23GWh! Samsung SDI will build a power battery factory worth $2.5 billion in the United States

Stellantis NV and Samsung SDI, represented by the companies, announced that they have executed a binding definitive agreement to build an electric vehicle battery gigafactory in Kokomo, Indiana, USA.

The plant is scheduled to start up in 2025 with an initial annual production capacity of 23GWh, which will increase to 33GWh in the coming years. Total production capacity will increase further as demand for electric vehicles increases for Stellantis, the world's fourth-largest automaker.

The joint venture will invest more than $2.5 billion (€2.3 billion) and create 1,400 new jobs in Kokomo and the surrounding area. The investment may gradually increase to $3.1 billion (€2.9 billion). The new plant will supply battery modules for a range of vehicles produced at Stellantis' North American assembly plants. Plant construction activities are scheduled to begin later this year, with production operations scheduled to start in the first quarter of 2025.

"Just under a year ago, we committed to an aggressive electrification strategy, anchored by five Gigafactories in Europe and North America," said Stellantis CEO Carlos Tavares.

“Today’s announcement further solidifies our global battery production footprint and demonstrates Stellantis’ commitment to the decarbonized future outlined in Dare Forward 2030.”

Samsung SDI President Choi Yun-ho said, “We would like to express our gratitude to those who supported the final selection of the Indiana plant.”

“Through our joint venture with Stellantis, we have already established a firm foothold in the fast-growing North American electric vehicle market. In the future, we will make sincere efforts to satisfy the market with first-class high-quality products and contribute to the achievement of climate change goals.”

At the Indiana plant, Samsung SDI will apply its cutting-edge technology "PRiMX" to the production of electric vehicle batteries and modules for the North American market. Samsung Electronics first launched the high-end battery technology brand "PRiMX" last year and unveiled the brand at the International Consumer Electronics Show (CES) 2022 in January this year.

As part of its 2030 strategic plan, Stellantis announced global annual battery electric vehicle sales of five million units, with a 100% passenger car sales ratio in Europe and 50% in North America by 2030.

Stellantis also plans to increase battery capacity from 140GWh to around 400GWh, which will be supported by five battery manufacturing plants and additional supply contracts. The announcement is part of a long-term electrification strategy that plans to invest $35 billion (€30 billion) in electrification and software globally by 2025.

(Source: Samsung SDI Global Lithium Battery Network, Global New Energy Vehicle Network, New Energy Network Comprehensive)