On Wednesday, Samsung SDI, a South Korean company, announced that it had finalized a deal with General Motors to construct a joint electric vehicle (EV) battery plant in the US state of Indiana.
According to a statement from Samsung SDI, the two businesses will invest roughly $3.5 billion to construct a battery cell manufacturing facility with an initial production capacity of 27 gigawatt hours (GWh).
In early trade, Samsung SDI shares increased by up to 3.2%, while the benchmark KOSPI saw a decline of 0.3%.
GM and Samsung SDI originally revealed the proposal in April 2023, announcing that the joint venture will require over $3 billion, have a 30 GWh production capacity, and start operations in 2026.
The combined project is anticipated to reach mass production in 2027, and extension plans could potentially increase yearly capacity to 36 GWh, according to the South Korean battery manufacturer on Wednesday.
The CEO of Samsung SDI and Kurt Kelty, the General Motors vice president of battery cell and pack, stated they had met to complete the battery joint venture.
