General Motors and LG Energy Solution have announced a partnership to manufacture low-cost lithium-iron phosphate (LFP) batteries in the United States. This move is part of GM’s ongoing efforts to expand its electric vehicle (EV) lineup and make EVs more affordable for consumers.
The collaboration will see General Motors converting a portion of its manufacturing plant in Spring Hill, Tennessee, to accommodate the assembly of LFP batteries. These batteries will power the next-generation Chevy Bolt EV and one trim of the Silverado EV, offering customers more options for sustainable transportation.
LFP batteries are considered a cost-effective alternative to nickel-manganese-cobalt (NMC) cells, which are pricier and have a higher environmental impact during production. While LFP cells may have slightly lower energy density, they are known for their safety, durability, and competitive range. In fact, LFP batteries currently power over 80% of EVs in China, showcasing their effectiveness in the market.
The Spring Hill factory, owned by Ultium Cells which is a joint venture between GM and LG Energy Solution, will start producing LFP batteries by the end of 2027. This move is expected to result in significant cost savings on the pack level compared to traditional lithium-ion packs with high-nickel chemistries.
GM’s decision to embrace LFP technology aligns with the broader industry trend towards more affordable EV options. Ford is also planning to produce LFP cells at its BlueOval Battery Park in Michigan, while Tesla has expanded its LFP facility in Nevada for energy storage applications.
In addition to LFP batteries, GM is investing in next-generation battery chemistries, including lithium-manganese-rich (LMR) batteries for full-size trucks and SUVs. These advancements are part of GM’s commitment to sustainable transportation and reducing the environmental impact of its vehicles.
The Spring Hill factory is a key production hub for GM, manufacturing both traditional gas vehicles and EVs under one roof. It also produces models like the Cadillac Lyriq, Vistiq, and the Acura ZDX, showcasing GM’s commitment to innovation and sustainability.
Overall, GM’s partnership with LG Energy Solution to produce LFP batteries in the U.S. signals a significant step forward in the transition to electric mobility. By offering more affordable EV options with sustainable battery technology, GM is positioning itself as a leader in the EV market and driving the industry towards a cleaner, greener future.