Stellantis, LG Partner For EV Battery Plant for North American Cars
【Summary】The joint venture will see the two companies produce electric vehicle batteries for Stellantis’ vehicles that will be sold in the U.S., Canada, and Mexico.
With automakers making large goals for future electrified vehicles, one of the major things they have to worry about going into the future is battery production. Nearly every automaker is going to need a serious supply of batteries for their electrified vehicles. So, automakers that wait to get something set up will be on the back foot when the production of EVs really begins. Looking to stay ahead of the general curve, Stellantis recently announced that it's partnering with LG to form a joint venture to produce battery cells and modules for North America.
Stellantis And LG Partner For Batteries
The announcement is just to inform people that Stellantis and LG have entered into a memorandum of understanding to form a joint venture. Other information, like where the facility will be and what vehicles will utilize the batteries will come at a later date. We do expect the upcoming Ram electric pickup truck and even Dodge's electric muscle to utilize the upcoming batteries. Jeep's electrified off-roaders, which will fit under the 4xe PHEV family, are also expected to feature batteries from the venture.
Right now, Stellantis is ready to state that the joint venture is to help the automaker, which has 14 companies under its umbrella, reach its goal of having more than 40 percent of sales in the U.S. come from electrified vehicles by 2030. The plant is expected to start producing batteries in the first quarter of 2024 and expects to have an annual production capacity of 40 gigawatt hours. Together, LG and Stellantis will produce batteries for pure electric vehicles, plug-in hybrids, and hybrids. The batteries will go to plants located in the U.S., Canada, and Mexico.
Automakers Are Split
Stellantis isn't the only automaker that's working with LG for electric car batteries. General Motors uses the company for the batteries in the Bolt EV and Bolt EUV. Those are involved in a massive recall over the risk of fire. The issue will see LG pay GM $1.2 billion over its faulty batteries. Ford, on the other hand, decided to work with SK Innovation for its batteries.
While quite a few automakers have decided to partner with other companies to make batteries for electric cars, some have decided to approach the issue on their own. Toyota recently announced that it plans to build a battery factory in the U.S. for its electrified vehicles as part of a $3.4 billion investment into automotive batteries through 2030. Instead of partnering with another company, Toyota's looking to its other brands for the solution. To make batteries, Toyota will work closely with Toyota Tsusho.
Vineeth Joel Patel
Joel Patel has been covering all aspects of the automotive industry for four years as an editor and freelance writer for various websites. When it comes to cars, he enjoys covering the merger between technology and cars. In his spare time, Joel likes to watch baseball, work on his car, and try new foods
2023 Jeep Grand Cherokee Trailhawk Now PHEV Only
Acura Prevision EV Concept Previews Brand’s Electric Future
Hyundai Gets Serious About Electric Performance Cars, Shows off Two Concepts
Ford Looks to Have 100% of EV Sales Be Online
Volkswagen CEO Believes It Will Overtake Tesla in EV Sales by 2025
Report Claims Nissan Leaf Will Be Discontinued by 2025
Autonomous Vehicles Will Require Cities to Change Their Transportation Methods
Rivian, Mercedes-Benz Partner to Produce Electric Commercial Vans
- Urban Air Mobility Company Backed by Electric Automaker XPeng Inc Begins Trail Production of its Voyager X2 ‘Flying Car’
- Tesla Raises Prices in the U.S. as Inflation Chips Away at its Profit Margins
- China Added 963,000 Electric Vehicle Charging Piles Since January in its Push to Lead the World in EV Sales
- Hyundai Gets Serious About Electric Performance Cars, Shows off Two Concepts
- China’s Baidu Reveals the Apollo RT6, a Fully Autonomous, Production Ready Level-4 Robotaxi with Removable Steering Wheel
- Automakers Urge Consumers to Buy an EV Before Tax Credit Changes
- EV Startup VinFast is Offering 3 Years of Free EV Charging and Advanced Driver Assist System for Customers That Reserve a Vehicle Through Sept 30
- China’s CATL to Supply Honda with 123 GWh of Electric Vehicle Batteries by 2030
- Siemens Invests $25 Million in Wireless Charging Company WiTricity to Develop Interoperable Standards for Cable-free EV Charging
- Report Claims Nissan Leaf Will Be Discontinued by 2025