GM In Talks To Build Second U.S. Battery Plant With LG Chem In Tennessee: Report

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  • GM said it hopes to have a decision by June
  • As per the report, one source said GM expects to need additional battery plants – beyond the one set for Tennessee in order to meet aggressive EV targets through the end of the decade
partnership
Pic Source – Wallpaper Flare

As per a report by Reuters, General Motors Co said that it is considering building a second battery factory in the United States with South Korean joint-venture partner LG Chem Ltd. It added that it is “exploring the feasibility of constructing a second, state of the art battery cell manufacturing plant in the United States” with LG’s battery unit LG Energy Solution, via its Ultium Cells LLC joint venture, the report said. GM said it hopes to have a decision by June.

The report added that two people briefed on the matter said that GM and LG Chem are in advanced talks with Tennessee officials to build the plant, which is expected to be located near GM’s Spring Hill assembly plant. It would be similar in scope to its $2.3 billion joint-venture battery plant in Lordstown, Ohio, which is under construction, the sources said, as per the report. GM said in October it would invest $2 billion in Spring Hill to build electric vehicles, including the Cadillac Lyriq. It also said last year that it was investing $27 billion in electric and autonomous vehicles over the next five years, up from $20 billion planned before

Make further investments with GM, but could not disclose the specifics

As per the report, one source said GM expects to need additional battery plants – beyond the one set for Tennessee in order to meet aggressive EV targets through the end of the decade. LG Chem’s battery unit, LG Energy Solution, said in a statement it was in talks to make further investments with GM, but could not disclose the specifics. LG Energy Solution is also planning additional capacity expansion for other global OEMs (original equipment manufacturers) located in the U.S, it said as per the report.

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