Tesla and South Korea’s LG Energy Solution have signed a supply agreement to build a $4.3 billion lithium iron phosphate (LFP) prismatic battery cell manufacturing facility in Lansing, Michigan, with production expected to begin in 2027, the U.S. government said Monday.

Tesla (TSLA) is set to build a new megafactory near Houston, Texas, to operate a battery storage facility, according to a report by Electrek on Wednesday, citing a tax abatement agreement with Waller County.