Core Viewpoint - Ultium Cells, a joint venture between General Motors and LG Energy Solution, is upgrading its Spring Hill, Tennessee facility to produce low-cost lithium iron phosphate (LFP) battery cells for electric vehicles (EVs) [1][3]. Group 1: Facility Upgrade and Production - The upgrade at the Spring Hill facility aims to scale production of lower-cost LFP cell technologies in the U.S., which will diversify GM's EV portfolio alongside high-nickel and future lithium manganese-rich solutions [2]. - Commercial production of the LFP cells is expected to begin by late 2027 [3]. Group 2: Investment and Partnership - GM and LG invested $2.3 billion in the Tennessee battery plant when the partnership was announced in 2021, with the recent announcement building on this collaboration [3]. - No additional financial details regarding the upgrade were disclosed [3]. Group 3: Strategic Direction and Market Context - GM has 12 EVs in its lineup, with prices ranging from approximately $35,000 to over $300,000 [2]. - The announcement aligns with GM's broader strategy to transition to an all-EV lineup by 2035, although customer demand has influenced the pace of this transition [5].
GM, LG to upgrade Tennessee plant to make low-cost EV batteries