Stellantis, the French-Italian-American automotive manufacturing corporation, and Samsung SDI, the Korean battery and electronic materials manufacturer, have signed a memorandum of understanding to establish a second battery factory in the US. The plant should start production in 2027 with an initial annual production capacity of 34-gigawatt hours (GWh).

Last year, in May 2022, both partners announced to build a first battery manufacturing facility in Indiana (US). It was targeted to launch in the first quarter of 2025, with an annual production of 33 GWh, up from the initial target of 23 GWh.

‘Solid groundwork’

“We are continuing to add more capacity in the United States with our great partner Samsung SDI and laying the next steps to reaching our carbon neutrality commitment by 2038,” said Stellantis CEO Carlos Tavares.

“By establishing the ‘StarPlus Energy’ joint venture with Stellantis last year, we laid a solid groundwork for marking our presence in North America,” remarked Samsung SDI President and CEO Yoon-ho Choi.

Transition to EVs

“The second plant will accelerate our market penetration into the US and help Stellantis push forward the US transition to an era of electric vehicles by supplying the products featuring the highest levels of safety and quality,” he continued.

Stellantis intends to reach a 100% passenger car battery electric vehicle (BEV) sales mix in Europe and a 50% passenger car and light-duty truck BEV sales mix in the United States by 2030.

Further details will follow

The Group is on track to become a carbon net zero corporation by 2038, all scopes included, with single-digit percentage compensation of remaining emissions. Further details about the location of the new facility will be shared at a later date.

In addition to the battery plants planned for North America, Stellantis also is building battery plants in France, Germany, and Italy. The company is securing 400 gigawatt hours of capacity to meet its production goals by 2030.