As LG Energy Solution and Samsung SDI set up a battery joint venture with the world's fourth-largest automotive manufacturing corporation Stellantis and target the North American market, their future actions are drawing attention. Stellantis announced a 260GWh battery investment plan by 2030 and joined hands with both companies to secure part of their supply. Samsung SDI and LG Energy Solution are expected to compete fiercely for the additional supply of Stellantis.
Samsung SDI plans to operate a North American electric vehicle battery joint venture in the first half of 2025. The batteries supplied by Samsung SDI are prismatic batteries, and there have been continuous discussions with suppliers to advance the supply period.
An industry official said, “Samsung SDI does not have a battery cell factory in the United States. Therefore, we are working with our partners in various ways to accelerate the operation of the battery joint plant as much as possible and to supply batteries in time to meet the demands of Stellantis.”
Samsung SDI has the world's largest prismatic battery production capacity. Stellantis is also expected to mainly use Samsung SDI's prismatic batteries in the North American market. However, with the incorporation of LG Energy Solution, competition between the two companies became inevitable. Stellantis distributed a supply-demand of 40GWh to LG and Samsung respectively, out of the 260GWh battery supply by 2030.
It is interpreted that Stelantis started a joint venture based on LG Energy Solution's local supply chain and Samsung SDI's supply history.
LG Energy Solution established its first battery plant in the United States in 2012 and has been operating three plants on site. LG Energy Solution plans to supply electric vehicle batteries to Stellantis beginning in the first quarter of 2024.
Samsung SDI has supplied batteries to two models of Stellantis. Samsung SDI has a battery pack plant in Michigan, and it is known that the vicinity is being considered as one of the candidate sites for a joint venture.
Stellantis aims to occupy 40% of the North American electric vehicle market by 2030 by supplying electric vehicle batteries from a joint venture between Samsung SDI and LG Energy Solution.
By Staff Reporter Jiwoong Kim (email@example.com)