Ultium LFP battery production in Tennessee to expand GM’s EV portfolio

Ultium Cells

Ultium LFP battery production in Tennessee will start by late 2027. GM and LG Energy Solution will convert lines at Spring Hill. Ultium LFP battery production in Tennessee will lower costs for mass-market EVs. The shift complements high-nickel and future lithium-manganese chemistries.

Capacity strategy and plant network

Ultium’s Ohio plant will keep making NCMA cells for long-range crossovers. GM and Samsung SDI are building a 36 GWh plant in Indiana. Mass production there targets 2027. Together, these sites diversify chemistries and sourcing. Ultium LFP battery production in Tennessee strengthens North American cell optionality.

Market outlook and supply chain integration

U.S. incentives favor localized cells and materials. GM sold 78,200 EVs in the first half. Its estimated EV share reached about 13 percent. GM sources lithium carbonate from Thacker Pass and CAM via POSCO Future M. Ultium LFP battery production in Tennessee will fit this integrated ecosystem. The Lansing stake sale to LGES sharpened capital focus.

The Metalnomist Commentary

GM is pragmatically adding lower-cost LFP alongside premium chemistries. Execution hinges on line conversion, yield ramp, and firm offtake. Watch IRA eligibility, precursor sourcing, and fleet demand into 2027.

Posco Future M begins cathode exports to US

Posco Future M

Posco Future M begins cathode exports to US as it ships high-nickel NCM-A materials to Ultium Cells. The move uses self-produced precursors and strengthens North American EV supply chains. As a result, Posco Future M begins cathode exports to US with IRA-aligned feedstock and full upstream integration. This milestone confirms scale, quality, and localization readiness as Posco Future M begins cathode exports to US.

What shipped, from where, and to whom

Posco Future M dispatched high-nickel cathodes made with in-house precursors. Ultium Cells will use them for EV battery production. The shipment followed completion of its 45,000 t/yr precursor plant in Gwangyang. The facility started on 10 June, with first cargo on 26 July. Precursors of nickel, cobalt, and manganese combine with lithium at the Gwangyang cathode plant. The company targets consistent quality and cost control through vertical integration.

Why this matters for US battery supply chains

The delivery supports GM’s Ultium platform with non-Chinese nickel inputs. Posco Group converts nickel into high-purity nickel sulfate for CAM. Meanwhile, Posco Pilbara Lithium Solution supplies lithium from Australian spodumene. Posco Lithium Solution complements this with Argentine brine supply. These sources enhance IRA compliance and traceability for US-bound batteries. OEMs gain reduced risk, shorter timelines, and improved procurement flexibility.

Capacity outlook and localization pathway

Posco Future M and GM are building Ultium CAM in Bécancour, Quebec. The 30,000 t/yr cathode plant targets completion in 2026. Therefore, initial exports bridge near-term demand before local output ramps. The model mixes offshore precursor strength with regional CAM finishing. This approach helps stabilize costs and meet regional content rules. It also diversifies North American cathode supply beyond LFP.

The Metalnomist Commentary

Posco’s integrated precursor-to-cathode chain is a competitive advantage. Expect tighter OEM-supplier ties as IRA rules harden and Ultium volumes scale. Watch Bécancour’s CAM launch; it will set North America’s high-nickel baseline.

LGES to Acquire GM’s Stake in Michigan Battery Plant

Ultium Cells

LGES Expands Battery Footprint in the U.S.

LG Energy Solution (LGES) will acquire General Motors' (GM) stake in the Ultium Cells joint battery plant in Lansing, Michigan. The $2.08 billion deal comes from a non-binding agreement signed in December 2024, according to both companies. This acquisition allows LGES to take full control of the nearly completed plant while GM retains its position in other Ultium ventures.

Strategic Shift Aims for Cost-Efficient Expansion

The move is part of LGES’s broader effort to reduce the investment burden while enhancing facility efficiency. GM confirmed it will still source EV batteries from Ultium Cells’ existing plants in Warren, Ohio, and Spring Hill, Tennessee. This approach enables GM to meet growing EV demand while LGES consolidates control over its Michigan asset.

U.S. Battery Market Competition Intensifies

As the U.S. accelerates its energy transition, this acquisition reflects increasing consolidation in the battery manufacturing sector. Meanwhile, LGES continues investing globally, including in Arizona and Indonesia, to scale production.

The Metalnomist Commentary

LGES’s strategic buyout of GM’s stake aligns with its push to dominate the North American battery landscape. As U.S. EV adoption climbs, full ownership of the Lansing plant strengthens LGES’s operational flexibility while helping GM preserve critical supply chain partnerships. The deal may also preemptively shield LGES from potential future policy or sourcing restrictions.

