General Motors has agreed to sell its interest in a Lansing, Michigan, electric vehicle battery plant that is almost finished.
The business said on Monday that it has a non-binding agreement to sell to South Korean joint venture partner LG Energy Solution. By the end of March, the firms anticipate closing the deal.
On Monday, no financial information was made public. However, GM, which has invested over $1 billion in the Lansing plant, stated that it anticipates making a profit.
In order to supply factories that produce seven electric vehicles now available for purchase in the United States, the corporation stated that it will rely on joint venture factories located in Warren, Ohio, and Spring Hill, Tennessee.
Since EV sales growth slowed from its explosive 2023 rise, almost all U.S. manufacturers have had to postpone plans to establish electric car and battery factories.
According to Motorintelligence.com, new EV sales in the US increased 7.2% to over 936,000 units through September. Compared to the 47% growth in 2023, that is slower growth. However, it is still possible that this year’s EV sales will surpass the 1.19 million record set last year. This year, 7.9% of new car sales are EVs, up from 7.6% the previous year.
According to GM, the 2.8 million square foot Lansing plant currently employs 100 people and is expected to grow to 1,700. It was supposed to open this year, but it’s uncertain when it will open.
On Monday, GM also said that it and LG had established an agreement to create prismatic battery cells for electric cars. When compared to the pouch cells that GM now uses, the rectangular cells can store more energy, reducing battery sizes, weight, and cost.
Note: Every piece of content is rigorously reviewed by our team of experienced writers and editors to ensure its accuracy. Our writers use credible sources and adhere to strict fact-checking protocols to verify all claims and data before publication. If an error is identified, we promptly correct it and strive for transparency in all updates, feel free to reach out to us via email. We appreciate your trust and support!
Leave a Reply