HOUSTON, August 12th (Argus) - South Korean battery manufacturer Samsung SDI announced that due to the lower-than-expected growth in demand for electric vehicles, it has acquired 49.99% of the shares in the SynergyCells joint venture factory of US automaker General Motors (GM) in New Carlisle, Indiana.
The company stated on August 11th that the factory is still under construction and will become Samsung SDI's first wholly-owned production base in North America.
Samsung SDI will initially use the factory to produce batteries for energy storage systems (ESS) to meet the rapidly growing demand in the US market. In the future, it may also produce square batteries suitable for electric vehicles here.
The two companies also signed a new agreement to jointly develop a new generation of high-energy-density, fast-charging square batteries to meet the potential demand of General Motors' electric vehicles in the future.
This acquisition reflects the strategic adjustment of US automakers, which are gradually withdrawing from battery joint venture projects with Korean partners, in light of the unmet expectations for electric vehicle demand. GM sold its almost completed Ultium Cells factory in Lansing, Michigan to the joint venture partner LGES in 2025, receiving approximately $2 billion, while agreeing to jointly develop square batteries with LGES.
Ford and SK On completed the dissolution of their BlueOval SK joint venture in May this year. Ford subsidiary Ford Energy has fully taken over the two factories of the joint venture in Kentucky, while SK On took over the factory in Tennessee. Ford plans to renovate the Kentucky factory after ceasing electric vehicle battery production to produce energy storage batteries.
