Samsung SDI has secured a substantial energy storage battery supply contract in the United States, with the order valued at over 2 trillion Korean won (approximately $13.5–14 billion or 96.28 billion yuan). The agreement was signed by the Korean battery maker’s U.S. subsidiary with a local customer.

This marks Samsung SDI’s first large-scale supply deal for lithium iron phosphate (LFP) batteries. The contract not only strengthens the company’s position in the North American energy storage market but also represents a strategic expansion into the global LFP-based energy storage segment.

According to available details, the contract covers LFP batteries designed primarily for large-scale energy storage systems. Structured as a long-term agreement, deliveries are scheduled to begin in 2027 and continue over a three-year period, supporting multiple energy storage projects across the United States.

The batteries will be manufactured mainly at Samsung SDI’s U.S. production facilities. The company plans to convert some of its existing electric vehicle battery production lines to dedicate capacity for energy storage batteries, aligning with local manufacturing incentives and cost requirements in the U.S. market.

Samsung SDI will integrate its square LFP cells into a 20-foot containerized all-in-one system known as the Samsung Battery Box (SBB) 2.0, which is designed to enhance safety and simplify installation.

While Samsung SDI has been recognized for its high-nickel ternary batteries for electric vehicles, the energy storage business is emerging as a key growth area amid intensifying competition and pricing pressure in the automotive battery sector. By combining U.S. local manufacturing with LFP technology, Samsung SDI has significantly raised its profile in the North American market.

The order is estimated to account for a substantial portion of Samsung SDI’s annual sales—around 15%—providing clear visibility for its performance in the coming years.

From an industry perspective, competition in the North American energy storage battery market has evolved from pure battery technology rivalry to a broader contest involving localization capabilities, integrated system solutions, and long-term delivery reliability.

As markets such as the United States and Europe continue to emphasize local manufacturing and supply chain security, companies with overseas production capacity, strong financial resources, and technical expertise are likely to hold stronger positions in large-scale, premium energy storage projects.