The new plant will process cathode active material (CAM), a key battery material that represents about 40% of the cost of a battery cell
The new facility will supply the Ultium Cells LLC facilities GM and LG Energy Solution are building in Lordstown, Ohio and Spring Hill, Tennessee. Two more US-based Ultium cell plants are planned by mid-decade as GM increases volume production of its Ultium-powered EVs. The location of the new plant has yet to announces but SOP is planned for 2024. GM and POSCO Chemical have signed a non-binding term sheet to create the joint venture and expect to execute definitive agreements soon.
“Our work with POSCO Chemical is a key part of our strategy to rapidly scale U.S. EV production and drive innovation in battery performance, quality and cost,” said Doug Parks, GM executive vice president, Global Product Development, Purchasing and Supply Chain. “We are building a sustainable and resilient North America-focused supply chain for EVs covering the entire ecosystem from raw materials to battery cell manufacturing and recycling.”