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2021-03-05

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GM evaluating second U.S. battery plant for EVs amid construction of $2.3 billion facility in Ohio

KEY POINTS GM is evaluating a second location in the U.S. to produce battery cells for electric veh

GM evaluating second U.S. battery plant for EVs amid construction of $2.3 billion facility in Ohio

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GM said it hopes “to have a decision on the potential project” by June.\nThrough their Ultium Cells LLC joint venture, GM and LG are currentlyspending $2.3 billionfor a new battery cell plant in Ohio. The plant is expected to be completed in 2022, allowing the automaker to lower costs and bring vehicles to market more quickly. The plant is considered a lynchpin to GM’s plans for its next-generation EVs to be profitable.\nGM is expected to release 20 new or redesigned EVs as part of its$27 billion investmentplan from 2020 through 2025.\nUltium is GM’snext-generation batteriesand platform, which is expected to debut later this year in the GMC Hummer EV pickup. The first vehicles are not expected to include Ultium battery cells from the plant that’s currently under construction.\nOutgoing GM Chief Sustainability Officer Dane Parker last year said the automaker would need to make more investment in battery production capacity. He said the increase would likely be a mix of new facilities and retrofitting existing plants.\n“We’re able to, in many cases, retrofit existing propulsion plants to do that,” he said during a Goldman Sachs conference in December. “In some cases, we’ll be building new ones.”\nAmid anongoing semiconductor chip shortagethat’s impacting vehicle production globally, there has been a growing interest in restructuring vehicle supply chains, specifically for higher tech components, including battery cells. The White House last week ordered a review of the U.S. battery supply chain.\n“We need to bring battery production to the U.S.,” Ford CEO Jim Farley said last month during a Wolfe Research conference. “We can’t go through what we’re doing with chips right now in Taiwan. It’s just important.”\nFord has not announced any plans for investing in U.S. battery production. Most batteries currently are manufactured in Asia and Europe.Teslacurrently operates a massive battery and cell manufacturing facility with panasonic in Nevada. Tesla also told investors in September that it started producing its own cells at a pilot plant in Fremont, California.","news_type":1},"isVote":1,"tweetType":1,"viewCount":224,"commentLimit":10,"likeStatus":false,"favoriteStatus":false,"reportStatus":false,"symbols":[],"verified":2,"subType":0,"readableState":1,"langContent":"EN","currentLanguage":"EN","warmUpFlag":false,"orderFlag":false,"shareable":true,"causeOfNotShareable":"","featuresForAnalytics":[],"commentAndTweetFlag":false,"andRepostAutoSelectedFlag":false,"upFlag":false,"length":4,"xxTargetLangEnum":"ORIG"},"commentList":[],"hasMoreComment":false,"orderType":2}