GM and LG Energy Solution to Commercialize LMR Batteries by 2028

LMR Batteries

LMR Technology Aims to Cut Costs and Extend EV Range

GM and LG Energy Solution (LGES) plan to commercialize lithium manganese-rich (LMR) batteries by 2028, targeting next-generation electric trucks and SUVs. The joint venture, Ultium Cells, will begin LMR cell pre-production in late 2027 and transition to full commercial output in the U.S. in 2028.

The Focus Keyphrase "LMR batteries" is at the center of this strategic shift. These batteries replace expensive cobalt with lower-cost manganese, enabling higher energy density and reduced overall battery cost. GM intends to integrate LMR technology into its high-nickel Ultium platform, aiming for EVs that can exceed 400 miles of driving range.

GM Secures Supply Chain for LMR Battery Rollout

To support LMR battery deployment, GM is building a robust North American supply chain. The automaker has secured an offtake agreement with Lithium Americas for 100% of Phase 1 battery-grade lithium carbonate output from Thacker Pass, a major U.S. lithium project expected to complete construction by late 2027.

In parallel, GM’s focus on domestic sourcing extends to key materials like graphite and manganese, which are critical for LMR cell chemistry. By localizing supply chains, GM aims to enhance production resilience and meet U.S. clean energy standards.

Strategic Shift Reflects EV Industry’s Drive for Cost Efficiency

LMR batteries mark a pivotal innovation in reducing reliance on costly cobalt, often linked to geopolitical and ethical concerns. As automakers face growing pressure to lower EV costs while expanding range, LMR technology offers a scalable and sustainable alternative.

Furthermore, this move supports the Biden administration’s objectives under the Inflation Reduction Act, which incentivizes domestic sourcing of battery materials and EV production.

The Metalnomist Commentary

The commercialization of LMR batteries represents a breakthrough for GM and LGES in balancing cost, range, and supply security. By shifting to manganese-rich chemistries and fortifying local supply chains, GM is positioning itself as a leader in next-generation EV battery innovation — a move that could reshape material demand across the battery metals landscape.

BMW Partners with Redwood to Recycle Lithium-Ion Batteries

Redwood

BMW Group has entered into a partnership with US-based battery recycler Redwood Materials to recycle lithium-ion batteries from electric vehicles (EVs) in the automaker's portfolio. Under the deal, announced Monday, Redwood will gain access to over 700 BMW Group locations across the United States, including dealerships, distribution centers, and internal facilities, to source end-of-life batteries.

Expanding Battery Recycling Operations

Redwood highlighted its proximity to BMW's Spartanburg and Woodruff manufacturing plants in South Carolina, where one of its two campuses is located. Both companies are committed to establishing significant recycling operations in the area. BMW has aggressive plans to produce at least six electric vehicle models in the US by 2030, with a $1 billion investment to retrofit its Spartanburg plant to produce electric SUVs by 2026. Additionally, the nearby Woodruff facility will support Spartanburg by supplying batteries from its new $700 million battery assembly plant, expected to be operational by 2026.

This collaboration with BMW adds to Redwood's growing network of partnerships with automakers and battery manufacturers. In May, Redwood entered a deal with Ultium, a joint venture between General Motors and LG Chem, to recycle production waste from two facilities, which are expected to generate 10,000 metric tonnes of cathode and anode scrap annually.

General Motors Advances EV Strategy with Sale of Michigan Battery Plant Stake to LGES

LGES

General Motors (GM), a leading US automaker, is set to enhance its approach to electric vehicle (EV) production by selling its stake in the Michigan battery plant to its partner, LG Energy Solution (LGES). This strategic move, expected to finalize in the first quarter of 2025, reflects GM's ongoing adjustments to its EV development plans amid fluctuating market demands.

Strategic Divestiture and Operational Shifts

GM's decision to divest its share in the $2.6 billion Michigan facility aligns with its broader strategy to recalibrate its EV production goals. The company has recently scaled down its 2024 EV production forecast, citing softening demand influenced by high costs and inadequate infrastructure, which are hindering the adoption of electric models. By selling the stake to LGES, GM aims to recoup its initial investment, allowing for a more flexible response to the evolving EV market.

Expanding Battery Technology Partnerships

In addition to the sale, GM is deepening its collaboration with LGES by developing prismatic-style battery cells. This new venture is anticipated to innovate battery technology by reducing weight and costs, thanks to the space-efficient design of prismatic cells compared to traditional pouch-style cells. GM's plans include potentially producing these advanced cells at its Ultium facilities in Warren, Ohio, and Spring Hill, Tennessee, which are already active in producing pouch-style battery cells and will adjust production based on market demand.