Honda Shifts EV Battery Lines to Supply AI Data Centers

Honda and LG Energy Solution originally established electric-vehicle battery capacity through a joint venture in Ohio, but slowing growth in global EV demand has left automotive battery plants facing underutilization. As electricity and energy-storage system demand from AI data centers rises, converting production lines can diversify exposure to a single market while keeping the U.S. supply chain operating.

Honda recently decided to repurpose part of the Ohio joint-venture plant, converting some battery lines originally intended for EVs to produce batteries for AI data centers and energy-storage systems. The move will keep the plant operating until the EV market recovers. No conversion date, production capacity or additional investment amount has been disclosed. Similar changes are also spreading to U.S. automakers including General Motors.