Luxury automaker Mercedes-Benz is reportedly in advanced discussions with Samsung SDI to secure a long-term electric vehicle (EV) battery supply agreement. The talks are said to be in the final stages, signaling a potential strategic partnership that could strengthen Mercedes-Benz’s future EV lineup.
According to industry reports, the deal will likely focus on supplying prismatic battery cells for Mercedes-Benz’s next-generation electric vehicles expected around 2028. These batteries are considered highly efficient and are already gaining traction among global automakers for their performance and packaging advantages.
If finalized, this partnership would mark the first time Samsung SDI’s batteries are used in Mercedes-Benz electric vehicles. The agreement is expected to be large in scale, potentially reaching tens of gigawatt-hours (GWh), with long-term contracts in the EV sector often spanning several years.
To support this collaboration, both companies are exploring the possibility of establishing dedicated battery production facilities or lines in Europe. Potential locations under consideration include Austria, Slovakia, and the Czech Republic, aimed at improving supply stability and reducing logistics costs.
The move comes as Mercedes-Benz reassesses its battery sourcing strategy. Earlier plans involving Automotive Cells Company (ACC) faced challenges such as production delays and cost pressures, opening the door for new partners like Samsung SDI to step in and fill the gap.
Overall, this potential deal highlights the growing importance of strong battery partnerships in the EV ecosystem. For Mercedes-Benz, securing a reliable supplier is critical to scaling its electric mobility ambitions, while Samsung SDI stands to gain a significant foothold in the premium EV segment globally.
