A new battery manufacturing facility is coming, thanks to a joint venture from Stellantis N.V. and LG Energy Solution.
Through a memorandum of understanding, the companies will establish a new battery manufacturing facility that will produce battery cells and modules for North America while helping power Stellantis’ goal of more than 40% of its sales in the U.S. made up of electrified vehicles by 2030. The announcement says it is targeted to start by the first quarter of 2024, and the plant aims to have an annual production capacity of 40 gigawatt hours.
The batteries produced at the new facility will supply Stellantis plants throughout the U.S., Canada, and Mexico for installation in electric vehicles ranging from plug-in hybrids to full battery electric vehicles sold under the Stellantis family of brands.
The location of the facility is under review, and further details will be shared later, the news release states. Groundbreaking for the facility is expected to take place in the second quarter of 2022.
“Today’s announcement is further proof that we are deploying our aggressive electrification road map and are following through on the commitments we made during our EV Day event in July,” said Carlos Tavares, CEO of Stellantis. “With this, we have now determined the next ‘gigafactory’ coming to the Stellantis portfolio to help us achieve a total minimum of 260 gigawatt hours of capacity by 2030. I want to warmly thank each person involved in this strategic project. Together, we will lead the industry with benchmark efficiencies and deliver electrified vehicles that ignite passion.”
Partnership between the two companies dates back to 2014 when LG was selected by Stellantis (then FCA) to supply the lithium-ion battery pack system and controls for the Chrysler Pacifica Hybrid.