The companies said that the location of the new facility is currently under review and further details will be shared at a later date
Samsung Electronics’ affiliate Samsung SDI has struck a deal with Dutch automaker Stellantis NV to form a joint venture to produce EV battery cells and modules for North America.
Targeted to start in 2025, the plant is to be set up in the United States and aims to have an initial annual production capacity of 23-gigawatt hours, with the ability to increase up to 40 gigawatt-hours in the future.
Earlier this year, Stellantis had announced its foray into the electric vehicle segment, with an aim to achieve 40 per cent of its sales in the U.S. comprised of electrified vehicles by 2030.
“With the forthcoming battery plants coming online, we will be well positioned to compete and ultimately win in the North American electric vehicle market,” said Carlos Tavares, CEO of Stellantis.
The companies said that the location of the new facility is currently under review and further details will be shared at a later date.
The batteries produced at the U.S. joint venture will be supplied to Stellantis’ factories in the United States, Canada and Mexico.
Stellantis plans to invest more than €30 billion through 2025 in electrification and software development
Samsung SDI already has EV battery plants in South Korea, China and Hungary, which supply customers such as BMW and Ford Motor.
Previous media reports suggested that Samsung SDI was considering investing at least 3 trillion won ($2.62 billion) to manufacture batteries for Stellantis and a minimum of 1 trillion won for batteries to Rivian.
