Monday, December 4, 2023

Second Stellantis and Samsung battery plant in the US

Stellantis announced a further step to build the electric vehicle ecosystem in the United States and North America. Stellantis expands alliance with Samsung to build a second battery factory in Indiana (USA) with an investment of 3.2 billion dollars. This is the third battery plant in North America, where it also has another project underway with LG in Canada.

Stellantis and Samsung will invest more than 3.2 billion dollars (about 2.8 billion euros) for their second joint electric car battery factory in the United States, which will be located in the city of Kokomo, in the state of Indiana. It is located next to the first battery plant in the same city, which is already under construction.

The second Stellantis and Samsung plant will start operating in early 2027 and will have an annual production capacity of 34 GWh with a workforce of 1,400 employees. The first integrated battery production plant will be operational in 2025 with a capacity of 33 GWh. The two plants of the alliance add up to a total investment of 6.3 billion euros, with 2,800 jobs.

Planting LG in Canada

In addition, Stellantis and LG Energy Solution are promoting a battery plant in Ontario (Canada) with an annual production capacity of 45 GWh, an investment of 4.1 billion dollars and the creation of 2,500 jobs. Stellantis plans to have a global battery production capacity of 400 GWh with five plants and additional supply contracts.

The automaker hopes that this new factory, scheduled to be commissioned in the first quarter of 2024, will help it achieve its goal that electric vehicles represent more than 40% of sales in the United States. in 2030. The batteries produced in the new factory will be delivered to Stellantis vehicle assembly centers in the United States, Canada and Mexico to be installed in the new generation of rechargeable or 100% electric hybrids.

The companies are still studying the location where they will install the factory, and work is expected to start before the second quarter of 2022. The transaction will be completed after the signing of the documents and subject to the usual approval conditions in regulation, he said Stelantis. This battery plant is part of the plan that sees an investment of 30,000 million euros until 2025 in the development of electric vehicles and software.

North American brands

Stellantis, which sells the Dodge, Jeep, Ram, Chrysler, Alfa Romeo and Fiat brands in North America, wants 50% of combined passenger and light truck sales in the region to be battery electric vehicles by 2030. In July, Stellantis CEO Carlos Tavares expected that this second factory would help the automaker achieve its goal of offering “at least 25 new battery electric vehicles in the North American market by the end of the decade.”

The head of Stellantis in North America, Mark Stewart, emphasized that the ecosystem they have created for batteries “is one of the pillars of our electrification strategy.” Stewart added that the electric vehicles of the North American group’s brands have “an important role” for the goal they have set for carbon neutrality “by 2038.”

The governor of Indiana, Eric Holcomb, congratulated himself that the economy of his state “is in full growth” and the commitment of Stellantis and Samsung will have a positive effect that will be felt “for decades to come.”

The mayor of Kokomo, Tyler Moore, appreciated the investments of the two companies and considered that this second factory will “strengthen” the city’s position in battery production and show that it continues to be at the forefront of automotive manufacturing. technology.

World Nation News Desk
World Nation News Desk
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