GM, Samsung SDI to Build $3B EV Battery Plant

General Motors and Samsung SDI are investing $3 billion to build an EV battery cell manufacturing plant in St. Joseph County, Ind., to supply GM’s expanding electric vehicle production needs.

Announced by Indiana Gov. Eric J. Holcomb, the plant will be located east of New Carlisle, Ind., at Larrison Boulevard and Indiana 2. Construction is expected to begin within the next year, with production slated to begin in 2026. More than 1,000 jobs will be created during construction and there will be about 1,700 manufacturing jobs when operations begin. It is the largest single investment and job commitment in St. Joseph County in the past 75 years.

The new facility, which will have more than 30 GWh of capacity, will house production lines to build nickel-rich prismatic and cylindrical cells. GM expects the Indiana plant to help significantly increase the accessibility and affordability of EVs. The Detroit-based auto manufacturer plans to install more than 1 million units of annual EV capacity in North America in 2025 and keep accelerating.

GM Chair & CEO Mary Barra said in a prepared statement the joint venture between GM and South Korea-based Samsung SDI will help supply cells for millions of all-electric vehicles for customers across North America.

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GM already has a substantial presence in Indiana with five facilities across the state that employ more than 5,700 workers. The company recently announced plans to invest $632 million to expand its Fort Wayne, Ind., assembly plant operations and upgrade equipment to support its growing full-size truck business. GM also announced plans to invest $491 million to expand and upgrade its Marion, Ind., facility to support its EV production growth.

Samsung SDI’s first JV with GM

The joint venture was announced in April without a location. At that time, Yoon-ho Choi, Samsung SDI president & CEO, said in prepared remarks the joint venture would enable the company to further penetrate the U.S. market. The project will be Samsung SDI’s second battery manufacturing plant in the U.S. and its first joint venture with GM. Samsung SDI is partnering with Stellantis to build a lithium-ion cell factory in Kokomo, Ind., that could open by early 2025.

Ultium Cells battery manufacturing plant at 7400 Tod Ave SW, Warren, Ohio. Image courtesy of GM

GM had initially considered the same 686-acre site in New Carlisle with LG Energy Solution, as part of their ongoing Ultium Cells LLC joint venture. The two companies opened a plant in the Lordstown neighborhood of Warren, Ohio, last year and are building three battery plants, including one in Lansing, Mich. But GM decided in January not to move forward with LGES on an additional plant, according to the Detroit Free Press.

The Indiana Economic Development Corp. is working with GM and Samsung SDI to finalize a performance-based incentive offer to support the joint venture’s investment and job creation plans. St. Joseph County, Indiana Michigan Power and Northern Indiana Public Service Co. offered additional incentives. The Free Press reported the St. Joseph County Council approved tax abatements, including 100 percent abatement from real estate taxes for 10 years.

More EV battery plants

Other EV battery plants are being built in the U.S. with several announcements made in the last few months. In late May, LGES and Hyundai Motor Group partnered for the construction of a $4.3 billion battery production facility near Savannah, Ga. The joint venture plans to break ground later this year and start battery production by late 2025. The plant will have an annual production capacity of 30 GWh. In January, LGES teamed up with Honda to build a $3.5 billion facility in Fayette County, Ohio. LGES announced in March it was investing about $5.5 billion to develop a battery manufacturing complex in Queen Creek, Ariz., near Phoenix, including one for cylindrical batteries for EVs. The two facilities will break ground this year.