Samsung SDI, GM Finalize Agreement to Establish EV Battery Joint Venture in the U.S.

On August 28, 2024, Samsung SDI announced the completion and signing of an agreement with General Motors to establish a joint venture focused on supplying electric vehicle (EV) batteries in the United States. The agreement marks a significant step forward in the partnership between the two companies, which began with an initial agreement in April of the previous year.

The signing ceremony took place at Samsung SDI’s office in Seoul and was attended by key executives from both companies, including Samsung SDI CEO Yoon-ho Choi. The joint venture will be located in New Carlisle, Indiana, on a 680-acre site. This new facility is expected to create over 1,600 much-needed American jobs, providing a substantial boost to the local economy, as another example of how the EV industry is making great progress in stimulating the US economy.

Samsung SDI and General Motors will invest approximately $3.5 billion in the new plant. The facility will have an initial annual production capacity of 27 gigawatt-hours (GWh), with plans to begin mass production in 2027. The companies also have expansion plans that are expected to increase the plant’s annual production capacity to 36 GWh.

“Building on last year’s partnership with GM, the No. 1 automaker in North America, we have established a premium battery production hub to lead the U.S. EV market.” said SAMSUNG SDI CEO Yoon-ho Choi. “SAMSUNG SDI will make best efforts to support GM enhance its leadership in the EV market with the company’s PRiMX battery products featuring ‘Super Gap’ technology.”

“The SAMSUNG SDI joint venture is the latest example of GM’s commitment to driving innovation in America,” said GM Chair and CEO, Mary Barra. “The EV market and GM sales will continue to grow as more customers experience our EVs, the charging infrastructure builds out and we expand into more segments.” 

The new battery manufacturing plant in New Carlisle, Indiana, will produce NCA-based (nickel-cobalt-aluminum) high-performance prismatic batteries, designed for deployment in General Motors’ upcoming electric vehicles. These prismatic batteries from Samsung SDI are known for their high energy density, which enhances driving range, and their robust safety features, including a metallic exterior and an advanced venting system.

Through this joint venture, Samsung SDI will establish a stronger presence in the North American EV market, aiming to expand its customer base by offering top-quality prismatic batteries with ensured safety. The partnership between Samsung SDI and GM is rooted in a shared commitment to the growth of the EV market. Both companies have closely monitored the rapidly evolving market conditions and decided to invest in this joint venture to stay ahead of the curve. Moving forward, they plan to continue expanding their strategic partnership to adapt to and shape the future of the EV industry.