Business

Stellantis and LG to invest $4.1 billion in Canadian electric vehicle battery plant


Chris Feuell, Chrysler Brand CEO of Stellantis, introduces the Chrysler Airflow Concept all-electric vehicle during a Stellantis press event at CES 2022 at the Las Vegas Convention Center on January 5, 2022 in Las Vegas, Nevada.

Alex Wang | Getty Images

DETROIT — Automaker Stellantis and LG Energy Solution will invest about $4.1 billion through a joint venture to establish Canada’s first large-scale electric vehicle battery manufacturing plant, the companies announced Wednesday.

Construction of the Windsor, Ont., plant is expected to begin later this year with operations expected to begin in the first quarter of 2024, according to the transatlantic automaker. Once fully operational, the plant is expected to have an annual production capacity of more than 45 gigawatt hours and will create around 2,500 new jobs, Stellantis said.

The new plant is part of the automaker’s plans to accelerate its investments in electric vehicles to reach sales of 5 million electric vehicles worldwide by 2030. This includes all sales in Europe and 50% of sales in passenger cars and light trucks in North America.

The announcement is the latest for automakers on battery factories, also known as gigafactories, as companies attempt to transition to all-electric vehicles this decade. Almost every major automaker in the world has announced such plans, including allocating billions to the production of batteries – the most critical component for these vehicles.

Stellantis – the world’s fourth largest automaker – was formed in January 2021 by the merger of Fiat Chrysler and the France-based Groupe PSA. It has 14 individual car brands, including Alfa Romeo, Chrysler, Dodge, Fiat, Jeep and Peugeot.


cnbc Business

Not all news on the site expresses the point of view of the site, but we transmit this news automatically and translate it through programmatic technology on the site and not from a human editor.

William

Friendly bacon buff. Unapologetic problem solver. Avid food lover. Amateur alcoholaholic. Organizer. Student
Back to top button