Joint Battery Plant Planned: Samsung SDI And General Motors Establish Battery Joint Venture in The USA

Seoul, South Korea - Korean technology group Samsung SDI has finalized and signed an agreement with General Motors (GM) to establish a joint venture to supply electric vehicle (EV) batteries in the United States. The ceremony took place at Samsung SDI's Seoul office. It was attended by key executives from both companies, including Samsung SDI CEO Yoon-ho Choi.

Samsung SDI reached an agreement with GM in April last year to establish an electric car joint venture and has been working on finalizing key details since then. The joint venture will be located in New Carlisle, Indiana, on a 680-acre site and is expected to create more than 1,600 jobs.

As part of the partnership, the two companies plan to invest around USD 3.5 billion in the construction of a new plant for the production of battery cells with an initial annual production capacity of 27 GWh, with mass production planned for 2027. Annual capacity is set to increase to 36 GWh as part of subsequent expansion plans.

The new plant will produce prismatic, nickel-containing high-performance NCA-based batteries that will be used in the upcoming GM electric vehicles. According to the company, Samsung SDI's batteries not only improve range due to their high energy density, but also increase safety thanks to their slim exterior and venting system. Through the joint venture with GM, Samsung SDI aims to gain a foothold in the North American electric vehicle market and strive to attract more customers for its batteries.

The agreement is based on a shared commitment to the growth of the electric vehicle market. Both companies have been closely monitoring the rapidly changing market conditions and have decided to invest in the joint venture to keep up with the pace of the market.

Source: IWR Online, 29 Aug 2024