How the Inflation Reduction Act has brought EV battery plans to the U.S.
The establishment of the Inflation Act brought on a $430 billion climate, health care, and tax bill that focuses on bringing the transition to EVs closer to home. Vehicles built outside of North America will no longer be eligible for tax credits, the bill said. Electric vehicles offer considerable rebates and tax credits, most often worth $7,500, as long as the manufacturer has not already sold 200,000 electric units, according to current rules. Tesla, General Motors, and, most recently, Toyota have reached the 200,000-vehicle cap.
According to Reuters, around 70 percent of the 72 current EV and plug-in hybrids on the U.S. market would no longer qualify for tax credits under the new rules. This has made those pushing for electrification efforts rethink their strategies as the United States is looking to make major changes in EV market share goals in a short period of time. California has already committed to selling its last new gas-powered vehicle in 2034, with a ban taking effect in 2035.
However, sourcing components and parts for EVs also will become a key factor in whether the vehicle qualifies for EV tax credits. By 2024, EV manufacturers are required to source at least half of their battery components in the United States or an allied country. By 2026, this number has to increase to 80 percent and will ultimately reach 100 percent in 2029, with all battery manufacturing taking place in North America.
These new stipulations have made manufacturers scramble their plans to align with the new Inflation Reduction Act, and will hopefully encourage automakers to make a more accelerated and deliberate change in terms of electrification plans.
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Elon Musk
Elon Musk confirms Tesla AI6 chip is Project Dojo’s successor
Tesla’s AI5 and AI6 chips are expected to be rolled out to the company’s consumer products.

Earlier this week, reports emerged stating that Tesla has stepped back from its Project Dojo initiative. While the reports were initially framed as a negative development for the electric vehicle maker’s autonomous driving efforts, CEO Elon Musk later noted on X that Tesla was indeed halting its Dojo initiative.
Elon Musk’s Confirmation
As per Musk, Tesla was shuttering Project Dojo because it does not make sense for the company to divide its resources and scale two different AI chip designs. Dojo, after all, is designed to train the company’s autonomous driving program, and thus, it would not be rolled out to Tesla’s consumer products.
In a series of posts on X, Musk stated that it would make sense to just use Tesla’s AI5/AI6 to train its FSD and Autopilot systems. “In a supercomputer cluster, it would make sense to put many AI5/AI6 chips on a board, whether for inference or training, simply to reduce network cabling complexity & cost by a few orders of magnitude,” Musk said.
Tesla’s AI5 and AI6 chips are expected to be rolled out to the company’s consumer products, from Optimus to the Cybercab to the next-generation Roadster.
AI6 is Dojo’s Successor
What was particularly interesting about Musk’s comment was his mention of using AI5/AI6 chips for training. As per Musk, this strategy could be seen as “Dojo 3” in a way, since the performance of Tesla’s AI5 and AI6 chips is already notable. Musk’s comment about using AI6 chips for training caught the eye of many, including Apple and Rivian alumnus Phil Beisel, who noted that “AI6 is now Dojo.”
“Dojo is Tesla’s AI training supercomputer, built around a custom chip known as the D1. The D1 and AI5/AI6 share many core design elements, particularly the math operations used in neural networks (e.g., matrix multiplication) and highly parallel processing.
“Dojo had a unique feature: chips arranged in a 5×5 grid using a system-on-wafer design, with etched interconnects enabling high-speed data transfer. In a sense, Dojo will live on as the generalized AI6. Going forward, all efforts will focus on AI6,” the tech veteran wrote in a post on X.
Elon Musk confirmed the Apple alumnus’ musings, with the CEO responding with a “bullseye” emoji. Musk is evidently excited for Tesla’s AI6 chip, which is expected to produced by Samsung’s upcoming Texas fabrication facility. In a post on X, Musk stated that he would personally be walking Samsung’s line to accelerate the output of Tesla’s AI6 computers.
Cybertruck
Tesla’s new upgrade makes the Cybertruck extra-terrestrial
The upgrade was announced by the electric vehicle maker on social media platform X.

It took a while, but the Tesla Cybertruck’s rock sliders and battery armor upgrades have finally arrived. The upgrade was announced by the electric vehicle maker on social media platform X, to much appreciation from Cybertruck owners.
Tesla Releases Cybertruck Armor Package
As could be seen in Tesla’s official Shop, the Cybertruck Terrestrial Armor Package is available only for Foundation Series units for now, though non-Foundation Series vehicles should have access to the upgrade around September 2025. Price-wise, the armor package is quite reasonable at $3,500.
For that price, Cybertruck owners would be able to acquire enhanced rock sliders and an underbody battery shield that should allow the all-electric pickup truck to go through harsh terrain without any issues. Each purchase of the Terrestrial Armor Package includes 1 Underbody shield, 1 Left side structural rocker, and 1 Right side structural rocker.
Most importantly, the Armor Package’s price includes shipment to the customer’s preferred Tesla Service Center and installation.
Extra-Terrestrial
Tesla describes its Cybertruck Armor Package as follows: “Get extra-terrestrial. The Cybertruck Terrestrial Armor Package includes enhanced rock sliders and an underbody battery shield to provide greater protection from rocks and debris when off-roading on tough terrain. The rock sliders are constructed from coated steel and the underbody battery shield is constructed from aluminum for greater protection against scraping.”
Initial impressions from a Cybertruck owner who was fortunate enough to test the Armor Package in real-world off-road conditions have been positive. The item’s pricing also seems to be quite appreciated by Cybertruck owners in forums such as the Cybertruck Owners Club, with some members stating that they would be acquiring the package for their own all-electric pickup trucks.
News
Tesla Model Y L reportedly entered mass production in Giga Shanghai
The vehicle is expected to be a larger version of the best-selling Model Y crossover.

Reports from industry watchers in China have suggested that the Tesla Model Y L has started mass production at Gigafactory Shanghai. The vehicle is expected to be a larger version of the best-selling Model Y crossover, offering three rows and six seats thanks to a longer wheelbase.
Tesla Model Y L Production Rumors
Reports about the new Model Y variant’s alleged milestone were initially shared on Weibo, with some industry watchers stating that the vehicle has already started mass production. Tesla China is reportedly surveying which of its domestic stores would have the first display units of the six-seat Model Y.
The Model Y L’s steady march towards production was evident this past week, with recent reports indicating that the vehicle’s key specs have already been listed in the China Ministry of Industry and Information Technology’s (MIIT) latest batch of new energy vehicle models that are eligible for vehicle purchase tax exemptions.
As per the MIIT’s list, the Model Y L will be a dual motor vehicle that is equipped with an 82.0-kWh lithium-ion battery from LG Energy Solution. The vehicle will feature six seats with two captain seats on the second row, as well as a CLTC range of 751 km.
Tesla Model Y L Potential
The potential of the Model Y L is vast, considering that it is produced in the existing Model Y lines of Tesla’s factories. This should slash new vehicle tooling costs and potential ramp-up issues. Three-row SUVs also command a pretty notable market that has mostly only been accessed by the more expensive Model X. With the Model Y L’s lower price, Tesla could become more competitive in the three-row SUV segment.
As noted by longtime Tesla owner and investor @_SFTahoe, the Model Y L could also become a more premium option for the company’s Robotaxi business, thanks to its second row captain seats and spacious interior. The expansion of Model Y L Robotaxis should also be impressive considering Tesla’s mastery of mass manufacturing techniques.
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