# LG Energy Solution pays supplier 10B won for Lansing changes *The battery maker settled a six-month dispute with Jayce Robotics, covering higher tooling costs after modifying prismatic lines in Michigan.* **Published:** October 7, 2026 **By:** Seung-min Park **Section:** Batteries & Electric Vehicles — South Korea **Format:** Breaking **Confidence:** medium **Source:** https://eastasiabrief.com/batteries-ev/lg-energy-solution-pays-supplier-10b-won-lansing-changes-586 **Publisher:** East Asia Brief (https://eastasiabrief.com/) --- ## What to know - LG Energy Solution agrees to pay 10 billion won ($7.4M) in equipment cost compensation - Jayce Robotics order of 53.8 billion won equals 1.8 times its 2025 annual revenue - Delivery contracts for Lansing prismatic tooling run through Aug. 1, 2027 ![A technician monitors an automated assembly machine moving battery casings along a conveyor line inside a manufacturing facility. (AI-generated image)](https://eastasiabrief.com/media/2026-10-07-138d54c2cbec.webp) *A technician monitors an automated assembly machine moving battery casings along a conveyor line inside a manufacturing facility. (AI-generated image)* LG Energy Solution agreed Oct. 7 to pay Jayce Robotics roughly 10 billion won ($7.4 million) to cover extra equipment modification costs at its Lansing battery plant in Michigan. The settlement resolves cost disputes that emerged after the battery maker altered production schedules and machine specifications. Jayce Robotics builds assembly tools that encase cells in metal cans, industry sources said. The 10 billion won payment represents an 18.6% increase over the original 53.8 billion won ($39.8 million) order placed late last year. The compensation marks a rare instance of a Korean cell maker raising contract prices post-order. Jayce Robotics took the manufacturing contracts in December 2025 across two separate packages. The order included 36 billion won for laser welding equipment and 17.8 billion won for electrolyte injection tools. The combined 53.8 billion won booking represented 1.8 times the 30.7 billion won in total annual revenue Jayce Robotics reported for 2025. The supplier was formerly known as Jastech before changing its corporate name in March. The tooling is destined for prismatic cell lines inside the Lansing facility. Prismatic cells house flat jelly-roll electrode sheets inside rigid aluminum casings, offering structural durability for commercial vehicles and energy storage units. LG Energy Solution originally designed the Michigan site as a joint facility with General Motors before taking full operational control. The manufacturer is installing prismatic lines to satisfy off-take agreements with automakers and grid customers. Engineering adjustments arose early this year when LG Energy Solution altered facility floor layouts and heightened technical requirements. Those design changes increased fabrication costs and slowed the build cycle for assembly modules, sources said. Jayce Robotics initiated compensation talks in the first half of 2026 to recover design and labor expenses. The supplier initially requested an adjustment equal to roughly half the original order value, people familiar said. Pricing negotiations extended across six months as engineering teams reviewed cost overruns line by line. The resulting 10 billion won compromise reflects higher component inputs without conceding the broader overhead claims sought by the vendor. The Lansing project requires specialized machinery across four stages of prismatic assembly. The lines place cell rolls into metal cans, weld the top cap plates, fill liquid electrolyte and seal the completed containers. Disruptions to equipment delivery schedules ripple across Korean parts ecosystems as electric vehicle demand moderates worldwide. Global automakers have deferred EV production targets, prompting battery manufacturers to recalibrate capital expenditure and defer factory installations. Korean machinery builders frequently bear upfront development burdens during production shifts. Tier-one suppliers invest capital into custom tooling long before installation signs off, leaving small balance sheets vulnerable when timelines stretch. Cost additions typically remain absorbed by downstream machinery suppliers under standard Korean industrial purchasing practice. The decision by LG Energy Solution to supplement the Jayce contract sets a notable precedent for vendor risk sharing. Cell makers across Asia are adjusting existing manufacturing lines from automotive pouch cells toward stationary storage products. Industrial grid batteries tolerate heavier weights and utilize lower-cost chemistries that require altered enclosure designs and modified welding tolerances. The Michigan site remains central to North American capacity expansion plans. LG Energy Solution operates the facility alongside its existing Holland, Michigan hub, directing pouch cells to energy storage systems while establishing prismatic output. Both equipment supply contracts for the Lansing lines are scheduled to conclude on Aug. 1, 2027. Jayce Robotics will deliver the modified welding and injection units under the revised technical parameters, according to contract terms. The companies have not published regulatory filings detailing the price adjustment, and neither firm confirmed whether final payment had cleared. Jayce Robotics previously filed the initial contracts under confidentiality terms without naming the buyer. Market participants track equipment delivery milestones as battery manufacturers balance customer timelines against capital discipline. Tool makers now structure delivery schedules against strict factory acceptance protocols across North American sites. ## Impact map | Event | Korea | China | Japan | Global impact | | --- | --- | --- | --- | --- | | Equipment contract adjustment | Jayce Robotics secures 10B won cost relief on Lansing order | CATL and domestic toolmakers face no contract renegotiation impact | Japanese cell equipment suppliers maintain fixed-price delivery terms | EV cell makers share capex friction costs with Tier-1 tooling vendors | ## In this story - **Companies:** LG Energy Solution, Jayce Robotics - **Tickers:** 373220.KS, 090470.KQ - **Exposed:** General Motors - **Policy:** Economic Security - **Impact:** Supply Chain, Capex, Cost Structure ## Primary sources 1. thelec.kr 2. zdnet.co.kr 3. lgensol.com 4. thelec.net 5. thevc.kr --- Cite as: East Asia Brief, "LG Energy Solution pays supplier 10B won for Lansing changes," October 7, 2026. https://eastasiabrief.com/batteries-ev/lg-energy-solution-pays-supplier-10b-won-lansing-changes-586