Stellantis, Samsung SDI Team Up To Build $2.5B Lithium-Ion Battery Plant

Joint venture to build electric vehicle battery plant in Kokomo, IN is targeted to start in 2025 and create 1,400 jobs.

Stellantis N.V. and Samsung SDI have formed a joint venture company to establish an electric-vehicle battery manufacturing facility in Kokomo, IN. Targeted to start in 2025, the plant is expected to have an initial annual production capacity of 23 gigawatt hours (GWh), with a goal to increase to 33 GWh in the next few years. Total capacity would increase further as demand for Stellantis electric vehicles rises.

The joint venture company will invest over $2.5 billion and create 1,400 new jobs in Kokomo and surrounding areas. Total investment could gradually increase up to $3.1 billion. The new facility will supply battery modules for a range of vehicles produced at Stellantis’ North American assembly plants. Plant construction is scheduled to begin later this year with production planned to launch in the first quarter of 2025.

“Just under one year ago, we committed to an aggressive electrification strategy anchored by five gigafactories between Europe and North America,” said Carlos Tavares, CEO of Stellantis. “Today’s announcement further solidifies our global battery production footprint and demonstrates Stellantis’ drive toward a decarbonized future outlined in Dare Forward 2030. I am grateful to Governor Holcomb and Secretary Chambers along with Mayor Moore, and their teams as well as to all my colleagues for their support and dedication to bring this operation to Kokomo, a city that holds a rich and long history for our company.”

Stellantis Samsung SDI
In March, Carlos Tavares, CEO of Stellantis, presented the company’s Dare Forward 2030 plan, which paves the way for Stellantis’ carbon neutrality by 2038. (Photo: Stellantis)

“We express our gratitude towards officials from the State of Indiana and Stellantis for supporting the final selection of the plant site in Indiana,” said Yoonho Choi, CEO of Samsung SDI. “We have secured a solid foothold in a rapidly growing North American EV market through the joint venture with Stellantis. We will make sincere efforts to bring satisfaction to the market with top-class quality products in the future, and we will contribute towards meeting the climate change target.”

At the Indiana factory, Samsung SDI will apply its cutting-edge technology PRiMX to producing EV battery cells and modules for the North American market. Samsung has launched its premium battery technology brand PRiMX as an industry’s first last year and unveiled the brand at CES 2022 in January.

“It’s another incredibly exciting day to be back in Kokomo celebrating such a transformational investment from Stellantis and our new partners at Samsung,” said Governor Eric J. Holcomb. “Today’s announcement is another step toward positioning Indiana as a leader in the future of mobility, battery technology and clean energy.”

“Our goals for the growth of Indiana’s economy are ambitious,” said Brad Chambers, secretary of commerce for Indiana Economic Development Corporation (IEDC). “This significant venture with Stellantis and Samsung SDI is squarely in line with our 5E focus on the energy transition and building an economy of the future. Large-scale investments like this are a testament to Indiana’s business-friendly climate, its strong workforce, a growing population and our continued investment in quality of life. The economic growth and momentum in our state this year is unprecedented.”

As part of its Dare Forward 2030 strategic plan, Stellantis plans to have global annual battery electric vehicle sales of five million vehicles by 2030, reaching 100% of passenger car BEV sales mix in Europe and 50% passenger car and light-duty truck BEV sales mix in North America. Stellantis also increased planned battery capacity by 140 GWh to approximately 400 GWh, to be supported by five battery manufacturing plants together with additional supply contracts. This announcement is part of the long-term electrification strategy to invest $35 billion through 2025 in electrification and software globally.

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